April 28, 1970
Am still awaiting word from the conference committee on the stabilization tax on whether they have agreed on the version that we worked out. Substantially as we agreed in the caucus but 25% of proceeds to be sterilized in a special fund in the Central to be spent only by Congressional authorization; the prohibition of additional indebtedness when there is inflationary dangers and the categorization which is the subject of contention in the Savoy Hotel conference committee meeting.
My feeling is that Sen. Pres. Puyat, Majority Floor Leader Tolentino and Chairman on Ways & Means Lagumbay are protecting their private interests – setting 10% for the big exports (logs, copra, sugar and copper concentrate) and 8% for the rest including dessicated coconut and plywood of Puyat, Lagumbays and Tolentinos retainers.
If this is the only way to pass the bill we will have to accept the categorization although Lening Veloso who feels that the congressmen have been kept out of the deals with the exporters says the House wants only one category and a flat rate of 10%. The Secretary of Finance is there with them.
Greg Licaros called me up to say that we may get the $50 million loan by Thursday.
My stamina is increasing. A daily heavy exercise routine morning and afternoon and I do not feel tired.