Prosecution of Philcomsat ‘looters’ pressed – Malaya 12.19.2006

BY DENNIS GADIL

SENATORS yesterday pressed for the prosecution of individuals involved in "ransacking" the coffers of Philippine Communication Satellite Corp. (Philcomsat), a government sequestered firm, its sister company Philcomsat Holdings Corp. (PHC), and parent firm Philippine Overseas Telecommunications Corp. (POTC).

Sen. Richard Gordon said individuals named in a Presidential Commission on Good Government (PCGG) study conducted in 2005 to address the alleged looting should be charged in court.

Gordon’s committee on government corporations and public enterprises, along with the committee on public accountability chaired by Sen. Joker Arroyo, is probing the alleged plunder of Philcomsat’s assets and resources.

He said the PCGG should also have long surrendered the government stake at the PHC to the Asset Privatization Trust (APT). "They should be privatizing it," Gordon said.

Sen. Sergio Osmeña, a member of the Gordon committee, chided the PCGG for its failure to punish individuals involved in the alleged looting.

He likewise expressed disappointment when PCGG officials resorted to blame-tossing over which department should spearhead the filing of charges.

"Wala ba kayong intercom? Hindi ba kayo nag-uusap?" Osmeña said.

The senators were referring to the results of the 2005 study which probed how the assets and resources of Philcomsat, PHC and POTC were allegedly looted after it was sequestered by government.

The 2005 study, which was spearheaded by PCGG commissioner Nicasio Conti, recommended the filing of charges against officials involved in plundering the finances of the company.

Conti did not disclose the names of individuals named in the report. He nevertheless told the joint committee that the recommendations remained unheeded to this day.

Conti said the results of the study were submitted to the asset management group of the PCGG headed by Commissioner Ricardo Abcede.

Abcede, in turn, said the study was transmitted to the legal department headed by Commissioner Narciso Nario.

The joint Senate panel found out in its hearing last week that even government nominees, who were supposedly tasked to safeguard the interest of the government, were a party in the alleged looting of Philcomsat and its sister firms by showering themselves with generous salaries and allowances.

"Millions of pesos are coming out of a company that is not in the pink of health. And the PCGG appears not to be in control of these (government) nominees," Gordon said during a recent hearing.

At least six government nominees who served in the PHC board, Philcomsat and POTC told senators that they received salaries as high as P150,000 a month and P500,000 worth of "public relations and representation" allowance.