SENATE probers conducting the inquiry into the P660 million “behest” loans by the Development Bank of the Philippines that former Trade Minister Roberto Ongpin used to buy Philex Mining shares are also set to look deeper into huge loans extended by government financial institutions to bankroll other takeover bids, including Petron and Meralco.

“We have several more loans to talk about at the next hearing,” Sen. Serge Osmeña, chairman of the Banks Committee which is doing a joint inquiry with Sen. Teofisto Guingona III’s Blue Ribbon Committee, said over the weekend.

Osmeña indicated that Senate probers are also interested in finding out what were the “other loan exposures” aside from the P660 million that DBP extended to Ongpin to buy block shares of Philex Mining that were then sold to businessman Manuel Pangilinan.

“I just wanted to know what are the other loan exposures,” Osmeña told former DBP president Rey David at a Senate hearing last Friday.

For instance, Osmeña reminded David of “the Ashmore deal for the Petron shares and then you sold your Meralco shares to Global 5000 [which] you mentioned in the last hearing and it was a company also controlled by Bobby Ongpin, Iñigo Zobel and Butch Campos. And you gave them a 4-year loan.”

This developed as Osmeña said Senate probers will invite the Ashmore Group to testify in the joint committee inquiry into the DBP loans used to pay for takeover bids in blue-chip companies, including Petron.

“Ashmore is under question here. Ashmore accepts almost anybody. We’re going to ask them to come over and explain,” Osmeña said. “Their reputation is at stake.  These hedge funds are not heavily regulated, so it becomes a conduit for money laundering.”

The Ashmore Group, which was brought in by Ongpin in the Petron bid, is  known as a hedge- fund manager with $65.8 billion in pooled funds, segregated accounts and structured products, as of June 30, 2011.

Osmeña said Ashmore needs to shed light on its role in the Petron deal that also involved  Ongpin. “We are [also] waiting for Bobby Ongpin. We would like to have him over, so the committee members can test his credibility.”

David insisted it was not a loan but an extended share purchase agreement but Osmeña observed that the transaction was hidden in the DBP book of accounts. “Tagong tago sa books ng DBP kaya di nakita.”

In the case of the Ashmore-Petron deal, David admitted that the total consideration was $550 million, adding that the loans that were given, “from our side, at least $150 million on a syndicated basis: $80 million that $150 million came from DBP and $70 million were divided between the Philippine National Bank and Landbank.”

In the Meralco  deal, Osmeña cited a Commission on Audit report  that dividend and voting rights have been given to Global 5000 even if it has not fully paid for the DBP loan used in the shares purchase.

“From the initial period, the dividend and voting rights have been given to Global. So, it is actually global now exercising the rights of the Republic on those [Meralco] shares,” COA Chair Grace Pulido-tan told senators. “The legal title I would say, still belongs to the DBP [but] all the beneficial rights and shares of the Meralco shares have already been transferred to Global 5000.”

This developed as Sen. Miriam Santiago took up the cudgels for Ongpin, citing the former Trade Minister’s statement which came out in full-page paid advertisements that he has been “prejudged by the Senate” on the issue of so-called behest loans from DBP as well as his alleged insider trading involving Philez Mining shares.

“Politicians like senators are not supposed to judge but to legislate. It is not the function of the senators to find who is guilty or not but to craft good laws,” Santiago said Sunday. She wondered why some of her fellow senators seemed bent on pinning down Ongpin when “all the findings of the Senate inquiry are not binding but recommendatory in nature. It is the Ombudsman that will ultimately look into the case of anyone being probed by the Senate.”

Ongpin, who confirmed he is in Europe on a business trip, vowed to appear before the join Senate inquiry by the Banks and Blue Ribbon Committee as soon as he comes back to the country “to shed light on the accusation about behest loan and insider trading being thrown against him by some Senators.”

But Senate President Juan Ponce Enrile, citing initial findings by probers, indicated that Ongpin may be held liable for insider trading involving the block shares of Philex Mining that bought at P12.75 per share partly with DBP loans and later sold to Mr. Pangilinan at P21 per share.

In an interview with Senate reporters, however, Enrile absolved Pangilinan of involvement in the alleged insider trading deal on Philex shares.

“Pangilinan is just the buyer, he was the one buying and the one who took advantage of the information, if at all, is Mr. Ongpin because insider trading means that you took advantage of information that is known to you,” Enrile said.