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Philippines: Palace urged to copperate in Senate ‘cash gift’ probe

PHILIPPINES: NO REASON TO STOP SENATE PROBE OF BROADBAND DEAL DESPITE ENTRY OF OMBUDSMAN

Senate’s Investigative Power in Danger of Being Undermined due to Arroyo Gag Order — Pimentel

NAVIGATE: Home » All Entries, Other Stories, Press Releases & Statements » Pimentel Debunks Palace Claim that Senate Mishandled ZTE Probe

Pimentel Debunks Palace Claim that Senate Mishandled ZTE Probe

PUBLISHED ON March 17, 2008 AT 2:30 PM

Minority Leader Aquilino “Nene” Q. Pimentel, Jr.
(PDP-Laban) today said the piles of testimonial and
documentary evidence on the anomalous national
broadband network-ZTE project that have surfaced in
the series of Senate hearings belie Malacañang’s claim
that the Senate has mishandled the inquiry on the
case.

Pimentel advised Press Secretary Ignacio Bunye not to
play deaf and blind to such ample evidence in the face
of his sweeping criticism that the Senate probe is
anchored on “baseless and unsubstantiated”
allegations.

The minority leader said the charges of bribery and
overpricing in the $329 million NBN-ZTE deal first
raised by businessman Jose de Venecia III have been
corroborated by two other witnesses, Rodolfo Lozada,
Jr. and Dante Madriaga, who both served as technical
consultants to the project.

Pimentel said the bribery allegation against former
Commission on Elections chairman Benjamin Abalos was
partly confirmed by former Socio-Economic Planning
Secretary Romulo Neri. Likewise, he said the latest
witness, cable operator Leo San Miguel, had virtually
admitted the participation of Abalos in the tainted
transaction despite the witness’ attempt to conceal
the ex-Comelec chief’s role.

“Sad to say, that’s a cockeyed view from Secretary
Bunye. In fact the latest witness Leo San Miguel,
despite being evasive in his testimony, corroborated
Abalos’s participation in the NBN-ZTE deal,” he said
in response to the press secretary’s tirade.

According to the young De Venecia, it was Abalos who
was instrumental in convincing Malacañang to approve
the telecommunications project. Madriaga testified
that Abalos was part of the so-called “greedy group”
or “gang of four” that brokered the deal. He
identified the other members of the group as San
Miguel, Ruben Reyes and retired Police Gen. Quirino de
la Torre.

Madriaga had stated a number of times that Abalos was
involved with the group that received the $41 million
allegedly paid in advance by ZTE Corp. in three
trances — $1 million in December 2006, $10 million in
March 2007 and $30 million in April 2007.

Pimentel said Abalos would not have resigned as
Comelec chief in October last year if he really
believed in his claim that there was nothing
fraudulent about the NBN-ZTE deal nor with his
participation in the transaction.

Pimentel said Abalos could be held liable for graft,
bribery and misuse of his office.

“You can hardly imagine a more incongruous
participation in forging an agreement on the national
broadband project by somebody who is not connected at
all in the economic development in this country.
Abalos was with the Comelec. How did he get involved
in this project? There must be profitable reasons why
he assumed that role,” he said.
-o0o-

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