GMA: ESTRADA WEALTH USED TO FUND COUP: "I shall crush you."
President Arroyo said yesterday a coup plot was being financed by ill-
gotten wealth, and warned that she would crush any attempt to destabilize
her fledgling administration.
This developed as private prosecutors in the impeachment trial of deposed
President Joseph Estrada alleged that he had amassed as much as P15 billion
— stashed in various banks under fictitious names — in less than three
years in office.
While President Arroyo did not say directly that the ill-gotten wealth
belonged to her disgraced predecessor, she also vowed to pursue all
criminal cases against Estrada.
Speaking at the start of the evening news, a very animated President Arroyo
gestured frequently as she addressed her detractors.
"Despite the victory and heroism of the Filipino people, there are still
some groups plotting against our government," Mrs. Arroyo said on national
television.
Mrs. Arroyo said proceeds of ill-gotten wealth were being used to "erode
the credibility of her leadership and to "subvert our hard-earned freedom."
Mrs. Arroyo maintained that she became president "by operation of law."
"No less than our people have installed me. The Supreme Court ruled on
January 20 that my assumption to the presidency is consistent with the law.
The Senate and the House of Representatives have likewise recognized the
legitimacy of this government," she pointed out.
On suggestions that Estrada should be banished, Mrs. Arroyo indicated that
the matter depended on Estrada. "But one thing is non-negotiable. Charges
will be pursued."
Executive Secretary Renato de Villa belittled the reported regrouping of
police and military officials loyal to Estrada.
De Villa said the Arroyo administration will not suffer the intelligence
breakdown that prevented the Estrada administration from thwarting the
withdrawal of support by the entire military and police organizations.
Former law dean Eduardo de los Angeles said he and his colleagues have
received the voluminous evidence that the 11-member House prosecution panel
had gathered against Estrada.
The pieces of evidence included records of his huge bank deposits, among
them an account with the Equitable-PCI Bank under the false name Jose
Velarde.
De los Angeles said his group would file corruption and ill-gotten wealth
charges against Estrada later this week or early next week.
"So far, you have seen only the Velarde accounts in Equitable on which
Clarissa Ocampo testified. Other than those accounts, the former president
had different accounts in different banks under different fictitious
names," De los Angeles said.
De los Angeles said Estrada held deposits in almost all the banks in the
country, either under a false name or just numbers.
All told, the deposits amounted to about P15 billion, the lawyer said. "We
are not even talking here of the dollar accounts and the mansions," he
added.
"We have only scratched the surface of what is the hidden wealth of the
(ousted) president," lawyer Ricardo Nepomuceno said.
He said some of the witnesses against Estrada were still hesitant or
fearful, although some are very cooperative.
De los Angeles said his group and their House counterparts would form into
several teams to pursue the criminal charges against Estrada who was
unseated on Jan. 20. Phil. Star, 01/31/2001
DECEMBER 30 BOMBING `BRAINS' IDENTIFIED: The Philippine National Police has
identified and is closing in on the masterminds of the Dec. 30 bombings in
Metro Manila that left 22 people dead and nearly a hundred wounded, the new
PNP chief said yesterday.
Acting PNP chief Deputy Director General Leandro Mendoza said investigators
from the PNP Criminal Investigation and Detection Group have come up with
leads linking a highly influential group of people to the bombings.
The group, Mendoza said, tapped the resources of the Moro Islamic Liberation
Front (MILF) to carry out the terrorist acts in five different places in
Metro Manila on Rizal Day last year. While he did not reveal the identity
of the group of persons who masterminded the bombings, Mendoza hinted that
it apparently "utilized members and resources of the MILF" to bomb five
areas in Manila, Makati City, Quezon City and Paranaque City.
Mendoza said the Muslim terrorists may have been used without the knowledge
of the MILF leadership. Mendoza refused to comment on reports that the
blasts were meant to divert the public's attention from the impeachment
trial of then President Joseph Estrada.
He also did not want to comment if these incidents were politically
motivated.
Meanwhile, the Citizens Action Against Criminality (CAAC) dared Mendoza
yesterday to show results in the government's campaign against all forms of
criminality.
Teresita Ang-See, CAAC spokeswoman, said only accomplishments in the
government drive against kidnap-for-ransom groups and other heinous
criminals could save the new PNP chief from criticism and serious doubts
from anti-crime watchdogs.
The CAAC and the Crusade Against Violence (CAV) have been vocal in their
opposition to the appointment of Mendoza, whom the watchdogs described as
having "tainted credibility from Day 1 of his designation."
Ang-See noted that "no amount of PR jobs could salvage his name unless
Mendoza starts addressing the problem on kidnap-for-ransom incidents in the
country." Phil. Star, 01/31/2001
MACAPAGAL-ARROYO DISCARDS ABADIA: Bowing to pressure from various sectors,
President Macapagal-Arroyo announced last night that she had recalled her
appointment of retired Gen. Lisandro Abadia as national security adviser.
In her first formal nationwide address, the President said she had given
the Department of Interior and Local Governments seven days to determine
whether she should also recall her appointment of Deputy Director General
Leandro Mendoza as chief of the Philippine National Police.
But she said she was standing by her appointment of Transportation
Secretary Pantaleon Alvarez and Public Works Secretary Simeon Datumanong,
who are both from Mindanao and who, she noted, were also the subject of
heavy criticism.
She said she made the move on the strength of a motion for reconsideration
on a case involving the alleged misuse of the military pension fund, the
Retirement, Separation and Benefits System (RSBS).
The case is pending at the Supreme Court.
Various sectors have described Ms Macapagal's appointees as traditional
politicians (trapos), recycled Cabinet men and ``boys'' of former President
Fidel Ramos.
On Mendoza's case, the President said she had instructed the DILG to
coordinate with complaining anti-crime groups ``to hear their side.''
The groups led by the Crusade Against Violence had accused Mendoza of
having had a hand in the escape from jail of the confessed killer of CAV
president Carina Agarao's husband.
On Datumanong and Alvarez, Ms Macapagal said that more than their
competence and integrity, she had appointed them as ``a way of fleshing out
our national concern for Mindanao.''
She reminded the public that the government must begin the task of
rebuilding Mindanao, which has yet to recover from the war that the Estrada
administration waged against the secessionist Moro Islamic Liberation
Front.
Various groups and persons, including retired Gen. Fortunato Abat and a
group calling itself the ``Concerned Employees of AFP-RSBS,'' had been
urging Ms Macapagal to reconsider Abadia's appointment.
Orlando Mercado, who, as defense secretary, had initiated the investigation
of Abadia's supposed involvement in the RSBS scam, quit last week to
protest the appointment. Inquirer, 01/31/2001
NOW IT'S ATONG WHO'LL TESTIFY VS ERAP: Charlie "Atong" Ang is the latest
among the associates of ousted President Joseph Estrada who have sent word
that they are willing to testify against Estrada, a lawyer privy to the
negotiations between Ang and the Department of Justice yesterday said.
Businessman Mark Jimenez has already been placed under the witness
protection program after he agreed to cooperate with the Department of
Justice in the prosecution of Estrada.
"With Jimenez's statement, we have new evidence. In fact, with his
testimony alone we can convict the former President. It is independent of
what we already have," Justice Secretary Hernando Perez yesterday said.
Perez said that "now that Estrada is out of power, many have become bold."
Edward S. Serapio, a personal lawyer of Estrada, has also signified his
intention to testify against the ousted President.
The source said Ang, a proponent of the controversial Bingo 2-Ball which
sought to replace "jueteng," sent feelers to the Department of Justice only
"this week" after the government threatened to cancel his passport.
Government officials, however, are skeptical about Ang's offer. They want
to know what he can offer in the criminal cases against Estrada.
"The Department of Justice still has to evaluate what he (Ang) can offer.
Under the Witness Protection Program, only the ones who are least guilty
can be taken in. Some think that Ang is guilty," the source said.
Government issued a hold-departure order against Ang on Jan. 23 but by that
time, the businessman had already left the country.
At the Department of Justice, Perez confirmed that for the past few days,
government lawyers had been interviewing Jimenez, who revealed what he knew
about the alleged illegal activities of Estrada and his family.
Perez said Jimenez, who himself is being linked to various shady deals
during the Estrada administration, had furnished state prosecutors various
"documents and checks" confirming, among other things, that Estrada owned
shares in the controversial gaming firm BW Resources Corp.
BW Resources, a losing firm in which another Estrada friend, Dante Tan is a
key shareholder, saw its shares soar more than 5,000 percent during an
eight-month period ending in October 1999.
If the new administration decided to prosecute Estrada, Jimenez would
testify that Estrada was "involved in the manipulation of the stock market"
in 1999, Perez said.
Jimenez also said that Estrada owned the "Jose Velarde" account with
Equitable PCI Bank.
Perez said Jimenez had extensive knowledge of nearly all the irregular
transactions entered into by Estrada.
Jimenez belonged to Estrada's innermost circle of friends and was said to
be a member of the ousted ruler's "midnight Cabinet," a group of close
associates who joined Estrada in late-night drinking sessions in Malacanang
and other places.
Ombudsman Aniano Desierto is investigating Estrada for alleged plunder,
misuse of funds, anti-graft law violations, perjury, bribery and possession
of unexplained wealth--charges that emanated mostly from the former
President's impeachment trial.
Desierto said Jimenez's decision to testify would considerably strengthen
the criminal cases against Estrada.
The Citizens' Action Against Crime, headed by Teresita Ang Sy, early this
month accused Ang of having been involved in kidnapping cases, particularly
the abduction of a member of the Sy family--owners of the Liana's
supermarket chain.
He had also been named as a respondent in some of the cases filed with the
Office of the Ombudsman. Inquirer, 01/31/2001
MACAPAGAL: EXILE IS ESTRADA'S CALL: Prosecutors will pursue corruption
charges against ousted President Joseph Estrada, but going into exile will
be his decision, President Gloria Macapagal-Arroyo said.
But the President said her administration was bent on pursuing all the
cases to be filed against Estrada "so justice would be given to all
concerned."
"There are litigations now. There are cases and the Department of Justice
is pursuing them," she said.
Ms Macapagal was reacting to calls by Senate President Aquilino Pimentel
Jr. and the Catholic Bishops Conference of the Philippines for Estrada to
go into exile to prevent his followers from destabilizing the government.
The President also said on Friday that pursuing the cases against Estrada
was one of the priorities of her administration.
In an interview with Channel 7, Ms Macapagal said her administration would
investigate the alleged stock price manipulation of BW Resources Corp., a
company said to be owned by Estrada and his friend Dante Tan.
She said her administration would likewise step up the investigation of the
mysterious disappearance of public relations practitioner Salvador "Bubby"
Dacer last November.
Militant groups yesterday opposed sending Estrada into exile. Instead, they
want the government to arrest and try him immediately.
"The people have spoken. They don't want Estrada to slip away and make
justice more elusive," Bayan Muna said in a statement.
The political party is concerned that Estrada might escape prosecution.
Nathaniel Santiago, Bayan Muna secretary general, said Estrada was not a
threat to the new administration because his men had abandoned him.
Church groups are also calling on Ms Macapagal to prosecute Estrada and to
punish him and his accomplices for crimes they allegedly committed. The
groups included the Association of Major Religious Superiors of the
Philippines, which met Saturday at the Maryhill School of Theology for
thanksgiving and reflection.
They urged Ms Macapagal to carry on the fight against corruption and abuse
of power by the rich and powerful, and to resist traditional politics.
Their appeal was expressed in a petition letter to be delivered to the
President today.
The letter included the following demands:
- Investigate the Dec. 30 bombings and the disappearance of PR man Bubby
Dacer.
- Recover the alleged ill-gotten wealth of Estrada and his cronies.
- Protect the gains of People Power II and guard against moves by Estrada
and his group, as well as sectors in the military, to seize power.
- Do not appoint to the Cabinet traditional politicians and cronies of the
late President Ferdinand Marcos and Estrada.
- Consult people's organizations, NGOs, social movements, civil society
groups and individuals committed to justice and democracy.
- Pursue pro-poor policies and programs, especially in agrarian reform.
Inquirer, 01/29/2001
AFP SALUTES GLORIA: Exactly a week after she took her oath of office, and
amid rumors of dissension and destabilization plots, President Macapagal-
Arroyo was formally welcomed by the Armed Forces as commander in chief and
given full military honors.
The President attended two ceremonies yesterday in Camp Aguinaldo -- the
first wherein she was given a 21-gun salute and presented to Navy, Air
Force and Army officials at the General Headquarters grandstand; and the
second, when she addressed the Philippine Military Academy Alumni
Association and expressed "deep gratitude" for its participation in People
Power II.
In both ceremonies, she expressed confidence in the military and praised
its display of courage and dedication to democracy during the uprisings in
1986 and 2001, which toppled Presidents Ferdinand Marcos and Joseph
Estrada.
She also said her being a woman did not pose a hindrance to being one with
the military.
After the first program, Ms Macapagal had a closed-door conference with all
active military generals at the museum of the AFP Theater.
She refused to give details of what transpired at the conference, telling
reporters: "No ambush interviews, please."
The military and police generals who were at Edsa, led by AFP Chief of
Staff Gen. Angelo Reyes, were all present to welcome the President.
There was also retired Gen. Eduardo Ermita, acting defense secretary and
incoming presidential adviser on the peace process.
Ms Macapagal admitted that internal security was a top concern of her
administration.
The President said peace talks with the communist National Democratic Front
and the secessionist Moro Islamic Liberation Front must be resumed. She
said she would also follow a "no negotiations" policy with the extremist
Abu Sayyaf, which, she pointed, out, must be "neutralized."
The President said ensuring internal security was just part of a
three-pronged approach that she intended to institute.
The second prong, she said, was the delivery of basic social services to
the people, and the third, the offer of peace to various rebel groups.
She promised to give the people "good governance."
The President said she was confident that the military would continue to
"stand united, with strict adherence to the chain of command, enhancing and
maintaining a culture of professionalism, excellence and meritocracy (that)
shall always be a way of life for each one of you."
She promised to put priority on the acquisition of modern equipment and
weaponry for the AFP.
She also said military bases would be "systematically relocated" and their
infrastructure redesigned.
She made no mention of criticisms aired over her appointment of retired
Gen. Lisandro Abadia as national security adviser despite a graft case
pending against him, or of earlier reports that Marine Gen. Edgardo
Espinosa was bitter over not being given enough credit for helping topple
Estrada. Inquirer, 01/28/2001
LOBBYING HEATS UP FOR VICE PRESIDENCY: It's a toss up for the vice
presidency between Senate President Aquilino Pimentel Jr. and Senate
Minority Leader Teofisto Guingona Jr., according to insiders in the
Macapagal administration.
The same sources described Sen. Franklin Drilon as a "dark horse" in the
race for the country's second-highest post.
Other sources, however, said Rep. Manuel Villar was also in the running for
the vice presidency.
Sources said the position had been promised to Villar who, as Speaker,
succeeded last year in transmitting the impeachment complaint against then
President Joseph Estrada from the House to the Senate.
But when contacted by the Inquirer last night in Iloilo City, Villar said
this was "absolutely not true."
The contenders are reluctant to talk, but the lobbying is intense. Various
sectors, including the Church, Muslim groups, nongovernment organizations
and business leaders, are airing and mobilizing support for their
candidates.
President Macapagal-Arroyo is taking it slow.
She is expected to pick her vice president and concurrent foreign secretary
from among Senators Pimentel, Guingona, Drilon, Loren Legarda and Ramon
Magsaysay Jr.
Guingona and Pimentel are seen as the strongest contenders, but according
to Sen. Renato Cayetano, Guingona has the "inside track." The two men were
said to have engaged in a shouting match last week over Pimentel's refusal
to sign a resolution that Guingona principally authored expressing
"recognition and support" for the President. Pimentel said Guingona would
probably use the resolution to boost his chances to be vice president.
There's yet another contender: Sen. Raul Roco, who said early last week
that he would accept the post if it were offered to him.
Roco has been named education secretary but he has yet to be sworn in.
The President is to recommend her choice to the Senate and the House, which
will vote for or against concurrence.
She is expected to name her choice before Feb. 8, when the term of the 11th
Congress ends. Inquirer, 01/28/2001
REVIEW APPOINTMENTS, SUPPORTERS ASK GLORIA: Two organizations active in the
Erap Resign campaign yesterday urged President Gloria Macapagal-Arroyo to
retract recent controversial appointments to safeguard her administration's
credibility and that she take a more "hands-on" approach in choosing new
officials.
Satur Ocampo of the Bayan Muna party said the government should not be
afraid to let go of the controversial officials since it should have
"candor" in its relationship with the electorate.
Tess Baltazar of Konsyensiyang Pilipino said the administration and its
committee screening candidates to top positions were currently under "so
much pressure" from politicians who wanted to occupy juicy posts or have
their own men placed in office.
But while maintaining that groups like hers were not criticizing the new
administration but only stating "observations," Baltazar said the President
should take back the recent appointments in her government that have become
controversial.
"For it's own credibility, they should sacrifice these appointees," she
said.
The two were apparently referring to new National Security Adviser Lisandro
Abadia, whose appointment prompted Defense Secretary Orlando Mercado to
resign, and Philippine National Police chief Leandro Mendoza, who was
recently accused by an anti-crime group of "coddling criminals."
Running priest Robert Reyes said Abadia and Mendoza should resign out of
delicadeza (sense of honor).
Ocampo also said yesterday that Ms Macapagal should be more involved in
appointing candidates to high positions or as an alternative, give clearer
guidelines to the selection committee which was screening possible
office-holders.
Ocampo said the President had admitted that she only knew some of those who
were appointed through their "reputation" and not because she had personal
knowledge of their competence and integrity.
Ocampo said traditional politicians were taking advantage of the fact that
Ms Macapagal did not have a strong political support base. Inquirer,
01/28/2001
CBCP: EXILE ESTRADA: The Catholic Bishops' Conference of the Philippines
(CBCP) wants deposed President Joseph Estrada out of the country. At a
press conference yesterday, the CBCP backed the proposal of Senate
President Aquilino Pimentel Jr. to send Estrada into exile to help
stabilize the administration of President Arroyo.
Emerging from the six-day National Pastoral Consultation on Church Renewal
(NPCCR) at the San Carlos Pastoral Formation Complex in Makati City, the
bishops led by CBCP president Orlando Quevedo raised the alarm over
Estrada's continued stay in the country.
They echoed Pimentel's warning that the presence of Estrada might be used
as a "rallying point" by his supporters to destabilize the new
administration. Citing the many obstacles which the Arroyo administration —
which he described as an "instant government" — has to hurdle, Quevedo said
Estrada's stay in the country would attract pockets of discontent with the
new government.
Justice Secretary Hernando Perez earlier said that the government cannot
force Estrada out of the country if he wants to stay here.
Various militant organizations led by the Kilusang Mayo Uno (KMU), Bagong
Alyansang Makabayan (Bayan), Sanlakas and other civic groups expressed a
different stand on the issue.
Though these groups joined the Church in earlier calling for Estrada's
ouster, they now say prison instead of exile would be better. "Rather than
be exiled, he should be imprisoned," they said.
While conceding that Estrada remains a threat because of his loyalists, the
groups believed that the former leader should stay in the country to face
the charges against him.
KMU chairman Crispin Beltran reiterated yesterday the demand for the
immediate arrest and detention of Estrada and the seizure of his assets.
Beltran stressed the urgency for the Arroyo administration to throw the
book at Estrada to convince his allies in the Senate and the People's
Movement Against Poverty (PMAP) led by Ronaldo Lumbao that the corrupt and
crony-infested administration of their "boss" is indeed over.
He also assailed Lumbao for planning chaos and anarchy by capitalizing on
the poverty of Estrada's supporters. Phil. Star, 01/28/2001
`MJ TO TESTIFY VS ESTRADA:' Businessman Mark Jimenez, a crony of ousted
President Joseph Estrada, has agreed to testify on corruption charges
against the deposed president.
A well-informed source said yesterday that Jimenez met on Friday with
officials of the Department of Justice (DOJ) and agreed to expose what he
knows about Estrada's alleged ill-gotten wealth. "We have him," the source
said. "(The DOJ is) getting what he knows. He will tell all."
Jimenez, Estrada's former adviser on Latin American affairs, is reputed to
be among the former president's closest cronies and had allegedly helped
Estrada in illegal deals involving several big corporations and a state-run
pension fund.
While the source did not reveal details, Jimenez is expected to corroborate
the testimony of former Finance Secretary Edgardo Espiritu who claimed that
Estrada profited from the stock scandal involving controversial gaming firm
Best World Resources Corp.
Jimenez is also expected to divulge details of controversial transactions
involving the Social Security System, then headed by Estrada childhood
friend Carlos Arellano, and several large corporations.
The Philippine Long Distance and Telephone Co. (PLDT), Philippine
Commercial International Bank (PCIBank) and Equitable Banking Corp. are
allegedly among the large corporations.
The source said Jimenez agreed to talk after the DOJ threatened to charge
him with economic plunder or extradite him to the United States where he is
wanted by the federal government.
The US government had long requested for the extradition of Jimenez, who is
charged with making illegal contributions to the campaign of former
President Bill Clinton.
The source said Jimenez did not bargain for anything but the source
surmised Jimenez may have thought that if he testifies against Estrada, he
would not have to go to the US immediately. Phil. Star, 01/29/2001
CABINET APPOINTEES ALARM CIVIL SOCIETY: Less than a week into the Macapagal
administration, a multisectoral group that includes the Makati Business Club
has expressed grave concern over the Cabinet appointments made so far and
the alleged lack of transparency in the selection process.
The group, Pagbabago@Pilipinas, composed of artists, businessmen,
politicians and members of civil society, yesterday urged President
Macapagal-Arroyo not to be beholden to political debts and to adhere to
the selection process to which she had earlier committed.
"We see politics rearing its ugly head, and we see names of politicians
that were not even on the short list of the search committee she had
appointed," said Lori Tan, a conservationist and owner of Bookmark.
Guillermo Luz, executive director of the Makati Business Club, aired the
same concern. Luz recalled that Ms Macapagal had promised to appoint
"young, brilliant, and capable" people to government positions.
"Her debts are to the people, and political concession is really not
necessary," he said. He pointed out that even before Ms Macapagal took her
oath of office on Saturday, a five-member search committee had come up with
a short list of qualified candidates.
"We believe that the choices have mostly been political concessions, and
not based on the prospects' capability to handle their posts," Luz said.
Luz said it was a surprise to learn of the appointment of officials that
were not even on the short list.
The other Pagbabago members -- artists, directors and singers -- expressed
apprehension over a "creeping trapo-ism," in reference to "trapos" or
traditional politicians.
They said that after the efforts of the people at Edsa and other parts of
the country to bring about a new system of governance, it appeared that the
system was only taking a new face.
According to sources, among the appointees not on the short list are
Secretaries Simeon Datumanong, public works; Pantaleon Alvarez,
transportation; Richard Gordon, tourism; Jesus Alcordo, energy; and Sen.
Raul Roco, education.
Alcordo has since declined his appointment.
"The only names that jibe with (the choices) of the search committee are
those of Vicky Garchitorena, (Corazon) Dinky Soliman, and Renato de Villa,"
said a source. Soliman has been appointed social welfare secretary, and
De Villa, executive secretary.
In Malacanang, the President announced eight more names to add to her
administration's officials, but the vice presidency remained vacant.
Ms Macapagal met with 15 of her new officials for the first time and later
introduced the Cabinet to the media at the Heroes Hall.
Defense Secretary Orlando Mercado and Alcordo were not present.
The President said she had appointed Rep. Eduardo Ermita as her adviser for
the peace process. She had previously named Ermita as national security
adviser, a post that has since been given to former Armed Forces chief Gen.
Lisandro Abadia.
The Cabinet still needs a foreign secretary -- a position that may be taken
on by the next vice president, and secretaries for agrarian reform,
agriculture, environment and natural resources, health, labor and
employment, science and technology, and trade and industry.
Those earlier appointed will be sworn in today. Luz stressed that the MBC
was questioning, not any specific appointment, but the lack of a rigorous
selection process and the uneven mix of Cabinet officials.
He also pointed out that, unlike other groups, the MBC was not lobbying for
any of its members to be named to sensitive posts.
Former President Fidel Ramos bristled at criticisms that people closely
identified with him were now holding juicy posts in the Cabinet. He also
declared that he neither asked for nor accepted the post of ambassador
extraordinary and plenipotentiary.
In a press briefing yesterday at the Ninoy Aquino International Airport, an
irritated Ramos sought to douse speculations that he influenced the
President in appointing "Ramos boys" to her Cabinet.
"If you say that I exerted influence, you're flattering me too much," he
said.
Ramos, chair emeritus of Lakas-NUCD, also sought to justify the appointment
of his party mates, such as former Rep. Hernando Perez and former Deputy
Speaker Simeon Datumanong as secretaries of justice and public works.
"They're good people, They're devoted people. They've risked their lives to
serve this country," he said.
Ramos also said Ms Macapagal's appointment of Datumanong was based, not on
his membership in Lakas, but on his excellent track record as a leader of
the Muslim community, regional governor of the Autonomous Region in Muslim
Mindanao and deputy speaker. He was scheduled to fly last night to
Switzerland. Inquirer, 01/26/2001
ERAP `AIRPLANE ACCOUNTS' UNCOVERED, SAYS SOLON: Several "airplane" accounts
also served as repositories for ousted President Joseph Estrada's alleged
ill-gotten wealth, a former House prosecutor in the suspended impeachment
trial of Estrada yesterday said.
"(He) even has what we call `airplane accounts' because they are numbered
after airplane types such as Account No. 747, Account No. 737, Account No.
727 for Boeing planes and Account No. 300 and Account No. 301 after Airbus
airplanes," Rep. Joker Arroyo said.
In a press conference, Arroyo said the "airplane" accounts were different
from Estrada's accounts under assumed names such as Jose Velarde, Jose
Marcelo, Kelvin Garcia and Jose Rizalista Marcelo.
Estrada also maintained a "three one eight" account. He could withdraw from
the account by spelling out the numbers instead of using a name, according
to Arroyo.
He said Estrada used almost all banks in the country to conceal his funds.
Arroyo said documents gathered by the 11-member House prosecution team
would be turned over to the private prosecutors, who helped the team in the
Senate impeachment trial.
The private prosecutors will pursue the cases against Estrada either
through the Office of the Ombudsman or the Department of Justice.
Private groups, including the Volunteers Against Crime and Corruption and
three lawyers' organizations, have filed with the Office of the Ombudsman
cases of plunder against Estrada. Arroyo named some of the private
prosecutors as Romeo Capulong, former Ateneo Law School dean Eduardo de los
Angeles and Simeon Marcelo.
Documents pertaining to the bank accounts of Estrada's mistresses like
Laarni Enriquez, Joy Melendrez and Guia Gomez as well as those of Jose
Marcelo, Kelvin Garcia and Jose Rizalista Marcelo will also be handed over
to the private prosecutors.
With the transfer of the documents to the private prosecutors, the task of
recovering Estrada's ill-gotten wealth has been transferred to the private
prosecutors.
Arroyo said the private prosecutors could get the necessary court orders
for the production of documents on the accounts of Estrada and his
mistresses.
A group of lawyers, who helped in the prosecution of Estrada in the
impeachment trial, said the Bureau of Internal Revenue's freeze order on
Estrada's deposits at the Citibank NA-Virra Mall branch in Greenhills, San
Juan, was "legal."
The Free Legal Assistance Group (FLAG) also said that the BIR would freeze
the assets of Estrada in other banks.
Lawyer Theodore Te said that under the Comprehensive Tax Reform Program BIR
officials could freeze certain assets that may later be the subject of tax
evasion cases.
Justice Secretary Hernando Perez said that the two accounts frozen at
Citibank Virra Mall were under Estrada's name.
Perez said that one was a peso account and the other was a dollar account.
He said the freeze order on the account was only temporary and would depend
on the BIR.
He said that the government could not touch the other deposits of Estrada
because "we are not really certain in whose names the deposits were made."
Perez also said that he could not freeze the account under the name of Jose
Velarde and Kelvin Garcia. Inquirer, 01/26/2001
ERAP FREE TO LEAVE COUNTRY, SAYS DOJ: Deposed President Joseph Estrada
would be free to leave the Philippines if he wanted to live in exile,
Justice Secretary Hernando Perez yesterday said.
Two days earlier, Perez issued a hold-departure order on Estrada, former
first lady Luisa "Loi" Ejercito, their eldest son, San Juan Mayor Jinggoy
Estrada, and 21 others.
Perez flip-flopped after the Integrated Bar of the Philippines issued a
statement that banning Estrada from leaving the country was unconstitutional.
But militant groups said Estrada should be barred from leaving the country
so that he could be punished for his alleged crimes.
The groups said allowing Estrada to leave the country "will betray the
spirit and gains of the second People Power revolution."
A legislator urged that Estrada be placed under house arrest instead.
They were reacting to Senate President Aquilino Pimentel Jr.'s proposal to
banish Estrada abroad to avoid possible bloodshed.
Pimentel said Estrada's continued presence in the country had emboldened
his supporters to stage actions to reinstall the ousted President. "If
former President Estrada wants to leave, that is his decision. We cannot
force him to leave," Perez said in a news conference in response to a query
if the government would banish the former leader.
But Perez said Estrada "has not indicated" that he planned to go abroad.
In the House of Representatives, some legislators opposed Pimentel's
proposal.
"We must find a way to have him arrested," said Akbayan Rep. Loretta Ann
Rosales.
Rosales said placing Estrada under arrest would negate any move to make him
a focal point for opposition.
For his part, Rep. Joker Arroyo said Pimentel's proposal could have stemmed
from the fact that the Senate did not know the evidence in the hands of the
prosecution.
"How can we allow now the (former) President to go on exile if what he has
done is terrible," Arroyo said.
Rep. Wigberto "Bobby" Tanada, a prosecutor in the impeachment trial of
Estrada, is also against an exile for Estrada.
"Let the cases be prosecuted and tried and let justice take its course. If
he will not be around, that may create problems legally, among others. It
is not clear to me how he can be tried in absentia. Others say it's
possible but I'm not sure," Tanada said.
Agusan del Norte Rep. Roan Libarios, also a prosecutor, favors an exile for
Estrada provided that he goes to a country with an extradition treaty with
the Philippines.
Bayan Muna, a party-list group, assailed Pimentel's proposal to exile Mr.
Estrada as "sick and groundless."
"We should not give Estrada an opportunity to evade charges and run like a
fugitive criminal; he must face his day in court and be meted out the
necessary punishment," Bayan Muna president Satur Ocampo said.
"The people are talking here of justice. We should give them what they
deserve; justice and redemption is what the second Edsa People Power wants
to convey," he added.
Teodoro Casino, Bayan secretary general, said "Estrada's exile, if allowed,
would be a major reversal for People Power II as it would repeat the sad
mistake of letting the ousted leader go scot-free." Inquirer, 01/26/2001
SENATE 11, ERAP ALLIES REGROUP: Allies of ousted president Joseph Estrada,
including the 11 "No'' senators and some congressmen, have joined forces to
form the new opposition with a plan to support legal moves challenging the
legitimacy of President Macapagal-Arroyo's assumption to office.
The re-grouping was formalized at a luncheon meeting yesterday hosted by
Edgardo Angara, Estrada's former executive secretary, at the Hyatt Regency
Hotel in Pasay City.
Present at the meeting were Senators Blas Ople, Francisco Tatad, Miriam
Defensor-Santiago, John Osmena, Juan Ponce Enrile and Teresa Aquino-Oreta.
Also present were Rep. Agapito "Butz'' Aquino and Jamby Madrigal, a
presidential adviser during the Estrada administration.
Ople said Senators Vicente Sotto III, Ramon Revilla, Robert Jaworski, Anna
Dominique Coseteng and Gregorio Honasan did not attend the meeting but sent
"messages to indicate their support to these plans to strengthen the
opposition."
Santiago confirmed the meeting was called by Angara to discuss the
formation of an opposition group.
Ople, who was assigned by the group to talk to the media, said: "The
consensus is that in the Macapagal-Arroyo administration, we will lead a
strong, constructive and responsible opposition. This is what the combined
parties of the LDP and NPC (the Laban ng Demokratikong Pilipino and the
Nationalist People's Coalition parties) in the Senate and the House of
Representatives and elsewhere will be able to provide."
Ople said members of the LDP, the NPC and other "independent" politicians
would form an "alternative government" to the Macapagal administration. He
noted that the LDP-NPC coalition, through Aquino, had taken the minority
position in the House.
He said the opposition would field a complete and "strong" senatorial slate
in the May 14 elections, probably with Santiago, Enrile and Honasan leading
the ticket.
Ople and Santiago moreover said the opposition planned to support the move
by some lawyers, led by former senator Rene Saguisag, to challenge the
Macapagal presidency in court.
Tatad said the meeting discussed "the way the Supreme Court acted" in
allowing Macapagal to take the oath as President despite the absence of a
resignation letter from Estrada. Inquirer, 01/26/2001
MERCADO QUITS CABINET POST OVER SELECTION OF ABADIA: Barely completed, the
Arroyo Cabinet got its first resignation yesterday when Defense Secretary
Orlando Mercado quit over the appointment of former Armed Forces chief Gen.
Lisandro Abadia as national security adviser. Abadia immediately offered to
resign.
"I resigned today," Mercado told reporters. "One of the reasons is the
appointment of General Abadia."
He said Abadia was chief of staff when officials uncovered a case four
years ago involving the misuse of P5 billion in the Armed Forces Retirement
and Separation Benefits System (RSBS), the military's pension fund. Charges
against top military officials are still pending in the Office of the
Ombudsman.
"How can I serve in the Cabinet together with the national security adviser
when I initiated the probe against him?" Mercado asked.
In a television interview, Abadia offered to resign while denying any
wrongdoing in connection with the RSBS scandal. He said no case has been
filed against him by the Ombudsman and wondered why Mercado was hounding
him with allegations, suggesting political motivations.
Mercado's departure was a clear blow to Mrs. Arroyo's fledgling
administration, especially since a Cabinet official was linking it to a
military corruption case, and the President has made clean government a top
priority.
Mercado, a holdover from the collapsed Estrada administration, said he told
Mrs. Arroyo about his decision prior to the start of her first news
conference as President yesterday.
She reportedly responded that she would take the resignation under
advisement, but Mercado said he told her it was certain.
"I have been trying to reform the defense and military procurements,
putting this through the Internet for transparency. It was difficult and I
wanted to stay a little longer to finish this but... Then we have somebody
who is the object of our reform... suddenly he's there. We're supposed to
be teammates," Mercado said.
Mercado said he would probably just focus on preparing for his Senate bid.
He had been planning to step down Feb. 12 to become eligible for the
election in May. Phil. Star, 01/26/2001
FUENTEBELLA OUT IN HOUSE COUP; BELMONTE IS NEW SPEAKER: Congressmen elected
last night former Minority Leader and head of the prosecution panel in the
impeachment trial Feliciano Belmonte Jr. as the new Speaker of the House of
Representatives.
Belmonte defeated his lone opponent, Makati Rep. Agapito "Butz" Aquino of
the Laban ng Demokratikong Pilipino (LDP), by a vote of 112 to 79 after
being nominated by former House boss Manuel Villar, who was himself ousted
after sending the impeachment complaint against ousted President Joseph
Estrada to the Senate last Nov. 13.
Belmonte replaced Arnulfo Fuentebella, the country's first Bicolano speaker
who declined to be nominated in last night's voting, saying he was not
interested in the position anymore.
In nominating Belmonte, Villar told his colleagues that the Lakas solon,
after having successfully managed the job of prosecuting the deposed
leader, should be elected the country's fourth highest-ranking official.
Rep. Sergio Apostol was to be chosen majority floor leader. He was formerly
senior deputy minority leader and member of the panel that prosecuted
Estrada in the Senate.
With Belmonte's election as speaker, a new majority coalition emerged in
the House. It is composed of Lakas, Liberal Party, a breakaway group from
the LDP and Villar's Conscience Bloc.
Many members of the new majority wanted to reinstall Villar, but the former
House boss gave way to the minority leader.
He said he was not interested in reclaiming the speakership. The President
had batted for the retention of Fuentebella as Speaker but later told her
Lakas partymates to go for the House leadership if they have the numbers.
Phil. Star, 01/25/2001
SENATE DISBANDS IMPEACHMENT COURT: The Senate moved yesterday to disband
the impeachment tribunal in the aftermath of the trial's collapse and the
ouster of former President Joseph Estrada.
Senate President Aquilino Pimentel Jr. said the senators have unanimously
supported a proposed resolution to officially terminate the impeachment
proceedings.
"Our job is done," Pimentel told reporters after coming out of a
closed-door caucus with his colleagues.
He said the mandate of the impeachment tribunal headed by Chief Justice
Hilario Davide Jr. as presiding officer has been overtaken by events that
culminated with the ouster of Estrada on Saturday.
"There is no need to hand down the verdict because it is now a fact that
the President is staying (in his house) on Polk street (in Greenhills, San
Juan)," Pimentel said.
He said the controversial second envelope purportedly containing documents
on the Jose Velarde bank account would be turned over to Ombudsman Aniano
Desierto as part of the evidence in prosecuting Estrada for alleged plunder
of the economy.
The impeachment court also failed to resolve contempt charges against
defense lawyers Sigfrid Fortun and his brother Raymond, as well as
prosecutors Raul Gonzales and Clavel Martinez. Phil. Star, 01/25/2001
ESTRADA BANK ASSETS FROZEN: People power won another battle when the Bureau
of Internal Revenue (BIR) ordered yesterday the freezing of the accounts of
ousted President Joseph Estrada and his wife with the Citibank NA-Virra
Mall branch in Greenhills, San Juan.
The BIR order came as protesters blocked the entrance to the Citibank
branch following reports that Estrada and members of his family were
planning to withdraw $3 million and P100 million from the bank.
"Don't give to Erap, the money of the poor," shouted the protesters from
groups including the Freedom from Debt Coalition (FDC) and the Anti-Trapo
Movement as they picketed the bank.
Bystanders, shoppers and commuters spontaneously joined the picket.
But the Bangko Sentral ng Pilipinas (BSP) said Estrada's dollar deposits in
Citibank or in any other bank could not be frozen even by a court order.
BSP legal counsel Juan de Zuniga said Republic Act 6426, or the Foreign
Currency Deposit Act, declares that dollar deposits "are of an absolutely
confidential nature."
This means that Estrada and members of his family can withdraw dollar
deposits ranging from $3 million to as much as $35 million, according to
sources in the banking industry.
BSP, however, said the peso deposit accounts of Estrada or any member of
his family could be frozen by a court order.
The BIR order freezing Estrada's accounts takes effect immediately and can
only be lifted if Estrada could prove that he paid taxes for the funds.
Sen. Franklin Drilon said several senators had agreed that newly appointed
Justice Secretary Hernando "Nani" Perez should quickly act to prevent the
withdrawals.
Sen. Raul Roco said the Bangko Sentral could also use its moral suasion to
ask banks to prevent the Estradas from withdrawing from their accounts.
But Sen. Juan Ponce Enrile, one of the 11 senators who voted against the
opening of the Velarde envelope, doubted the possibility of a freeze order.
BSP Governor Rafael Buenaventura said he could not even ask Citibank
whether Estrada maintained an FCDU account with the bank.
Argee Guevarra, legal counsel of the militant group Sanlakas, which led
some 90 protesters who staged a picket in front of the bank, considered the
freeze order a "victory of the people power revolution."
Jerry Go of the Kongreso ng Mamamayang Pilipino (Kompil) II said his group
would also work for the freezing of Estrada's accounts with at least 29
other banks. Inquirer, 01/24/2001
DOJ BARS ESTRADA FROM LEAVING RP: Newly appointed Justice Secretary
Hernando Perez yesterday barred ousted President Joseph Estrada, former
first lady Luisa Ejercito, their eldest son, San Juan Mayor Jinggoy
Estrada, and 21 others from leaving the country.
In his first official act as justice secretary, Perez approved Ombudsman
Aniano Desierto's request for the issuance of hold-departure orders to
"ensure the availability of all the respondents for the purpose of the
criminal investigations" planned in connection with complaints that they
committed plunder, malversation, bribery, graft and corruption and unlawful
acquisition of wealth.
Perez said his office was also considering a freeze on all the assets of
the former first family, including the possible sequestration of the
so-called "Erap mansions."
Perez issued hold orders against all but three of 27 persons listed by the
Ombudsman.
He excluded Senators John Osmena and Teresa Aquino-Oreta, saying "they are
incumbent senators and cannot be prevented from leaving the country,
especially if they will represent the country in those trips," and Ilocos
Sur Gov. Luis "Chavit" Singson, because "he is a material witness" in the
complaints filed against the ousted president and 25 others.
"We are even studying whether or not to include (Singson) in the witness
protection program," said Perez, who was among the private prosecutors at
Estrada's impeachment trial.
The others barred from leaving the country are former Budget Secretary
Benjamin Diokno; former presidential legislative liaison officer Jaime
Policarpio; former Executive Secretary Ronaldo Zamora; Estrada's lawyer
Eduardo Serapio; Estrada's brother-in-law Raul de Guzman.
University of the Philippines professors Danilo Reyes and Mila Reforma,
directors of the Erap Muslim Youth Foundation; businessman-lawyer Manuel
Zamora Jr.; former state gambling consultant Charlie "Atong" Ang; and
Yolanda Ricaforte, Estrada's alleged auditor for jueteng collections.
They were implicated directly or indirectly in Estrada's alleged jueteng
protection racket or the P200-million tobacco tax kickback that he
allegedly received.
In his request to Perez, relayed in a three-page letter transmitted earlier
in the day, Desierto said the hold orders were necessary "so as not to
frustrate the ends of justice."
He noted that at least two of the respondents named in the complaints --
Ang and Ricaforte -- had earlier fled the country.
The Office of the Ombudsman is conducting a preliminary investigation of
the respondents in connection with six complaints filed last November by
private groups including the Volunteers Against Crime and Corruption and
three lawyers' organizations.
Desierto said Monday that he had ordered the formation of a special panel
to handle the investigation.
Desierto said in an interview yesterday that the Office of the Ombudsman
had no authority to freeze Estrada's assets until after a case had been
filed with the Sandiganbayan. Inquirer, 01/24/2001
PESO, STOCKS FALL AMID COUP RUMORS: Local stocks yesterday fell back to
earth with a thud, dropping nearly 3 percent, as investors took profits
amid concerns ousted President Joseph Estrada might stage a comeback.
The peso also hit an intraday low of 50.10 to the US dollar, but closed at
49.20 as talk of a coup attempt by Estrada supporters swirled.
"I doubt that a coup or any destabilization effort would prove successful
because the people, the military and the police have rallied behind
President Gloria Macapagal-Arroyo," said Warren Chua of Mercantile
Securities Corp.
"But it raises concerns, and that's being reflected in the market, aside
from the fact, of course, that people are taking profits," he said.
The 30-company Philippine Stock Exchange Index dropped 45.76 points, or 2.7
percent, to close Tuesday at 1,662.30. Losers beat gainers 55 to 37, with
36 issues unchanged.
Volume turnover fell to P2.7 billion from a record P7.2 billion on Monday
when the main index shot up 34 percent within minutes of the opening bell
amid the euphoria over Estrada's ouster on Saturday.
At the end of the historic rally, the index was still up 255.13 points, or
17.6 percent, at 1,708.06 -- its highest level in nine months.
The exuberance faded after Estrada indicated he would question the legality
of his replacement by Ms Macapagal, his erstwhile Vice President.
Estrada, who has not formally resigned, submitted on Monday a letter to the
Senate saying he was only temporarily transferring his duties to Ms
Macapagal in an acting capacity.
"Investors are still hesitant," said Jose Vistan, an economist at Wise
Securities. "They want to see definite policy that will assure them that
this new administration can revive the economy."
Businesses hope that Ms Macapagal, a 53-year-old trained economist, will be
able to solve a host of economic problems, including a soaring government
deficit, rising inflation and plunging investment.
The market is also waiting to hear the new government's plans for
privatizing large corporations and for reviving stalled reforms, including
a power sector reform bill stuck in Congress.
Experts have pointed out that the economy, one of Asia's laggards, faces
many troubles that won't instantly vanish under Ms Macapagal's fresh
leadership.
"Estrada so systematically messed things up it will take a long time to
undo the damage," said Manish Singhai, fund manager of Alliance Capital
Management.
The peso ended trading slightly higher against the dollar, closing at 49.20
on the Philippine Dealing System compared to 49.30 on Monday.
The peso's initial losses were attributed to strong demand for dollars from
companies that had postponed purchases because of a stronger US currency.
The peso traded at about 54 to the dollar early Friday before soaring to
47.50 later in the day after Estrada's military commanders withdrew their
support. Inquirer, 01/24/2001
MILITANT GROUP DECLARES WAR VS. TRAPOS, BALIMBINGS: A nationwide movement
against traditional politicians went out in the open yesterday and
immediately declared the last-minute turncoats, or balimbing (sour melon),
and 11 pro-Estrada senators "politically dead."
The Anti-Trapo Movement (ATM), according to convenors Fr. Ben Moraleda and
Maitet Diokno-Pascual, was formed to warn President Macapagal-Arroyo that
People Power II had rejected the trapos, or traditional politicians, who
betrayed the public, and that the "nightmare" of a corrupt government
should not be repeated.
The convenors said the ATM was launched to "fight against the traditional
politics of the elite, against plunder, profligacy, patronage, abuse of
power, corruption, and the use of state power to promote and defend the
interests of the rich and powerful, particularly the cronies."
It would also guard against the interests and designs of international big
business and fight for democratic governance, they said.
The ATM, which counts cause-oriented and multi-sectoral groups among its
ranks, warned Ms Macapagal to immediately act on the public clamor for the
arrest and prosecution of deposed President Joseph Estrada, his cronies and
accomplices.
It also asked that their wealth be sequestered in favor of the public.
The ATM also demanded the immediate creation of a Special Commission
composed of individuals with "unassailed integrity" to try Estrada and his
accomplices. Inquirer, 01/24/2001
3 RAM-YOU MEN CONFIRM COUP TALKS: Rightist soldiers confirmed yesterday
discussing a coup at the home of Sen. Juan Ponce Enrile even as he and Sen.
Gregorio Honasan, along with resigned Philippine National Police chief
Director General Panfilo Lacson, denied any part in plans to overthrow the
fledgling Arroyo administration.
Even Malacanang dismissed as "baseless" news reports attributed to the
militant group Akbayan about alleged coup plots against newly installed
President Arroyo.
Executive Secretary Renato de Villa branded the coup rumors as
"pathological activity" by its unknown authors.
Defense Secretary Orlando Mercado also shrugged off rumors of the alleged
coup plot by supporters of deposed President Joseph Estrada. Three leaders
of the rightist Rebolusyonaryong Alyansang Makabansa (RAM) revealed that
they were invited to a secret meeting at Enrile's residence in the posh
Dasmarinas Village in Makati City shortly after Arroyo was sworn into
office by Chief Justice Hilario Davide Jr. on Saturday.
The sources, who asked not to be identified, said Enrile and Honasan tried
to persuade them to join a coup against Arroyo.
The RAM leaders said they politely rejected the invitation.
Akbayan, at a press conference last Monday, alleged that Enrile, Honasan
and Lacson were spearheading a coup plot against Mrs. Arroyo.
At least five Army companies loyal to Enrile and Honasan were headed to
Metro Manila from Isabela and Cagayan provinces in Northern Luzon Monday
afternoon, field reports said.
However, the troops were blocked in Carranglan town in Nueva Ecija by
forces loyal to the new administration, Akbayan said.
But military sources said the Army blocking force set up in Carranglan
failed to make contact with the renegade soldiers and policemen who
reportedly left their camps in Gattaran, Cagayan and Gamu, Isabela.
Other sources claimed that former Executive Secretary Edgardo Angara and
former Interior and Local Government Secretary Ronaldo Puno were also with
the coup plotters.
Angara, who acted as executive secretary of Estrada for only two weeks,
denied the alleged coup plot. "I categorically and equivocally deny that.
That's a complete lie, a fabrication," he said.
Akbayan said Enrile and Honasan met with their military backers in
Greenhills, San Juan to map out their moves to retake the government.
Enrile admitted he met with his former aides, among them Honasan, when he
was still defense secretary under the Marcos administration, but clarified
it was a routine gathering by their group.
Also reportedly present during the dinner-meeting were other leaders of the
Rebolusyonaryong Alyansang Makabansa including Rex Robles and Victor Erfe.
For his part, Lacson said he chose to remain silent "in deference to the
new leaders chosen by the people."
He also denied any involvement in the alleged coup plot. "I have no
intention, now or in the future, to engage in any act that would run
contrary to the provisions of the Constitution, or subvert the will of the
people, and I reaffirm my intention to remain faithful to my oath as a
police officer and a public servant," he said.
Mercado allayed fears of an impending attempt to grab political power by
force. Meanwhile, Sen. Ramon Magsaysay Jr. said alleged attempts by Estrada
to withdraw $3 million from his account with Citibank could be part of the
coup plot against Mrs. Arroyo.
A 5,500-strong strike force was placed on combat alert at Camp Aguinaldo in
Quezon City amid reports of a coup plot against the Arroyo government.
Camp commander Army Col. Angel Atutubo said the strike force was backed by
the elite Special Forces units, light tanks and armored infantry fighting
vehicles.
Atutubo said strict security measures were also implemented in Camp
Aguinaldo to regulate the flow of people going in and out of the base.
"We are checking if certain parties are either bringing in or taking out
firearms. We are still (monitoring) if there will be action," Atutubo said,
adding the red alert status has yet to be lifted.
The Army contingent at Fort Bonifacio in Makati City also remained on red
alert, along with the Air Force in nearby Villamor Air Base in Pasay City.
Phil. Star, 01/24/2001
FOREIGN ENVOYS PLEDGE TO HELP GMA: Her predecessor is still laying claim to
power, but President Arroyo's administration received formal recognition
from the diplomatic community yesterday.
In a reception or vin d'honneur at Malacanang, more than a hundred foreign
diplomats led by the dean of the diplomatic corps, Papal Nuncio Antonio
Franco, praised the non-violent "people power II" that ousted President
Joseph Estrada over corruption allegations.
The diplomats pledged to help Arroyo fight poverty and improve government
morals. They stressed the need to quickly heal deep political divisions and
rebuild an economy battered by a devastating three-month political crisis.
Mrs. Arroyo said the "immediate support of friends and allies is critical."
She said her administration would harness diplomacy to help the ailing
economy recover. She added the recent massive street protests showed the
vibrancy of Philippine democracy.
Mrs. Arroyo, the country's 14th president, on Monday moved into the offices
of Malacanang Palace, the sprawling compound where she lived when her
father was president from 1961 to 1965.
In her meeting with diplomats, Mrs. Arroyo announced the appointment of
seven special ambassadors, including Ramos, to boost the Philippines'
international ties and trade.
She said foreign policy decisions would increasingly be made in conjunction
with the Association of Southeast Asian Nations, a trading bloc in which
Manila was a founding member.
Although Mrs. Arroyo has strongly appealed for reconciliation, there were
signs that deep political divisions would linger. Phil. Star, 01/24/2001
ESTRADA'S DEMANDS: IMMUNITY, MANSIONS: Former President Joseph Estrada's
refusal to formally resign apparently stemmed from his failure to get
concessions from his constitutional successor.
President Arroyo's chief of staff and concurrent spokesman, Renato Corona,
said Estrada asked that he be cleared "from any kind of liability for
whatever he had done."
Corona said the ousted president also "wanted to maintain and to keep
possession of all the mansions, all the cash and all the assets that he had
accumulated, including those of his mistresses and wives."
Estrada also wanted "an ironclad guarantee that he would not be prosecuted
and that no cases will be filed against him," Corona said.
Shortly before Estrada left Malacanang following a four-day popular revolt,
he demanded that his successor "issue a presidential statement extolling
(him) to the high heavens and thanking him for the great things that he had
done for the country," the new Palace spokesman said.
But none of the demands were granted, the spokesman said, because Estrada
was in no position to exact concessions with the enraged crowd closing in
on the presidential residence at noon last Saturday.
Meanwhile, state prosecutors launched yesterday criminal proceedings
against the ousted leader.
Ombudsman Aniano Desierto said he has created a five-member panel to
investigate charges of economic plunder - an offense punishable by death -
as well as perjury and graft against Estrada, members of his families, and
alleged business cronies. Phil. Star, 01/23/2001
PEACE TALKS WITH MILF, NPA TO RESUME: President Arroyo ordered officials
yesterday to restart separate peace talks with communist and Muslim
guerrillas who have fought government troops for years, Defense Secretary
Orlando Mercado said.
"She has given us specific instructions as commander-in-chief and those
instructions are basically in the area of restarting the negotiation
process," Mercado said after meeting with the woman who had been president
barely 48 hours.
Estrada's administration had held talks with the Moro Islamic Liberation
Front, a large rebel group fighting for a separate Islamic nation in
Mindanao, and the Communist Party of the Philippines-National Democratic
Front, which is fighting nationwide, but the negotiations collapsed.
Muslim guerrillas welcomed Arroyo's order, saying they were optimistic they
could reach a political settlement of their uprising with the new
administration.
"That's a welcome, welcome development," MILF spokesman Eid Kabalu told The
Associated Press in a telephone interview.
"We should immediately start the talks and we could probably arrive at a
settlement with her. If people don't talk, things get murky," Kabalu said.
Kabalu urged Mrs. Arroyo, as a sign of goodwill, to withdraw an "all-out
war" policy adopted by Estrada which led to major battles between rebels
and government troops in southern Mindanao.
The MILF refused to resume talks with Estrada's administration after he
ordered a massive military offensive last year.
Communist rebels called off separate talks with Estrada's administration a
year earlier to protest the Philippine Senate's approval of an accord that
allowed the resumption of large-scale US joint military exercises in the
country.
The communists had no immediate reaction to Arroyo's order for new talks.
Despite seeking peace, Mrs. Arroyo still appeared ready to deal with the
rebels sternly. Mercado said the new President also ordered him to speed up
a program modernizing the country's armed forces, one of Asia's most
ill-equipped. Phil. Star, 01/23/2001
CHARGES VS ERAP PRESSED: The newly installed Macapagal administration
yesterday ruled out any deal with ousted President Joseph Estrada who faces
a barrage of criminal charges, including economic plunder that is
punishable by death.
Anti-Estrada congressmen and militant groups are pressing President Gloria
Macapagal-Arroyo to move swiftly in bringing her deposed predecessor to
trial and ban him from leaving the country to avoid prosecution.
"We don't intend to strike any deal with Mr. Estrada and his cohorts. Let
the axe fall where it may," Renato Corona, the newly designated
presidential spokesperson, said.
Ms Macapagal earlier rejected an outright amnesty for Estrada, saying she
would let justice take its course.
Corona said two groups of lawyers had filed with the Ombudsman a complaint
of economic plunder against Estrada even before his impeachment trial broke
down last week.
Corona said that before Estrada stepped down on Saturday, he and two other
representatives of Ms Macapagal rejected a request by Executive Secretary
Edgardo Angara that the ousted leader be given immunity from suit.
Corona said he, along with incoming Finance Secretary Alberto Romulo and
former Defense Secretary Renato De Villa, went to Malacanang to secure Mr.
Estrada's resignation letter.
But he said his negotiating team was told no resignation letter was
forthcoming.
As President, Estrada was immune from criminal charges and had to be tried
before the Senate impeachment court, where he would have been forced to
step down if convicted.
Now that he is unseated, the Senate trial has become academic and Estrada
can be tried in any court.
Alex Magno, a member of Ms Macapagal's transition team, said "all the cases
that have been filed against (Estrada) will proceed," including possible
charges of economic plunder.
More charges could be filed against Estrada based on the pieces of evidence
that came out during the Senate trial, including the use of a false
identity, unexplained wealth, falsification of public documents and
misdeclaration of his assets and liabilities, according to Ms Macapagal's
aides.
Makati Rep. Joker Arroyo and two other congressmen earlier urged the new
government to file charges against Estrada and his associates, saying there
could be no healing without justice.
At the same time, they called for the opening of the second sealed envelope
in the possession of the Senate court.
"Healing means that those with different political opinions should be
united. But there can never be a healing process without justice," Arroyo
said, referring to Ms Macapagal's inaugural speech in which she called for
"a time to heal."
"If we don't impose sanctions, nothing will happen to our country," the
Makati congressman added, explaining that criminals are jailed not merely
to punish them but to set an example to everyone.
Quezon City Rep. Feliciano Belmonte, head of the House prosecution panel,
and Bohol Rep. Ernesto Herrera, harped on the same theme.
Arroyo said that the 11-man team was scheduled to meet last night for a
get-together and that they would be coming out with a position on the
matter.
Herrera said the new administration should investigate the cases of missing
PR man Salvador "Bubby" Dacer and casino employee Edgar Bentain.
Arroyo said people also wanted Estrada's associates, like businessman Jaime
Dichaves and Charlie "Atong" Ang, prosecuted.
Dichaves and Ang had already left the country. Arroyo said the new
government should create a task force to go after them.
Lawyer Francis Pangilinan also suggested the creation of a special criminal
court that would try Estrada.
In Davao City, the Bagong Alyansang Makabayan (Bayan) urged Ms Macapagal to
"set in motion" the immediate prosecution of Estrada to complete the "goals
and spirit of People Power II."
Felix Irag, secretary general of the Kilusang Mayo Uno in Davao City, said
the battle against cronyism and corruption has just begun with Estrada's
ouster from power. Inquirer, 01/22/2001
LACSON OUT; MENDOZA APPOINTED PNP CHIEF: Pres. Macapagal Arroyo yesterday
designated Leandro Mendoza acting chief of the Philippine National Police
after Gen. Panfilo Lacson submitted his resignation to her last Saturday.
Mendoza, one of Lacson's deputies, headed the Transnational Crime Center
before his latest appointment. He was among the first ranking police
officers to withdraw their support for president Estrada shortly before he
was deposed in a bloodless people power action.
Lacson, however, found that it was not so easy to resign from the post he
had been appointed to by his friend, Estrada, amid much controversy and
from which he made many enemies, both in and outside the service.
Last Saturday, it was learned, while on his way to tender his resignation
letter to President Macapagal at her temporary headquarters at the Linden
Suites in the Ortigas Center, Lacson was accosted by officers of the
Rebolusyonaryong Alyansang Makabansa.
Lacson could have been badly assaulted were it not for the intervention of
former defense secretary Renato de Villa who was also at the hotel at 10
p.m. last Saturday.
The group, which was active in the movement against Estrada, was holding a
meeting when they were informed of Lacson's presence in the hotel.
Inquirer, 01/22/2001
GMA NAMES DE VILLA, LINA TO NEW CABINET: Pres. Arroyo is expected to
appoint today former Defense Secretary Renato de Villa as executive
secretary and Laguna Gov. Jose Lina as secretary of the interior and local
government.
"They are the choice for the posts," a source privy to findings of a
Cabinet search committee said yesterday.
The source said Mrs. Arroyo is also expected to name former Social Security
System chairman Renato Valencia as president of the state-run gaming firm
Philippine Amusement and Gaming Corp. (Pagcor).
Budget Undersecretary Emilia Boncodin is also being eyed to head the
Department of Budget and Management (DBM), the source added.
Earlier, Mrs. Arroyo said in a televised interview that she was
"considering" activist Dinky Soliman as secretary of social welfare and
development.
Soliman is a convenor of the Kongreso ng Mamamayang Pilipino II (Kompil II)
which actively campaigned for the ouster of disgraced former President
Joseph Estrada.
She also said she was "considering" Rep. Michael Defensor to take charge of
the government's housing program, a Cabinet-level portfolio.
Aside from Cabinet appointments, the President has issued her first
administrative order which directs all government agencies against dealing
with any of her relatives up to the fourth degree of consanguinity or
affinity.
Mrs. Arroyo made two public appearances yesterday, both religious
ceremonies.
But most of her time was taken up with meetings with her emerging Cabinet
where it was reaffirmed that the Arroyo administration would pursue charges
of plunder against Estrada.
The President is expected to begin her first working day with flag-raising
ceremonies at the Malacanang Palace grounds after which she would meet with
officials of the Armed Forces of the Philippines (AFP).
She is also set to meet the leaders of the various groups that helped
organize the popular uprising at the EDSA Shrine which caused the AFP and
key Cabinet members to withdraw support for Mr. Estrada on Friday.
But Mrs. Arroyo has repeatedly said over the weekend that economic recovery
shall be the immediate priority of her administration.
Already the business sector is looking forward to the end of a protracted
political crisis following the inauguration of a new president with strong
economic credentials
Mrs. Arroyo, inaugurated Saturday after the four-day EDSA uprising, was a
dean's list economics student at Georgetown University in Washington D,
where she was a classmate of former US President Bill Clinton.
She was named to the trade agency Garments and Textiles Export Board by
President Aquino before she won a seat in the Senate under the Lakas-NUCD
party of former President Fidel Ramos.
Immediately after her inauguration, she named experienced financier and
former senator Alberto Romulo as her finance secretary to help contain a
ballooning budget deficit.
The budget deficit deteriorated to P136.1 billion, or more than double the
target, during the Estrada regime because of weak tax collections and
privatization revenues.
Romulo will have to meet with investment bankers and multilateral creditors
who have been disillusioned by the blatant cronyism that dragged down
confidence in the economy.
Both the International Monetary Fund and World Bank have refused to release
loans to the Philippines because of Manila's failure to meet some of its
economic targets.
In her first policy pronouncements, Mrs. Arroyo herself acknowledged that
perceptions of a level playing field is vital in attracting foreign
investments into the economy after hitting record lows during the Estrada
regime.
But the emerging Arroyo economic team conceded that the country's economic
problems will take some time to resolve.
Despite the wariness, however, business leaders are already expressing
exuberance at the economic outlook and are predicting a swift recovery at
least for the battered peso and the stock exchange. Phil. Star, 01/22/2001
BIG SHAKE-UP LOOMS IN HOUSE: With the ascension of Gloria Macapagal-Arroyo
to the presidency, her opposition allies are expected to move for a
leadership shake-up in the House of Representatives.
Mrs. Arroyo belongs to Lakas, now the administration party. As of
yesterday, officials of Lakas and three other groups that supported the
impeachment process against ousted President Joseph Estrada were discussing
the reorganization of the House.
The three groups are the Conscience Coalition, composed of about 40
congressmen led by former Speaker Manuel Villar Jr., the Liberal Party of
Batanes Rep. Florencio Abad, and a breakaway faction of the Laban ng
Demokratikong Pilipino led by Nueva Vizcaya Rep. Carlos Padilla. The Lakas
contingent is led by Minority Leader Feliciano Belmonte Jr.
The present head of the chamber, Speaker Arnulfo Fuentebella, belongs to
the Nationalist People's Coalition (NPC), led by Eduardo Cojuangco Jr. and
former Ambassador Ernesto Maceda, both close friends of Estrada.
NPC is one of the three political parties making up Estrada's Lapian ng
Masang Pilipino.
Some congressmen belonging to the minority are for keeping the status quo
since Fuentebella, although belonging to the former ruling coalition, fully
supported the House panel that prosecuted Estrada in his impeachment trial.
Besides, they said Congress will hold session for only three weeks before
adjourning for the election campaign and a reorganization won't achieve
anything.
Others, however, would like to push for a complete shakeup so the new
ruling party can muster broad congressional and political support for Mrs.
Arroyo.
There are three names being floated as possible replacement for
Fuentebella: Belmonte, Villar and Assistant Minority Leader Michael
Defensor. Belmonte and Villar are both third termers and eyeing other
elective posts. Phil. Star, 01/22/2001
US RECOGNIZES GMA GOVERNMENT: The US government re-cognized yesterday the
new leadership in the Philippines, expressing relief that the crisis was
settled peacefully and in accordance with democratic and constitutional
procedures.
More than 90 major political parties in Europe, America, Asia and Africa,
represented by Christian democrats, which hold a majority in the European
Parliament, declared their support for new President Gloria
Macapagal-Arroyo.
Members of the international community welcomed the peaceful succession as
Arroyo was sworn in as the new Chief Executive to replace the ousted Joseph
Estrada. In a statement, the US Embassy said the US government is pleased
to join the new President in the common effort to enhance ties between the
two countries.
Resigned Foreign Affairs Secretary Domingo Siazon Jr. said the presence of
foreign diplomats at the inauguration of Arroyo at the historic EDSA Shrine
was a sign that the international community acknowledged the new
leadership.
Present during the ceremony were the ambassadors of Australia, New Zealand
and Canada. Others had tried to join the affair but were kept back by the
thick crowd surrounding the shrine.
Mrs. Arroyo acknowledged the presence of the diplomats. The US government
noted the exceptionally strong working relationship with Mrs. Arroyo in the
past, and was looking forward to working with her and strengthen relations
even further.
At the same time, the US thanked Estrada for his efforts to bring relations
with the US closer during his brief two-and-a half years in power.
Japan also welcomed Mrs. Arroyo and pledged to support and work closely
with the new administration.
In Bangkok, the Thai foreign ministry said Estrada's ouster was in
accordance with the democratic process and was in line with the will of the
majority. Phil. Star, 01/21/2001
ESTRADA GOV'T COLLAPSES: The Estrada administration collapsed yesterday as
Cabinet members tendered their resignations and the police and military
withdrew their support.
But Mr. Estrada initially refused to step down or leave the Philippines,
instead urging Congress to call snap elections to coincide with the
congressional and local elections in May. He said he would not run.
His constitutional successor, Vice President Gloria Macapagal-Arroyo,
flatly rejected the proposal, stressing that Mr. Estrada has lost the moral
authority to govern and has even lost his government.
Reliable sources said the United States had offered temporary asylum to the
President and his family, but the Chief Executive continued to vacillate on
the offer until late last night.
Sources said Mr. Estrada was ready to leave for the US but kept on changing
his mind.
A private plane is ready to take Mr. Estrada and his families to the US via
Malaysia but US Embassy spokesman Thomas Skipper refused to confirm the
reported offer of asylum. Skipper simply said the world is watching the
developments in the country "with great interest."
He assured the US would not intervene in the domestic issue and made no
comment on Mr. Estrada's proposal to hold snap elections.
Earlier, Mr. Estrada refused to resign and urged Congress to call "snap"
presidential elections to coincide with the congressional and local
elections slated on May 14.
He said he will not participate in such a snap election and he vowed to
transfer the powers of the Office of the President to whoever is elected
President.
But congressional leaders rejected Mr. Estrada's proposal.
Makati Rep. Joker Arroyo, one of the lawmakers prosecuting the impeachment
case against Mr. Estrada, said Mr. Estrada's proposal showed that he was
not getting the correct legal advice.
Both administration and opposition senators also rejected Mr. Estrada's
proposal, saying snap elections have no basis in the Constitution and will
not save the country from trouble.
Even Philippine National Police chief Director General Panfilo Lacson, a
long-time presidential ally, also urged Mr. Estrada to resign and "look at
the higher national interest."
The beginning of the collapse of the Estrada administration came at around
4:30 p.m. yesterday as Defense Secretary Orlando Mercado and Armed Forces
chief Gen. Angelo Reyes arrived at the EDSA Shrine where some 250,00 people
were protesting.
The chiefs of all armed services later joined the two top military
officials in the company of Arroyo, and former Presidents Ramos and Aquino.
"In behalf of your Armed Forces, the 130,000-strong member of the Armed
Forces, we wish to announce that we are withdrawing our support to this
government," Reyes told the wildly cheering crowd.
"Let us not be vindictive," Reyes said, adding that Mr. Estrada and his
families should be allowed to "exit with dignity." Reyes said his defection
was a "very difficult decision."
Appearing on national television, Lacson, who had served under Mr. Estrada
throughout his term as vice president, said it was the most painful
decision in his life. Phil. Star, 01/20/2001
MILITARY DEFECTION TURNS TIDE VS ESTRADA: Resignation by the entire
military hierarchy that left him literally defenseless precipitated the
early collapse of the Estrada presidency.
Armed Forces chief Gen. Angelo Reyes, who led major service commanders and
several senior officers of the military and the Philippine National Police
(PNP), gave assurances that Mr. Estrada and his family would be allowed to
"exit with dignity."
The end for the country's 13th president also came four days after his
impeachment trial ground to a halt due to a walkout by the prosecution
panel in protest over the suppression of crucial evidence by
pro-administration senators.
Earlier yesterday, the embattled President announced that he was ordering
his lawyers in the impeachment trial to allow the opening of an envelope
containing the documents pertaining to his accounts with Equitable-PCI
Bank, which the prosecution said held P3.3 billion in ill-gotten wealth.
The President insisted anew that he was innocent of the charges against
him.
Faced with the defection of his aides and followers, Mr. Estrada later
announced that he was stepping down effective June 30 this year after his
successor has been chosen in a snap poll to be held simultaneously with the
May 14 local and senatorial elections.
Defense Secretary Orlando Mercado, accompanied by Reyes and the major
service commanders, walked to the EDSA Shrine from the Armed Forces of the
Philippines headquarters in nearby Camp Aguinaldo to join the mammoth
anti-Estrada rally where they formally announced their withdrawal of
support from the President amid boisterous cheering from the crowd.
Hours before his resignation, Mercado called on the troops to stay clear of
the fray between the pro- and anti-Estrada camps.
People Power II also enjoyed the support of former President Fidel Ramos,
himself a former defense secretary and AFP chief of staff, a group of
retired military generals led by Fortunato Abat, leaders of the rightist
Rebolusyonaryong Alyansang Makabansa (RAM) including retired Commodore
Domingo Calajate and Col. Reynaldo Berroya.
Ramos noted that people power II was done better than people power I.
A source said Reyes consulted first with former President Corazon Aquino
about his decision to abandon Mr. Estrada.
Aquino then conveyed the matter to Manila Archbishop Jaime Cardinal Sin,
while Reyes also talked about his plan with Ramos.
What was initially viewed as a strategic move to perpetuate the Estrada
presidency until 2004 eventually brought an abrupt end to his leadership.
Mercado said the vote to reject the presentation of the contents of the
second sealed envelope as prosecution evidence in the impeachment trial
against the leader was the "last straw" for his tolerance of a defective
administration.
Mercado said the shocking revelations by prosecution surprise witness
Clarissa Ocampo, senior vice president of Equitable-PCI Bank, that the
President signed his name as Jose Velarde on bank documents prompted him to
reassess his loyalty to Mr. Estrada.
But the last straw was when the impeachment trial was suspended because of
the prosecution panel's resignation over the senators' vote on the second
envelope.
He said he made up his mind to withdraw support from Mr. Estrada whom he
had known since 1987 when they both became senators.
"What was keeping me from withdrawing my support was my fear that the
person who will replace me will use the military to perpetuate themselves
in power," Mercado told a group of close associates in Camp Aguinaldo.
He said the suspension of the trial worried him because it would create a
big problem for the military.
He said when the impeachment process collapsed, the Estrada administration
lost any legal ground to stand on. "Soon, we are going to be faced with a
worsening peace and order problem."
Mercado said he arrived from China on Tuesday night, in time to watch the
final moments of the impeachment trial on television.
During a meeting with the President at Malacanang the following day, he
said he broached the idea of defection to Reyes who was also at the
meeting.
Reyes replied that he would be available at the secretary's request.
"It turned out Angie (Reyes) had already been talking with his officers and
some retired generals including De Villa," Mercado recalled.
None of the secretary's close aides and staff members had an inkling that
he was going to break away from the government. Phil. Star, 01/20/2001
PESO SURGES TO 47.50 TO $1: The peso staged a dramatic recovery yesterday,
recording its biggest single day gain in history as it surged by 7.290 to
end at 47.50 from Thursday's close of 54.790 to the dollar.
Traders said the peso's sharp recovery was triggered by the resignation of
the much-vaunted economic team of President Estrada as well as the
turnaround of Armed Forces of the Philippines chief of staff Gen. Angelo
Reyes. It was largely believed that the President's resignation would just
be a matter of fine.
At the Philippine Dealing System (PDS), the peso opened at 54.50 and
appreciated to as much as 47 versus the greenback in mid-day trading before
settling at 47.50, or close to its pre-jueteng scandal level.
Currency traders said the foreign exchange market reacted positively to
news that most members of President Estrada's economic team abandoned ship,
along with the defection of one of his Cabinet secretaries, Defense
Secretary Orlando Mercado, Reyes and other top brass of the military and
police.
Bangko Sentral ng Pilipinas (BSP) Governor Rafael B. Buenaventura who has a
fixed term until 2004 and who is staying, confirmed the resignation of
Finance Secretary Jose T. Pardo. Pardo in turn, confirmed the resignation
of Economic Planning Secretary Felipe Medalla, Bureau of Treasury head
Leonor Briones and Bureau of Internal Revenue head Dakila Fonacier.
The BSP chief admitted that news of Reyes' defection was one of the reasons
why the peso appreciated for the first time since Wednesday. He said the
wide spreads in the quotation were not influenced by the BSP but was
purely-market driven.
Buenaventura said he expects the peso's movement to strengthen and follow
fundamentals, something which was not possible in the last few days as the
peso's fall was due to a jittery market looking for a political solution to
the crisis.
Traders said most banks and corporates which are long on dollars dumped the
greenback as the peso steadily moved up, wanting to cut their losses.
Another trader said the peso's rise reflected market sentiment, "which was
basically wanting and looking for a political solution to the country's
crisis," adding the defections gave hope that Mr. Estrada will pay heed to
the public's clamor for him to step down.
Some traders, however, still want to be cautious, warning the peso's
recovery could be short-lived if President Estrada holds out along with his
loyal followers, or if there is a violent confrontation between loyal
forces and the military, and between anti-Estrada followers and pro-Estrada
followers. Phil. Star, 01/20/2001
1 MILLION TO MARCH TO PALACE: One million protesters will march on
Malacanang from the Edsa Shrine within the next three to four days to
demand President Estrada's immediate resignation.
Multisectoral groups led by the Estrada Resign Movement (Resign) and the
Kongreso ng Mamamayang Pilipino (Kompil) II made the announcement
yesterday, as "People Power II" rallies continued unabated on Edsa and
other parts of the country.
The organizers also said a nationwide civil disobedience campaign would
kick off today.
They said walkouts, work stoppages and class boycotts would be launched
simultaneously by workers, peasants and students.
In the planning stage is a boycott of banks and companies owned by the
President's cronies, they said.
In Makati City, more than 10,000 workers and executives left their offices
yesterday to form a human chain from the financial district to the Edsa
Shrine.
The workers started to form the chain at 4 p.m., beginning from the Ninoy
Aquino statue at the historic corner of Ayala Avenue and Paseo de Roxas.
The line snaked its way down Ayala Avenue and turned left on Edsa.
Manila Archbishop Jaime Cardinal Sin and former President Corazon Aquino
were among the throng that waited at the shrine.
Laguna Gov. Jose Lina, chair of the Kangkong Brigade, said the "March for
Truth and Justice" that was to take place today had to be reset on the
request of protesters from the provinces.
Earlier, organizers held a news conference at the Edsa Shrine to announce
the march-rally. But at 6:30 p.m., they decided to make an announcement
postponing the appointed day to give other provinces time to prepare for
the "biggest rally."
According to plans, protesters will trek a 15-kilometer route from the Edsa
Shrine on Ortigas Avenue to Mendiola near Malacanang in Manila.
Asked where the one million marchers would come from, Lina said: "We are
inspired by the swelling of the crowd. There is enough reason for the
public to be outraged. The treacherous act done by the 11 senator-judges in
preventing the truth to come out was more than enough reason to elicit a
spontaneous reaction from the public."
Lina said that since the daily vigils at the Edsa Shrine began on Tuesday
night, the number of the crowd swelled from 200,000 on Wednesday to 250,000
yesterday.
On the day of the march, simultaneous rallies will be held in other urban
centers in Cebu, Davao, Iloilo, Bacolod, General Santos and Baguio cities,
and Central, Southern and Northern Luzon and Southern Tagalog.
In Makati, workers mostly clad in mourning black poured into Ayala shouting
"Erap Resign!"
They held up "Erap Guilty" posters and flashed the now-familiar thumbs-down
sign at passing motorists. Inquirer, 01/19/2001
AFP INTERVENTION FEARED: Signs of a split in the military and a possible
coup against President Estrada are beginning to emerge, former President
Fidel Ramos said yesterday.
Vice President Gloria Macapagal-Arroyo was more specific, saying that two
cabals were ready to spring separate coup attempts.
One would be "a coup from the center" where a junta would reduce Mr.
Estrada to a figurehead and the other plot is by "enemies of the President"
who just want to seize power for themselves, she said without elaborating.
Macapagal also warned Mr. Estrada that if violence broke out over the
political turmoil, "the bloodshed would be on his very doorstep."
Macapagal's chief of staff Renato Corona said the junta would have no
civilian features at all but would call itself a junta to put up a "soft
face."
He did not want to give more details of the plot, other than that the
plotters do not want Macapagal, who is next in the line of succession, to
take over the presidency.
Militant groups warned that Mr. Estrada might use the political crisis to
justify a military takeover to keep his post on a nominal basis.
The military takeover is part of the "God Save the King" plan to stave off
attempts by the outraged public to unseat Mr. Estrada, according to party
list group Bayan Muna. Inquirer, 01/19/2001
NATIONWIDE WORK STOPAGE SET TODAY: Some 200,000 workers are expected to
walk out of their offices and factories today to join the rallies at the
Our Lady of EDSA Shrine and other key points throughout the country.
Even workers from some 400 factories owned by presidential crony Lucio Tan
are also expected to join the work stoppage to press for the resignation of
President Estrada.
The country's largest labor groups said the general strike aims to
underscore their demand for the resignation of Mr. Estrada, whom they
described as "anti-labor" and blamed for the country's worsening
unemployment problem.
Labor leaders lamented the Department of Labor and Employment's report that
nearly 3,000 Metro Manila workers lost their jobs in the first 18 days of
the year 2001.
They also criticized Labor Secretary Benjamin Laguesma for dismissing the
loss of jobs as "within the normal level."
Laguesma yesterday reported that a total of 2,983 workers lost their jobs
over the past 18 days following the closure of 104 establishments in the
National Capital Region.
The closures of the establishments resulted in the permanent displacement
of 2,383 workers and the temporary layoff of 324 others, Laguesma said.
The Bukluran ng Manggagawang Pilipino (BMP), led by chairman Filemon
Lagman, said that his labor group is closely coordinating with the Bagong
Alyansang Makabayan (Bayan) to mobilize workers for the anti-Estrada
protest rallies. Phil. Star, 01/19/2001
PESO, STOCKS CONTINUE TO FALL: The financial markets continued to suffer
yesterday due to the raging political turmoil, causing the peso to sink
anew to its lowest level and the stock market to endure another bloodbath.
At the Philippine Dealing System, the local currency hit a low of 55.250 to
the greenback at midday trading after opening lower than its previous day's
close of 54.625 to the dollar. It managed, however to regain some lost
ground as it ended at 54.790 or 16.50 centavos lower than Wednesday's close
of 54.625 to the dollar.
The peso, which hit a record intraday low of 55.750 last Wednesday, was
buffeted again the political crisis and growing street protests demanding
President Estrada to step down over the corruption scandal.
The peso traded yesterday at an average of 55.013 to the dollar with total
transaction amounting to $118.50 million.
At the Philippine Stock Exchange, the 30-company composite index ended
again in negative territory, losing another 20.42 points to end at
1,438.21.
A trader with a foreign bank said "concerns have not changed. Sentiment is
still to buy (dollars) on dips.
We don't know what will happen," the trader said. Phil. Star, 01/19/2001
RAM, YOU WANT ERAP OUT; REYES, LACSON REITERATE SUPPORT FOR PRESIDENT:
Armed Forces chief Gen. Angelo Reyes assured the nation yesterday that the
military and the police are foursquare behind President Estrada in the
present political crisis.
However, the Rebolusyonaryong Alyansang Makabansa (RAM) and the Young
Officers Union (YOU), comprised of retired and active-duty soldiers, are
calling for the resignation of the Chief Executive.
Retired Navy Capt. Proceso Maligalig, RAM spokesman, said in a statement
they condemn the Senate impeachment tribunal's decision not to open an
envelope containing bank documents believed to be damning evidence.
On the other hand, Army Capt. Baron Cervantes, YOU co-founder and
organizer, called on the officers and men of the Armed Forces and the
Philippine National Police to join the effort to remove Mr. Estrada from
office.
But Sen. Gregorio Honasan, who led a bloody coup against President Corazon
Aquino in 1989, said the RAM and Guardians will "robustly fight" any
attempt to overthrow the government of Mr. Estrada.
RAM denounced Honasan yesterday, along with 10 other senators who voted
against the opening of an envelope believed to contain bank documents that
could link Mr. Estrada to graft and corruption.
The decision was made during a meeting attended by Maligalig with retired
Navy Cmdr. Domingo Calajate, retired Constabulary Col. Billy Bibit, retired
police Superintendent Rey Berroya, retired Air Force Gen. Edgardo Abenina,
and Senior Superintendent Eduardo Matillano.
US Embassy press attache Tom Skipper said yesterday the US government would
not intervene in the political turmoil
"Our position still stands. We still believe this is a domestic issue," he
said.
Former president Fidel Ramos urged yesterday soldiers and policemen to
"unite behind the people" and join the so-called People Power II. Phil.
Star, 01/18/2001
HERE'S WHAT 2ND ENVELOPE CONTAINS: The documents that were excluded by the
Senate impeachment tribunal would have belied the claim of businessman
Jaime Dichaves that he owns controversial bank accounts which prosecutors
claim to be owned by President Estrada. The documents reveal transaction
details, amounting to some P1.2 billion, of secret bank accounts under the
name "Jose Velarde."
According to one of the documents, 17 checks amounting to P175 million were
drawn from the Allied Bank head office branch account of a certain "Kelvin
Garcia" and deposited in the Jose Velarde account.
Nine of the Kelvin Garcia checks were for P10 million, five for P5 million
and three for P20 million.
House prosecutors have claimed that "Kelvin Garcia" is another fictitious
name of Mr. Estrada.
The excluded documents also show that a check, dated Sept. 8, 1999, was
deposited into the Velarde account from the Far East Bank and Trust Co.
(FEBTC) Cubao-Araneta Center branch account under the name "Jaime Dichaves
or Abby Dichaves." The check was for P20 million.
Another transaction reflected in the excluded documents showed a check
deposit, dated Nov. 8, 1999 and amounting to P189.7 million, drawn from the
account of "Jaime or Abby Dichaves" from the same FEBTC branch.
Businessman and presidential crony Jaime Dichaves has claimed to own the
Jose Velarde accounts even as Mr. Estrada denies owning the account.
However, Equitable PCI Bank senior vice president Clarissa Ocampo had
earlier testified that Mr. Estrada signed in her presence trust account
documents involving a transaction amounting to P500 million, using the name
"Jose Velarde."
House prosecutor and Makati City Rep. Joker Arroyo on Tuesday told the
impeachment court that the excluded documents referred to Equitable PCI
Bank savings account no. 0160-62501-5 which totaled some P3.3 billion.
He claimed that P500 million of the P3.3 billion was transferred to a trust
account and subsequently loaned to Wellex Group Inc. owned by presidential
crony William Gatchalian on Feb. 4 last year, corroborating the testimony
of Ocampo.
The excluded documents would have proven that some P142 million of the P3.3
billion was also transferred to current account No. 000110-25495-4 and
later deposited in the account of Jose Luis "Sel" Yulo with the Bank of
Philippine Islands, he added.
The prosecution asserts that the P142 million eventually found its way to
the BPI account of St. Peter Holdings which purchased the P86-million
"Boracay" mansion in New Manila, Quezon City for presidential mistress
Laarni Enriquez. Arroyo alleged that a number of known presidential cronies
deposited huge amounts in the Velarde savings account, including Mark
Jimenez with P180 million; Dante Tan, P300 million; Jaime Dichaves, P180
million; Kelvin Garcia, P180 million; and Lucio Co, amount unknown.
Espiritu has other documentary evidence?
Meanwhile, veteran banker and former Finance Secretary Edgardo Espiritu
claimed he had documents showing that Mr. Estrada directed him to favor
transactions involving several presidential cronies.
Espiritu fled to the United States after he testified on Jan. 11-12 that
Mr. Estrada admitted to him that he had earned and eventually lost a lot of
money in trading the shares of listed gaming firm Best World (BW) Resources
Corp. (now known as Fairmont Holdings Inc.).
The former finance secretary also said that Mr. Estrada admitted he was
receiving money a few days after assuming office.
Asked what documentary evidence he had, Espiritu said he had documents
showing that Mr. Estrada ordered him to favor Mark Jimenez, Lucio Tan,
Lucio Co and Jaime Dichaves and their pet projects.
Ibon Foundation said the amount could have been put to better use by
financing various social services to help uplift the living conditions of
the majority. Phil. Star, 01/18/2001
PEOPLE POWER LAUNCHED: Manila Archbishop Jaime Cardinal Sin and former
President Corazon Aquino last night called for people power after the
Senate voted against opening the envelope containing documents on the
P3.3-billion bank account of President Estrada.
Sin, Aquino and Vice President Gloria Macapagal-Arroyo joined thousands at
the Edsa Shrine shortly before midnight. They were also joined by Senators
Franklin Drilon and Teofisto Guingona.
The President was "in effect" acquitted when 11 senator-judges quashed a
move to open the envelope, the prosecution said.
The 11 prosecutors in the impeachment trial of the President have decided
to resign en masse following the major setback.
"We are going to the House (of Representatives) tomorrow to resign, all of
us," said Rep. Feliciano Belmonte, head of the House prosecution panel.
It was not immediately clear what the resignation of the prosecutors would
mean as the Philippines has no impeachment precedent.
Belmonte said it was possible the Lower House would appoint a new team of
prosecutors to handle the case against Estrada, who is on trial before a
Senate court on corruption and bribery charges.
Noise barrages broke out in parts of Metro Manila as well as other major
cities of the country. Motorists honked their horns while residents banged
pots in Quezon City and Makati City. Cell phones flashed with text messages
urging people to join the noise barrage.
Cause-oriented groups also held indignation rallies in the cities of Cebu,
Bacolod, Davao, Iloilo and Dumaguete.
The Bagong Alyansang Makabayan said no amount of "scare tactics" could
stop the militant group and its allied organizations from staging "People
Power II" through "nationwide industrial and transport strikes, school
boycotts, community barricades, office walkouts and massive demonstrations
around Malacanang'' to force the President's ouster.
In Angeles City, the Estrada Resign Movement (Resign) in Central Luzon
aired calls for the "encirclement of Malacanang by a million people" to
compel the President to resign.
Similar statements were aired by Kilusang Magbubukid ng Pilipinas and
Pamalakaya.
Rey Magno Teves, co-convenor of the Davao City-based Konsensiya sa
Katawhan, said anti-Estrada forces in Mindanao had linked up to coordinate
protest actions with groups in Metro Manila and other parts of the country.
Inquirer, 01/17/2001
SENATOR-JUDGES WARNED: `EVIDENCE IS COMPELLING:' A Catholic Church leader
yesterday said there was strong evidence President Estrada betrayed public
trust and senator-judges who vote for his acquittal at his corruption trial
would be committing an "immoral" act.
Bishop Orlando Quevedo, president of the Catholic Bishops Conference of the
Philippines, warned the senators sitting as judges in the impeachment trial
of Mr. Estrada that "if they do not follow their right conscience, disregard
the evidence but vote according to political allegiances, they would be
committing an immoral act." The Senate court is expected to hand down its
verdict by Feb. 12, but a growing number expect an acquittal.
In a statement, Quevedo said that "evidence against President Estrada is
compelling" as he cited testimony showing a "pattern of presidential
intervention" to help his businessman-friend Dante Tan who was implicated
in the country's biggest stock manipulation scandal.
In a faxed response to a set of questions by the INQUIRER, Quevedo said it
was Sin's duty to urge the President to step down and call for protests if
Mr. Estrada were acquitted.
"And if the Archbishop of Manila fails to do that, he would be remiss in
his moral and religious duty," said Quevedo, a day after the CBCP expressed
support for Sin's call for People Power.
Quevedo said that the relationship between the Church and State was
determined by how the government was doing its job and whether the Church
was being true to her mission. Inquirer, 01/17/2001
PESO CRASHES TO NEW LOW OF 52.95 TO DOLLAR: The peso yesterday crashed to a
new low of 52.95 to the dollar amid growing fears the Senate court would
hand down an unpopular verdict in President Estrada's impeachment trial.
The local currency closed at 52.78 against the dollar, but dealers said
they expected the peso to breach 53 today if the Bangko Sentral ng
Pilipinas did not intervene.
President Estrada played down the peso's fall, saying it was wrong for the
opposition to blame him for the depreciation.
Traders, however, found it difficult to share in the President's optimism.
More so if there is an acquittal which many people believe will be the
final verdict despite strong evidence presented by the prosecution," a
treasury official of a local bank said.
Bids at the Philippine Dealing System reached as high as P53 to the dollar,
but there were no takers.
Trading volume rose to $158 million from $134 million on Monday when the
peso finished at 52.40.
The 30-company Philippine Stock Exchange Index also ended down 16.14
points, or one percent, at 1551.79, after rising 1.7 percent on Monday.
A senior trader at a foreign bank said the peso's slide was brought about
not only by political uncertainty arising from the impeachment trial but
also by a government report that the national budget deficit last year had
soared to a higher-than-expected P136.11 billion.
The government had targeted a 2000 budget deficit of only P62.5 billion but
a shortfall in tax collections and lower privatization proceeds dampened
its expectations.
Joji Ilagan-Bian, chair of the Mindanao Business Council (MBC), warned that
the peso's sharp fall was only the "beginning of the worst to come."
Inquirer, 01/17/2001
I'M NOT LEAVING RP – ESTRADA: Pres. Estrada yesterday debunked a claim that
he was set to follow his mistresses abroad to live in "comfortable
retirement."
Mr. Estrada was reacting to a news report quoting Joey Rufino, executive
director of the opposition Lakas-NUCD party, as saying that the besieged
President was preparing to leave the country.
"The exodus of his mistresses and friends is a sign that Mr. Estrada is now
preparing for an exit scenario," Rufino said. Rufino issued the statement
in the wake of reports that two of Mr. Estrada's mistresses, including
Laarni Enriquez who left for the US last week, had left the country, along
with known friends of the President William Gatchalian and George Go.
In an ambush interview, the President said the Rufino's claim was a figment
of the opposition's imagination. Inquirer, 01/17/2001
SENATE VOTES TO REJECT P3-BILLION BANK EVIDENCE: The Senate court last
night voted 11-10 against opening sealed bank documents that House
prosecutors said would prove that President Estrada had amassed P3.3
billion in a secret account with Equitable PCI Bank.
After casting a "yes" vote, Senate President Aquilino Pimentel Jr.
announced his resignation from the top Senate post.
Nine other senators, who voted to open the envelope, broke into tears and
hugged each other.
Private lawyers assisting the 11-member House prosecution panel walked out
after Chief Justice Hilario Davide Jr., the presiding officer of the
impeachment trial, declared that the nays had it.
The senators who voted against the opening of the sealed envelope were
Majority Leader Francisco "Kit" Tatad, Miriam Defensor-Santiago, Juan Ponce
Enrile, Gregorio "Gringo" Honasan, John Osmeña, Tessie Aquino-Oreta, Anna
Dominique Coseteng, Blas Ople, Robert Jaworski, Vicente Sotto III and Ramon
Revilla.
They agreed with the contention of the President's defense lawyers that the
evidence in the envelope was immaterial and irrelevant to the Articles of
Impeachment.
Those who voted for the opening of the envelope were Senators Raul Roco,
Franklin Drilon, Renato Cayetano, Rodolfo Biazon, Loren Legarda-Leviste,
Juan Flavier, Teofisto Guingona, Sergio Osmeña III, Ramon Magsaysay Jr. and
Pimentel, who voted last.
The voting came after nearly six hours of impassioned debates. Sen. Robert
Barbers, who is recovering from a throat operation in the United States,
did not vote.
"I know something was afoot when Tatad spoke," said Senate Secretary
Lutgardo Barbo, who also resigned his post.
Davide was denied his prerogative to make a ruling on the prosecution's
motion to open the envelope when Tatad called for a vote. Enrile seconded
the motion.
Explaining his "yes" vote, Pimentel said it was "the only way to determine
whether the contents of the envelope are relevant and material to the case
at bar."
"Because of these developments, I realized that the nays have it and
therefore I resign my presidency of the Senate as soon as my successor is
elected," he said.
The gallery applauded Pimentel, in much the same way spectators did when
Speaker Manuel Villar endorsed the Articles of Impeachment to the Senate on
Nov. 13.
The prosecutors said the sealed envelope would provide some of the most
damaging evidence yet that the President acquired ill-gotten wealth through
bribes and kickbacks after 18 months in office.
Before the actual voting, Legarda-Leviste tried to ask Davide if he could
reconsider his decision to throw the matter to the senator-judges for
decision.
Tatad refused to yield the right of ruling to the chair. Ople had told a TV
network before the voting that he would vote for the opening of the
envelope.
He voted no in the roll-call vote.
Arroyo revealed the President closed his "mother" account with Equitable
PCI Bank on Nov. 15 when the Senate adopted rules to govern the impeachment
proceedings and two days after the House voted to impeach the President.
He said the funds for the "mother" account (No. 0160-62501-5) came from
"various checks, most of them paid to cash" from the President's cronies
whom he identified as Mark Jimenez, Dante Tan, Jaime Dichaves, Lucio Co,
and a certain Kevin Garcia.
Tan allegedly contributed P300 million, Dichaves P210 million, and Garcia
P180 million.
Tan, owner of BW Resources Corp., was indicted last month for securities
fraud but was freed after posting bail.
The Equitable PCI Bank submitted the second envelope containing documents
pertaining to the bank account of Jose Velarde last month after it was
issued a subpoena.
The prosecutor said that the President did not declare the bank deposits in
his Statement of Assets and Liabilities in 1999. The President then
declared a net worth of only P35 million. Under the country's anti-graft
laws, public officials must declare all income.
Arroyo also asked the impeachment court that the testimony of Clarissa
Ocampo, senior vice president of Equitable PCI Bank, be admitted and that
the court issue subpoenas to compel several banks to produce documents.
Ocampo had testified that she saw the President sign the name Jose Velarde
on documents for a P500-million trust account on Feb. 4, 2000 in
Malacanang.
It was from the P3.3-billion mother account that the President as Jose
Velarde transferred P500 million to the trust fund he opened in the same
bank, according to Arroyo.
The same account was also the source of the P142-million check that the St.
Peter Holdings used in buying the Boracay mansion for Laarni Enriquez, one
of the mistresses of the President. Inquirer, 01/17/2001
ESTRADA STEADILY LOSING PEOPLE'S TRUST, POLLS SAY: A besieged President
Estrada has steadily and even drastically lost the trust of people in Metro
Manila since the start of his trial, but the city dwellers seem to be split
on the question of whether or not he should resign, according to the
findings of three recent polls.
A Social Weather Stations (SWS) survey indicated that 41 to 46 percent of
500 people found the President "guilty" of accepting bribes; amassing
undeclared wealth to build mansions; awarding favors to family and friends;
and violating the Constitution by appointing Cabinet members and other
officials to "multiple" positions. A "daily tracking poll" of 300 by Pulse
Asia Inc. showed that Mr. Estrada's net trust rating plunged from 4 percent
at the start of his trial to minus 19 as of Jan. 8.
But the same survey found that one in every 10 respondents did not want the
President to resign.
The most damning findings came from a third tracking poll conducted by a
group called Data Advisors Inc. All 200 of the poll's respondents belonging
to the middle class in the National Capital Region said that they believe
that Mr. Estrada is guilty of the impeachment charges against him.
"The direction of the survey trend shows that since the trial started,
(Estrada) has suffered a big loss in (trust) capital," Pulse Asia's Felipe
Miranda said in a radio interview with dzMM.
Miranda noted that the President's 4-percent net trust rating when the
impeachment trial started last Dec. 7, dropped to minus 5 percent by Jan.
8.
This plummeted further to minus 19 after Equitable PCI Bank's Clarissa
Ocampo testified that the President had signed a false name, "Jose
Velarde," on documents relating to a P500-million trust account.
Miranda declined to disclose the full findings of the Pulse Asia survey
until Wednesday.
But he revealed that the respondents were evenly divided on the question of
whether or not the President should resign.
Four out of ten agreed that the head of state should step down, while
another four out of ten disagreed. Two out of ten were undecided.
But in the Data Advisors poll, 71 percent--or 28 percent more than the
number of people who said the same thing on Dec. 23--said that if the
impeachment court were to acquit the President, they would support or join
anti-Estrada rallies.
Twenty-nine percent, on the other hand, said they would reserve judgment
until later.
Miranda said that Filipinos are known to be a forgiving lot and tend to
give their leaders "the benefit of the doubt" even if the latter are no
longer popular.
The same survey also showed that Vice President Gloria Macapagal-Arroyo's
net trust rating hit a low of minus 39 percent (21 percent trust her; 60
percent do not).
The survey was first commissioned by the Philippine Star until Dec. 20.
Later, Pulse Asia opted to continue the survey on its own.
Miranda said the polling was done on "face to face" basis.
In the SWS survey, 44 percent of the people polled on Dec. 23 believed that
the President "accepted bribery from jueteng" lords. Only 24 percent
believed he was "not guilty."
On the question of whether he "amassed wealth during his term which enabled
him to build houses for his women," 42 percent found him "guilty," and 26
percent found him not guilty.
A total of 46 percent (against 22) found the President guilty of awarding
"special favors, such as contracts, to his family or friends."
Forty-one percent against 28 percent found Mr. Estrada "guilty" of
violating the Constitution "by giving multiple positions to his Cabinet
members or his appointees."
A total of 71 percent of the respondents said it would be "better" if the
President "testifies personally" at the impeachment trial, while 28 percent
said that he should allow his lawyers to do the job.
Asked whether they believed that it was "important" for the President to
testify, 81 percent answered in the affirmative. The SWS survey was
commissioned by a group known as Bigkis Pinoy Foundation.
Inquirer, 01/13/2001
ESPIRITU GETS DEATH THREATS, FLEES TO US: Former Finance Secretary Edgardo
Espiritu left with his wife yesterday for the United States after receiving
death threats following his testimony at President Estrada's impeachment
trial.
Espiritu and his wife Lydia boarded Northwest Airlines Flight No. 026 for
Los Angeles, California via Osaka, Japan which took off at 10:36 a.m. from
the Ninoy Aquino International Airport.
Espiritu left for the US even as prosecution panel member and Rep. Joker
Arroyo charged that people close to Malacanang are trying to prevent some
witnesses from testifying for the prosecution.
Arroyo admitted that the 11-member House prosecution panel has already lost
one witness because Malacanang allegedly "cajoled" him out of testifying.
But Arroyo said he remained confident that most of their witnesses will
push through with their testimonies although previous witnesses, like
Espiritu, have received death threats.
Private prosecutor and former Batangas Rep. Hernando Perez confirmed that
Espiritu had received death threats and said he advised the former Cabinet
member to temporarily leave the country.
Perez said he and Espiritu had been receiving threatening telephone calls
at their homes and offices since Wednesday morning warning them not to
testify against Mr. Estrada.
But Espiritu persisted in testifying and told the impeachment court on
Thursday that Mr. Estrada last year admitted that he had made huge profits
from trading in shares of Best World Resources Corp.
Espiritu, who traces his friendship with the President back to when Mr.
Estrada was still mayor of San Juan, was instrumental during the
President's campaign in 1998.
He was named finance secretary when Mr. Estrada assumed office in June 30,
1998 until he resigned on Jan. 5 last year, just as the BW scandal was
simmering into crisis proportions.
On his second day of testimony on Friday, Espiritu testified that the
Philippine National Bank granted a P600-million loan to cash-strapped Best
World Resources at the behest of the President.
Being finance secretary and a respected veteran banker, Espiritu said he
opposed granting the loan because he claimed BW did not meet the usual
credit standards.
He also claimed he may have angered the President when he vehemently
opposed a proposal by presidential friend and tycoon Lucio Tan to merge PNB
with Allied Bank, which is owned by Tan.
Aside from Tan, Espiritu claimed that he had also regularly seen big-time
smugglers frequenting social functions in Malacanang but he declined to
identify them because doing so was "risky."
Immediately after his Friday testimony, Espiritu told media that his wife
Lydia had been crying for several days because she feared his testimony
would endanger him and their family.
At least two senators asked him to identify these smugglers but the former
Cabinet member demurred, saying that he feared for his personal safety and
that of his family.
Through Espiritu's testimony, the prosecution sought to prove that the
President was guilty of betraying public trust when he allegedly used his
office to assist a friend who is now linked to the biggest stock market
scandal in Philippine business history.
The 11-member prosecution team from the House of Representatives meant to
establish that Mr. Estrada intervened to clear Tan from charges of
complicity in the BW scandal.
But the President's defense panel dismissed Espiritu's testimony.
"We did not even cross-examine him because as far as we are concerned, he
did not damage the defense," said defense team member Raul Daza.
Daza said vital documents pertaining to the BW's loan from PNB was not
admitted as evidence.
Espiritu also told the tribunal that at about noontime of Friday, he
received a telephone call from newly installed Executive Secretary Edgardo
Angara.
Angara allegedly conveyed to him the President's offer to settle a case
involving his son John who is about to be charged in connection with an
investment scandal involving Westmont Investment Corp. But Espiritu claimed
he declined because the Espiritu family wanted the case resolved on its own
merits. Phil. Star, 01/14/2001
RECESSION TO FOLLOW ACQUITTAL, SAY TRADERS: CLARK FIELD, Pampanga--A
verdict of acquittal for President Estrada would mean an economic recession
and more capital flight, according to an influential business group based
in Makati City.
Guillermo Luz, executive director of the Makati Business Club (MBC),
predicted more troubles for the economy if the Senate impeachment court
were to acquit the President, noting that capitalists have been
transferring their investments to other countries.
In Manila, acting Press Secretary Michael Toledo said Malacanang was
putting up measures to ensure that the economy is "insulated" from a
possible "heated" political scenario after a verdict is made known by the
impeachment court next month.
Whatever the outcome, Toledo said in a telephone interview, measures were
already in place to ensure that the economy would not collapse or
government activities paralyzed.
He did not disclose what the measures were.
Luz said that although the business community did not expect Mr. Estrada to
be acquitted by the senator-judges, the country would be in deeper economic
and political crises if the court failed to recognize the evidence against
the President.
The worst-case scenario would be political instability spawned by
frustration of the people, he said. "There would be a volatility in the
economy and politics, and a recession."
Luz was among 140 participants from the business, government,
non-government, arts, media and academe in the forum, which aims to "define
the burdens of leadership in coaxing our people to build a better nation in
a globalized and digitized world."
In Quezon City, Cayetano Paderanga, former chief of the National Economic
Development Authority, said the peso value would depreciate to P58 to a US
dollar if the impeachment trial ended up in an "indecisive acquittal" of
the President.
The peso stood at P51.59 to a dollar last Friday.
Paderanga described an indecisive acquittal as that arrived at through a
"process that is not credible" or by just "eight or nine votes," the
minimum number needed to offset a two-thirds vote for a conviction.
Twenty-two senators are serving as judges in the impeachment trial.
Former Trade Secretary Manuel Roxas II said businessmen and the people were
closely watching how the senator-judges would decide on the case.
Luz said the MBC believed that it would be impossible for the impeachment
court to acquit Mr. Estrada.
Paderanga said a "decisive acquittal" would mean the peso exchange rate
lingering at 52.2 per dollar. "Decisive acquittal," he said, involved a
process that is deemed credible and a large number of senator-judges voting
to acquit Mr. Estrada.
But the situation would similarly worsen if the President fails to convince
the people that he had "changed" for the better, he said.
their full confidence until he had shown that he has really changed," he
added.
A conviction would significantly send the peso up, he said, at around 45
per dollar. "The economy will start on a clean slate--from zero rather than
from a negative--with a new President."
Washington Sycip, founding chair of SGV, the country's top accounting and
auditing firm, blamed the rich for the country's current economic crisis.
Sycip said the economic woes were the results of "attitudes and behaviors
of the upper income group." The Philippines, he said, had the greatest
income inequality in East Asia due to the failure of the upper class to
make good its promise to help close the gap between the rich and the poor.
Inquirer, 01/15/2001
GATCHALIAN BACK FROM HK, WILLING TO TESTIFY: Presidential friend and
plastics mogul William Gatchalian denied allegations that he fled the
country to avoid being summoned as a witness in Mr. Estrada's ongoing
impeachment trial at the Senate.
Gatchalian said he will make himself available to testify in the
impeachment trial once he is summoned.
Gatchalian, who is presidential adviser on migrant workers, left with his
wife Deehua for Hong Kong on Thursday, raising speculations that he had
fled the country.
He said he had been regularly shuttling between Manila and Hong Kong but
his trips were not noticed until this last trip, which was linked to
presidential mistress Laarni Enriquez.
While officials on Thursday tried to serve a subpoena for Enriquez to
appear before the Senate tribunal, she flew to Hong Kong on a Philippine
Airlines (PAL) flight which also carried a townmate of President Estrada
who had P6 million in cash in his traveling bag.
Authorities suspected that the money was meant for Enriquez, who was also
rumored to be traveling with Gatchalian and controversial stockbroker
Willie Ocier.
But Gatchalian expressed surprise that his trip was linked to Enriquez
since they took separate flights. Gatchalian said he took PAL Flight PR 300
while Enriquez was on Flight PR 302. Phil. Star, 01/15/2001
PROTESTERS TO DEFY SENATE RALLY BAN: Anti-Estrada groups will defy any
order by the impeachment tribunal to ban them from demonstrating in front
of the Senate while the trial of President Estrada is going on.
Last Monday, Senate President Aquilino Pimentel Jr. asked the impeachment
court to prohibit protests outside the Senate building after an employee,
Mohammed Adam, was mauled by a largely leftist mob.
Chief Justice Hilario Davide Jr., the impeachment court's presiding
officer, said noise coming from the protesters "had been disrupting the
proceedings here."
Crispin Beltran, chairman of the militant Kilusang Mayo Uno, said yesterday
no ruling from "the highest seat of power" is above the people's
"inalienable right" to assemble and protest against a "corrupt and unjust"
government.
On the other hand, Robert de Castro, Promotion of Church People's Response
secretary general, said Pimentel and Davide cannot "curtail" their
constitutional rights to express themselves and hold peaceful
demonstrations.
Satur Ocampo, Bayan Muna president, challenged Pimentel and Davide to call
for a hearing on Monday's incident to prove that his comrades-in-arms did
not cause the violence.
Beltran blamed Adam for Monday's violent incident at the Senate, saying the
driver tried to run over the demonstrators with the bus he was driving.
"The drunken driver intended to run us over and he was armed with a steel
pipe and an icepick which he threatened Bayan secretary general Teddy
Casino and Promotion of Church People's Response secretary general Robert
de Castro," he said.
Beltran and De Castro accused Adam of being "part of a plot" to stop
anti-Estrada protests, and that the incident could be used to justify the
banning of rallies in front of the Senate. Phil. Star, 01/10/2001
ERAP AND HIS WOMEN – MORE BANK ACCOUNTS BARED: Aside from First Lady Luisa
"Loi" Estrada, President Estrada, "Jose Velarde," "Kelvin Garcia" and the
President's mistresses Guia Gomez, Laarni Enriquez and Joy Melendrez
maintained bank accounts with Citibank NA, the House prosecution panel
yesterday told the court.
Each one of the seven names has a savings account, a checking account, a
time deposit and investments in long-term or short-term commercial papers,
treasury bills and other government bonds and investment instruments,
according to the prosecution.
The prosecution earlier maintained that the President was Jose Velarde and
Kelvin Garcia, both of whom have accounts with other banks.
Prosecutor Oscar Moreno said the President and the First Lady also
maintained a foreign currency deposit account with Citibank.
Moreno said the funds kept by the President in Citibank should be forfeited
in favor of the government because he did not disclose the funds in his
1999 Statement of Assets and Liabilities.
The President's alleged undeclared wealth is part of the second Article of
Impeachment (graft and corruption) leveled against him.
Victor Lim, vice president of Citibank, testified that the bank had tried
to ask the First Lady for the source of the P8.4-million check deposited
into her account on Oct. 4, 1999.
The inquiry was triggered by the fact that the deposit exceeded the
threshold set by the bank for her account. Lim said the threshold policy
was meant to deter money laundering.
The disclosure of the numerous bank accounts held by the President and his
women, however, was not admitted as evidence after the defense panel
repeatedly refused to stipulate.
This prevented Moreno from asking Lim to confirm the existence of the
accounts.
Senate President Aquilino Pimentel Jr. asked Lim if Citibank had a Kelvin
Garcia as a client.
"Well, ah, I haven't checked but definitely in Citibank we don't open
fictitious accounts," Lim remarked.
Pimentel snapped. "Who told you it was fictitious?" he asked.
Lim said "there was a rumor in the banking community." When Pimentel again
asked him if Citibank had a Kelvin Garcia as a client, Lim said he would
check.
During the break, Moreno told reporters that the prosecution wanted the
witness to discuss the numerous bank accounts of the President and his
women.
Prosecutor Joker Arroyo warned that bank accounts, which have yet to be
divulged, "may right now be emptied of money."
"In fact the Equitable Jose Velarde account was closed last Nov. 17. To
remove Erap, we have to show that he is very rich," Arroyo told reporters.
Moreno was unable to elicit details about the First Lady's Account No.
166820 in Citibank Greenhills due to persistent objections by defense
lawyer Jose Flaminiano.
Flaminiano said Moreno was asking about what both panels had already
stipulated on and thus wasting time. Davide upheld Flaminiano most of the
time.
After a 20-minute break, Moreno announced that the prosecution panel met
and agreed to propose a number of issues for stipulation "to expedite the
process."
It was then that he gave the information about the numerous bank accounts
but Fortun refused to stipulate on all eight counts.
When asked by Senator-Judge Franklin Drilon, Lim said that when the checks
totaling P8.4 million were deposited in the First Lady's account, the bank
managers tried to contact her for an explanation.
Lim said the bank officials were able to talk to Lucena "Baby" Ortaliza,
the First Lady's authorized representative.
"It was just left for me to deposit," Ortaliza reportedly said.
Cayetano said Citibank, being an American bank, is bound by the Racketeer
Influenced and Corrupt Organization (Rico) law.
Lim told Drilon that a threshold depended on the capacity of a depositor
and was determined by getting the regular monthly deposits for, say, a
period of two years. Thus, a depositor who has a P2-million deposit level
for the past two years is assigned a P2-million threshold.
"Anything that exceeds a single big deposit of that threshold triggers an
alarm . . . that we have to try to contact the customer just to verify the
transaction deposit," Lim said.
Lim told Senator-Judge Rodolfo Biazon the question asked of the First Lady
or her representative was, "why do you have suddenly this P8-million
deposit?"
Lim testified that the First Lady's account had a balance of a little more
than P3 million before the two checks totaling P8.4 million issued by
Singson were deposited.
Lim repeatedly invoked the Bank Secrecy Law when Senator-Judge Loren
Legarda-Leviste asked for the total amount of the First Lady's portfolio,
the financial services she was entitled to, and the classification of her
account.
Lim apologized that he could not disclose confidential bank information and
that he did not want to incriminate himself.
But he confirmed Leviste's query that a Citibank Gold account had a minimum
balance of $100,000 while a Citibank Private Banking Client account had at
least P2 million. Inquirer, 01/10/2001
RANDOM SURVEY SAYS ESTRADA WILL WALK: According to an independent survey of
50 respondents consisting of news reporters, publicists and lawyers, Mr.
Estrada will be acquitted, despite the "overwhelming evidence," because of
party affiliation or personal loyalty and gain.
Of the 50 polled, 36 predicted an acquittal while 10 predicted a
conviction. Four "had no opinion yet." All respondents agreed to the survey
on condition of anonymity.
Among the 36 who predicted an acquittal, only two, both Senate reporters,
believed that the President would be acquitted because of the lack of merit
of the evidence presented by the prosecution.
"Evidence on first charges is so-so. Clarissa Ocampo's testimony is still
not evidence. It's not included in the articles (of impeachment). The
prosecutors are not doing good. The defense team is doing well," said one
respondent, a Senate reporter.
A foreign affairs reporter believed that an acquittal would be "better"
because Mr. Estrada is "hell-bent" on keeping his post.
"With (PNP chief) Ping (Lacson) as his ally, I think it would be best for
us if (Estrada) stays rather than suffer militarization later," she said.
Most respondents, however, believed that the evidence was "overwhelming"
but the senators-judges would vote to acquit because of party affiliations
or personal loyalty and gain.
State lawyers said pro-Estrada senators-judges, who are themselves lawyers,
are obviously so biased that they are a "disgrace to the legal profession."
Respondents who foresee a conviction argue that the senators-judges, in the
end, will vote according to their consciences because their "political
survival" in the upcoming polls will be a big factor.
Those who declined to respond were two state lawyers and two journalists
who agreed that the evidence was strong enough but they reserved their
answers until after the defense had presented its evidence.
Senate reporters said Mr. Estrada has eight senators in his pocket and will
vote for him "no matter what" and this may even reach 11 or 14, depending
on the situation.
They said that among the senators-judges perceived to be behind Mr. Estrada
are Senators John Osmena, Tessie Aquino-Oreta, Juan Ponce Enrile, Miriam
Defensor-Santiago, Senate President Pro Tempore Blas Ople, Majority Floor
Leader Francisco Tatad, Nikki Coseteng and Vicente Sotto III.
The Senate reporters said Sen. Gregorio Honasan "will go where Enrile
goes," while Senators Ramon Revilla and Robert Jaworski are also expected
to vote for an acquittal.
Among those whose votes are not certain to be for either side are Senators
Juan Flavier, who "might be influenced by Enrile" and Sen. Raul Roco and
Senate President Aquilino Pimentel.
The Senate reporters said those who will "certainly" vote for conviction
are Senators Franklin Drilon, Teofisto Guingona, Loren Legarda-Leviste,
Renato Cayetano, Ramon Magsaysay Jr., Rodolfo Biazon and Sergio Osmena III.
Phil. Star, 01/07/2001
ANGARA GETS VAST POWERS TO RUN GOV'T: Pres. Estrada yesterday swore in
Edgardo Angara as executive secretary, with the understanding that he would
cede sweeping powers that would make Angara a de facto prime minister
responsible for running the government in a presidential system.
Mr. Estrada is said to have agreed to cede powers to demonstrate his
determination to transform the Office of the President into a "modern"
institution capable of acting expeditiously, "openly and transparently" in
response to public demand for socioeconomic change and a wave of corruption
scandals buffeting his administration.
Angara, 66, formerly agriculture secretary, also managed to put two of his
people in two top Cabinet posts.
His protégé, Ma. Celia Fernandez, 29, was sworn in as head of the
Presidential Management Staff (PMS), and his former undersecretary, Domingo
Panganiban, succeeded him as agriculture secretary.
The scope of Angara's powers and responsibilities as "Little President"
will be defined in an executive order expected to be issued this week.
If Mr. Estrada signs the order, it will set a historic precedent-for the
first time in the history of the republic, the President will clip his vast
powers in a last-ditch move to rescue his administration from paralysis
under siege.
In a memorandum to Angara, Finance Secretary Jose Pardo, now chair of the
Economic Coordinating Council (ECC), and Budget Secretary Benjamin Diokno,
the President directed them to work out details for "instituting meaningful
reforms for a modern presidency" based on "my desire to focus on . . .
peace and order and our continuing war against poverty."
Before Angara accepted the offer to be executive secretary, he presented a
draft order defining his powers.
Political observers interpreted his move to write in fine print conditions
defining his relationship with the President as an insurance that Mr.
Estrada would not go back on his word to carry out reforms.
They viewed a well-defined contract as Angara's ticket to quit the Cabinet
if the President did not live up to it.
At the same time, political observers said Mr. Estrada's concessions
indicated how acute was his need to offer a façade of reform and prevent
the Cabinet from collapsing under the strain of the impeachment trial.
500 guests
Mr. Estrada has announced that the Cabinet revamp would start next week,
with the appointment of two or three more new members.
Political observers said that in practice, the relationship between the
President and the executive secretary was defined by the chemistry between
them.
They said the scope of the executive secretary's powers and authority had
actually been defined by whether he enjoyed the "full confidence" of the
President. Inquirer, 01/07/2001
LACSON TAGS MORO REBS IN BOMBINGS: Moro separatists who were trained in
Afghanistan are responsible for five Dec. 30 bomb blasts which killed 22
people and injured more than 120 in Manila, according to Philippine
National Police Director General Panfilo Lacson.
Still jittery from the blasts, police said they found and defused a
powerful bomb a day earlier in Davao City. The bomb was attached to an
alarm clock and packed in a box with five-centimeter nails at a shopping
mall's checked-bag counter, PNP Senior Supt. Wilfredo Garcia said.
Lacson said he had recommended that leaders of the secessionist Moro
Islamic Liberation Front be arrested despite a government move to suspend
warrants as part of a confidence-building measure to encourage the rebels
to resume peace talks.
On Friday, police charged MILF chair Salamat Hashim and six other rebel
leaders and guerrillas with murder for allegedly masterminding the bombings
of a commuter train, a bus, the airport, a park and an abandoned gasoline
station.
Police have arrested one MILF member who allegedly acted as a Manila scout
for the separatists, according to a police complaint filed with the
Department of Justice.
Shariff Julabbi, a regional MILF leader, denied rebel involvement but said
military camps in Manila could be targeted. During President Estrada's
weekly radio-TV program, Lacson said he expected the rebels to deny any
role in the carnage because many of the mutilated victims were children.
"What happens is we always arrest the foot soldiers, but the leadership is
intact," Lacson said. "Our recommendation is neutralize the leadership. If
they are neutralized, there will be no one who will give direction and the
bombings will stop."
President Estrada said he would meet the Cabinet's security committee to
consider Lacson's recommendation.
Lacson said the bombings were carried out by a 12-man team belonging to a
"special operations group" reporting directly to Salamat. He added that
most of its members were trained in Afghanistan, but gave no details.
The rebels have acknowledged that many of them received military training
in Afghanistan while fighting alongside Afghan Mujahedeen against the
Soviets. Some training continued even after the Soviets were driven out of
Afghanistan, they said. Inquirer, 01/07/2001
LOI URGED TO EXPLAIN DETAILS OF P8-MILLION CHECK: First Lady Luisa "Loi"
Ejercito was urged yesterday by Rep. Joker Arroyo of the prosecution panel
to explain the circumstances behind an P8-million check issued by Ilocos
Sur Gov. Luis "Chavit" Singson and deposited in her Citibank account.
The prosecutors submitted on Friday to the impeachment tribunal headed by
Chief Justice Hilario Davide Jr. the canceled pay-to-cash check dated Sept.
29, 1999 which was allegedly deposited in the account of Mrs. Ejercito at
the Citibank branch in Greenhills, San Juan.
The check was issued by Singson, who in October accused the President of
pocketing more than P400 million in payoffs from illegal gambling operators
and P130 million in kickbacks from a tobacco excise tax remittance to his
province.
The prosecutors claimed the P8 million was not reflected in the First
Couple's statement of assets and liabilities in violation of the Anti-Graft
Law.
The defense panel has asked to be given until today to study the document
flaunted by the prosecution as "another bombshell" they dropped in the
impeachment trial, which enters its 17th day today at the Senate.
Singson has testified in the hearing that the First Lady got a share of the
P130 million skimmed from the tobacco excise tax payment for Ilocos Sur.
Mr. Estrada said he could not speak for his wife since the case is ongoing,
but later said the accusations against her were hatched by the political
opposition who wanted to grab power.
Defense lawyer Sigfrid Fortun claimed the secret bank accounts believed
held by Mr. Estrada using the false name "Jose Velarde" and the P8-million
check made out to the First Lady were immaterial to the case.
Meanwhile, House Minority Leader Rep. Feliciano Belmonte Jr, manager of the
11-member prosecution panel, described the corruption and bribery charges
against the President as a "jigsaw puzzle" which the prosecutors were able
to piece together.
He also disagreed with Fortun assessment, saying the evidence against Mr.
Estrada was "overwhelming."
Belmonte clarified that while the prosecutors conducting the direct
examination of witnesses appeared to be asking irrelevant questions, the
scheme was actually meant to tie up some loose ends.
While Belmonte, in a radio interview, admitted that the prosecution started
the case rather slowly with the testimony of Singson and the published
reports about the so-called "Boracay" mansion being built for one of Mr.
Estrada's numerous mistresses, the issue on the Jose Velarde bank account
eventually cropped up. Belmonte charged that the defense had earnestly
tried to derail the prosecution's efforts to trace a paper trail regarding
Mr. Estrada's suspected rich bank accounts.
He warned, however, that such move might boomerang on the President.
The Senate on Friday asked Dichaves to explain within five days why he
should not be cited for direct contempt of the court for claiming he owned
the Velarde trust account with Equitable PCI bank.
The tribunal issued the order after surprise witness Clarissa Ocampo,
senior vice president of Equitable PCI Bank, told the tribunal about an
alleged attempt to cover up the P500 million Velarde trust account.
Bayan Muna president Satur Ocampo said the newly formed party list group
will not only seek party list representation in the May 14 elections, but
will also campaign vigorously against pro-Estrada senators "who are
obviously moving to obstruct the course of justice in order to acquit Mr.
Estrada." Phil. Star, 01/08/2001
17 BOMB SUSPECTS FALL: Government agents raided yesterday a Muslim
community in Quezon City and detained 17 men in connection with the Rizal
Day bombings that have so far killed at least 22 people and wounded 96
others. Defense Secretary Orlando Mercado confirmed that military
intelligence agents took into custody several residents of a Muslim
settlement in Barangay Culiat in Quezon City.
The apprehensions were made a day after Philippine National Police (PNP)
chief Director General Panfilo Lacson vowed to arrest the perpetrators of
the Dec. 30 bombings within 48 hours.
The men were apprehended at around 3 a.m. on Cotabato street at the Muslim
compound in Barangay Culiat by elements from the Intelligence Service of
the Armed Forces of the Philippines (ISAFP) and the PNP. They are now
undergoing questioning at the ISAFP headquarters at Camp Aguinaldo where
witnesses under police custody would also be brought to identify them.
Police said at least six witnesses and survivors saw the man responsible
for the bombing of the LRT coach at the Blumentritt station in Manila where
most of the victims and fatalities sustained their injuries.
Sources at Camp Crame said a team of prosecutors from the Department of
Justice (DOJ) has arrived to evaluate the evidence at hand and prepare its
documentation.
PNP probers are crossing their fingers that at least one of the 17 men
detained would turn out to be one of the perpetrators.
Barangay Culiat chairman Hadji Nur Hassan, however, said that the men were
mostly janitors, security guards and factory workers. Hassan added that 16
of those detained are Muslims while one is a Christian. Three firearms were
allegedly confiscated from them.
PNP spokesman Senior Superintendent Nicanor Bartolome declined to comment
on the pre-dawn raid except to say that the bombs used in the Dec. 30
attacks may have been triggered by cellular phones.
Bartolome said fragments of mobile phones were found in at least two of the
five sites, indicating that the phones may have been part of the bombs that
were set off by an incoming call.
In protest of the Rizal Day bombings, former President Corazon Aquino and
Vice President Gloria Macapagal-Arroyo will lead an indignation rally this
afternoon in Makati City.
The rally "will show the terrorists that we will not be intimidated by
dastardly acts, such as the bombing of innocent citizens, especially
children," said businesswoman Vicky Garchitorena, one of the rally
organizers.
Garchitorena chairs the Kongreso ng Mamamayang Pilipino (Kompil)-II, a
broad coalition made up of civil society, labor, urban poor, farmer and
business groups formed last year to press for the resignation of President
Estrada.
The 1 p.m. assembly points for the rally are Rustan's department store on
Ayala Avenue, the Makati fire station at the corner of Ayala and Gil Puyat
Avenues and Don Bosco on Arnaiz Avenue. Phil. Star, 0105/2001
GO FEARS FOR LIFE, BANK: George L. Go, former Equitable PCI Bank chair,
yesterday said he feared for his safety and the future of the bank after it
became embroiled in the Senate trial of President Estrada.
In an interview with Reuters at an undisclosed place in Manila, Go said he
had been in hiding for about a month now and admitted there had been a run
on the bank "to some degree."
In a statement, however, Go clarified that only about P3.2 billion had been
withdrawn from the bank by depositors since the impeachment trial began
last month – not P32 billion as reported by Reuters.
Even so, he told Reuters that the bank is "not over the hump."
"It will not recover overnight," said Go, whose family controls a
30-percent stake in the bank, the third largest in the country.
He admitted that he had lost a lot of friends, but did not say if one of
them was President Estrada.
Wilfrido Vergara, Equitable PCI Bank president, confirmed the bank had lost
only about P3.2 billion in deposits. But Vergara added he didn't think Go
was in hiding.
Equitable PCI Bank has handed over to the Senate tribunal documents on a
P500-million trust account under the name of a certain Jose Velarde.
Clarissa G. Ocampo, a senior vice president and trust officer of the bank,
testified on Dec. 22 that she saw the President affix the signature "Jose
Velarde" on documents relating to the trust account.
Manuel Curato, the bank's legal officer, corroborated Ocampo's testimony on
Tuesday. He was with her in Malacanang on Feb. 4, 2000 when the President
signed the documents.
The bank has also submitted documents on a P1.2-billion current and savings
account from which the P500 million was drawn.
Also in the Senate court's possession are documents on a P142-million Jose
Velarde check that was used to buy the so-called "Boracay mansion" for one
of the President's mistresses.
According to prosecutors, the testimony of the two bank officers and the
documents proved that the President acquired ill-gotten wealth to fund a
lavish lifestyle for himself and his mistresses.
Senate President Aquilino Pimentel Jr. said the bank had also submitted to
the impeachment court documents relating to an alleged attempt to cover up
the President's ownership of the P500-million trust account.
In her testimony, Ocampo said Go had instructed her last month to prepare
the documents transferring the trust account to Dichaves. Inquirer,
01/05/2001
COVER-UP TRY REVEALED: Businessman Jaime Dichaves was the fall guy for
President Estrada.
Prosecution witness Clarissa Ocampo told the trial yesterday that then
Equitable PCI Bank chair, George L. Go, directed her to draw up documents
transferring the President's P500-million trust account to Dichaves, a good
friend of Mr. Estrada.
Ocampo, senior vice president of Equitable PCI Bank, said she prepared a
second set of bank documents that was signed last Dec. 13 at the Makati
office of Estelito Mendoza, a member of the defense panel in the
impeachment trial.
The signing occurred five days before Dichaves wrote the Senate to claim
ownership of the Jose Velarde account. Ocampo earlier said Velarde was none
other than the President.
Ocampo also testified that:
• Atty. Fernando Chua, the President's representative, asked her on the
first week of last month to protect the President.
• The Jose Velarde account was already in existence in 1999.
•The Equitable board of directors instructed her to testify although the
impeachment court did not subpoena her.
The prosecution claims that the investment management agreement for a
P500-million loan to Wellex Group, a company owned by William Gatchalian,
was part of a P1.2-billion savings and current account of the President in
Equitable.
Ocampo said Go had asked her to prepare a second set of documents that
would allow Velarde to transfer his rights over the P500-million trust
agreement to Dichaves.
Go resigned as bank chair on Dec. 19, stating he wanted to distance his
bank from any suspicion that the institution was involved in corruption.
Ocampo added that Chua came unannounced to her office on the first week of
last month asking her to protect the President and to "do something" about
the first set of documents which Mr. Estrada signed as Jose Velarde on Feb.
4 last year.
She said Chua was the President's representative to the bank on the trust
account and was present when the President signed the Jose Velarde
documents in Malacanang.
She said the instruction to prepare a new set of documents was one of the
three reasons that prompted her to come out and testify that the President
was Jose Velarde.
Ocampo said sorry in Mendoza's direction before she talked about the new
documents.
"It was, I'm sorry, done in the office of Atty. Estelito Mendoza. So that
really concerned me a lot . . . That's why on Dec. 13, I talked to the
external counsel and I talked to the president of the bank about all of
this," she said.
Ocampo said the signature cards, investment guidelines and directional
letter were prepared and signed on Dec. 11 in her office on the 21st floor
of Equitable PCI Bank Tower I in Makati City.
The IMA, she said, was signed on Dec. 13 in Mendoza's office.
Ocampo said that although Dichaves signed the new agreement, it was not
implemented because the President as Jose Velarde did not write an
authorization letter making Dichaves his assignee on the trust agreement.
She dropped her new bombshells in response to questions by Senator-judge
Loren Legarda-Leviste and other senator-judges after the defense panel
decided to waive its right to cross-examine her.
Ocampo, replying to Sen. Renato Cayetano, said she continued to fear for
her life and that of her family especially after five synchronized bomb
attacks killed 15 people and injured more than 100 in Metro Manila on Dec.
30. Inquirer, 01/03/2001
PESO HITS NEW RECORD LOW OF 52 TO $1: The peso plunged to a record low
against the dollar yesterday and share prices shed more than three percent
in the wake of a spate of deadly bomb blasts last Saturday, dealers and
analysts said.
The peso fell to a record low of 52 to $1 before recovering slightly to
51.40 in later trading. The currency eventually settled at 51 to $1 at the
end of the trading day.
The Philippine Stock Exchange composite index fell 3.1 percent or 46.01
points to close the first trading day of the year at 1,448.49. It was the
index's steepest single-day drop in seven months.
Analysts said fears of even more bomb blasts and the political uncertainty
created by President Estrada's impeachment trial in the Senate would
further dampen hopes of luring back foreign investors already skittish
after a series of crises in 2000.
"Definitely, it's due to the bombings. It (the market) really will continue
to mirror the anxiety that currently prevails," said Louie Bate, managing
director for equities trading at ING Baring Securities Philippines Inc.
"If more bombs go off, then people will just continue to exit. And if there
are no other incidents, the market will just react to the impeachment
trial" of the President, he added.
Five bombs exploded almost simultaneously in public places in Metro Manila
last Saturday, killing 17 people and wounding almost 100 others.
The opposition has accused Mr. Estrada of orchestrating the blasts in an
attempt to divert attention from his impeachment trial in the Senate, which
could see him removed from office. Phil. Star, 01/03/2001
US WON'T INTERFERE IN RP POLITICS, EMBASSY SAYS: The US government assured
the Filipino people yesterday that it would not interfere in Philippine
political affairs.
The assurance was made on the heels of report that a member of a team of
foreign policy advisers associated with US President-elect George Bush
issued a warning against possible intervention of the military in the
prevailing political crisis in the Philippines.
"The United States government will not interfere in the political
developments (in the Philippines)," said Lonnie Kelly, acting director of
the US Embassy's Public Affairs Office.
The unnamed American foreign policy expert said the incoming Bush
administration "would never recognize any government (installed) in the
Philippines through the barrel of the gun."
The source, a retired military official and an expert in Asia-Pacific
Affairs, warned that the Armed Forces of the Philippines (AFP) should only
be allowed to intervene in the current political crisis to prevent anarchy
and chaos.
Bush has designated retired Gen. Colin Powell as his Secretary of State and
dispatched a foreign policy team two weeks ago to Manila to meet with
leaders of anti-Estrada groups to assess the political situation in the
country.
The team leader described as "'devastating" the testimony of Clarissa
Ocampo, senior vice president of Equitable PCIBank, who testified that
President Estrada has signed bank documents using the alias "Jose Velarde."
The source said if Mr. Estrada is forced to resign through the help of the
military, the move would cast doubt on the integrity of his successor.
Phil. Star, 01/03/2001
PALACE DEFENDS DEPLOYMENT OF MARINES IN METRO MANILA: Malacanang justified
yesterday the deployment of Marines in Metro Manila, saying the move is
intended to preserve peace and is not part of any grand scheme to impose
martial law or declare a state of emergency.
At a press briefing, acting Press Secretary Mike Toledo refuted claims by
the political opposition that the deployment of the Armed Forces' best
close-quarters fighting force as peacekeepers in the metropolis was simply
a smoke screen for eventual military rule.
The President earlier gave his blessings for the deployment of some 200
Marine troopers to support police forces securing major transport
infrastructure and vital government facilities.
Philippine National Police (PNP) chief Director General Panfilo Lacson
requested the assistance of the military following a spate of bombings
Saturday that left at least 17 people dead and nearly a hundred wounded.
Phil. Star, 01/03/2001
