Pampanga mayor held in extortion sting

CITY OF SAN FERNANDO—Mayor Abundio “JP” Punsalan Jr. of San Simon town, Pampanga, was arrested in an entrapment operation conducted by the National Bureau of Investigation’s intelligence division for alleged extortion and graft.
The arrest, carried out by at least 15 operatives, took place at a cafe inside Clark Freeport at 5:30 p.m. on Tuesday, according to NBI Assistant Director Noel Cruz Bocaling, chief of the agency’s intelligence division.
“Punsalan did not resist arrest while his six bodyguards were disarmed,” Bocaling confirmed in a telephone interview on Wednesday.
Punsalan has not responded to phone calls or messages from the Inquirer since Tuesday night.
The operation stemmed from complaints filed by Irwin Chua and Mel Arellano, president and corporate secretary, respectively, of Real Steel Corp., a steel bar manufacturing firm operating in San Simon.
Formal charges
Chua was appointed trade commissioner to Pampanga by the Republic of Vanuatu, according to an appointment letter dated Nov. 6, 2023, and signed by Minister Marc Ati of the Ministry of Foreign Affairs. Chua also holds a Vanuatu passport.
According to Arellano, Punsalan “demanded P100 million from the company” despite the firm having no environmental or tax-related violations.
Sources told the Inquirer that two Chinese-owned steel companies in the town have either shut down or suspended operations due to alleged extortion attempts by the mayor.
Bocaling said the NBI is set to file formal cases against Punsalan today.
Punsalan had been suspended four times by the provincial board and the Ombudsman in relation to land-use conversion cases.
Dismayed
Asked for comment, Pampanga Gov. Lilia Pineda said the mayor must “clear his name by himself.”
“I am dismayed by this development because hours before he was entrapped, he attended an event [of the Department of the Interior and Local Government] where he swore to be an honest public servant,” Pineda said in a phone interview.
She added: “I also constantly remind our public officials to dutifully carry out their mandate and duties.”