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    Editorial:

    Dig deeper into the mess

    This deal involves P16 billion and the documents suddenly disappear in thin air? Is this not outrageous? —Senate President Manuel Villar Jr. 

    Now that the facts on the ZTE deal are slowly being uncovered, it is now time for the Senate to review all agreements executed by the administration of Arroyo with the Chinese government. —Sen. Consuelo Madrigal, in a statement

     

    What was once the object of speculation in the last few months has now come into the open: that the forging of the controversial and potentially corrupt deal on the national broadband network (NBN) with Chinese firm ZTE Corp.—based on the Senate testimony of Joey de Venecia—involved no less than the husband of the President of the Republic, as well as the equally controversial Commission on Elections (Comelec) Chairman Benjamin Abalos.

    All these new information highlights the need for us to dig deeper into the issue and see to it that everybody who was responsible in the surreptitious deal will be held accountable. It’s high time that the Senate, and eventually the courts of law, should go heavy on this so that eventually the culprits are punished.

    The Sandiganbayan has just convicted former President Joseph Estrada of plunder a week ago. By the looks of it, these deals—the NBN and the cyber education project (CEP), amounting to $800 million to be shouldered by taxpayers in the next 20 years—smells no less than another plunder of monstrous proportions.

    If we have jailed a big fish like Erap, we may have to eventually jail bigger crocodiles and whales to show the world and ourselves that we are serious about justice and fairness.

    The Senate, of course, has just started its inquiry. There are so many things that need to be corroborated before conclusions could be made. We have yet to hear from no less than the First Gentleman himself as well as other names (Comelec Chairman Abalos, former National Economic and Development Authority [Neda] director general Romulo Neri, Transportation Secretary Leandro Mendoza, Trade Secretary Peter Favila, and many others) mentioned by the younger de Venecia.

    But by just the sheer stink of it, there is just too much smoke and rotten stuff in these deals to deny anomaly.

    One couldn’t help but be suspicious because government officials, from the very start, moved heaven and earth just to keep the deals hidden from the public. The way the officials from the Department of Transportation and Communications (DOTC)  and Neda handled the process of choosing the supplier and financier for the deals seems to highlight the fact that these bureaucrats have all along been pursuing, not the public, but some private, interests.

    We suspect private motives because the two deals seemed to have bypassed all the procedures necessary to ensure transparency.

    The pursuit of public interest suggests that the costs of such deals should be kept to the minimum, preferably tested by the market either through bidding or the Swiss challenge.

    In truth, the government never entertained potential bidders for a possible build-operate-transfer (BOT) arrangement. Government officials are saying that they rejected Amsterdam Holdings Inc. (AHI), Joey de Venecia’s company, for incomplete documentation, but they never tried attracting bids from potential providers.

    Having ignored AHI for a possible BOT arrangement, the government could have considered entertaining other possible suppliers besides ZTE, like the American-owned Arescom, in an open and transparent process. After choosing ZTE, the government should have opened it to the Swiss challenge. But nothing of this sort occurred.

    In fact the government came all the way to accommodate the Chinese government, even to the point of agreeing to the spinning off of the cyber education component from the original NBN proposal for an additional $500-million loan from the Chinese Eximbank. The contract was signed despite the recommendations of the technical working group that the government should just have a single backbone and that the satellite-based CEP isn’t cost-effective.

    From a project that should only cost within the range of $139 million to $260 million, the CEP and NBN deals ballooned to more than $800 million. These are huge amounts taxpayers are going to pay in the next 20 years, and we haven’t even seen the contracts or know whether or not some big shots have sold our souls to the devil.

    And after signing the deal—no less attended by the President—the contract disappeared into thin air. And now that the Senate has started investigating, in aid of legislation, government officials are trying to evade scrutiny by citing all sorts of excuses, like sub judice and a gag order by Malacañang, to prevent officials from attending congressional inquiries.

    After the contract was found to have been lost months ago, DOTC officials said they are in the process of reconstructing it. How long would it take to reconstruct a contract? Until now the government could not even produce a copy for the Senate and the public, not even after the Justice department had issued an opinion saying that the contract, after all, is valid and binding. On what basis did the secretary of justice base his judgment that the ZTE deal is clean?

    All these actions by the government, according to Sen. Aquilino Pimentel Jr., seem to indicate a massive cover-up. Of course, we will never know the extent of the possible cover- up and corruption unless the Senate digs deeper into this mess.

    Malacañang, so far, has been doing its best to prevent Secretaries Mendoza, Neri and Favila from appearing at the Senate. The people would surely not accept this intransigence. The Senate, therefore, should exhaust all its powers to compel these “public servants” to answer the senators’—as well as the people’s—questions.

    There is so much at stake in this matter. It’s no less than our soul and our birthright.

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