SENATORS are looking to craft remedial legislation setting clear guidelines and accountability in the use of “intelligence funds” by the Philippine Charity Sweepstakes Office (PCSO) and other government agencies outside the military and the police, the chairman of the blue-ribbon committee said on Thursday.
This developed as Sen. Teofisto Guingona III, committee chairman, indicated that testimonies and documents obtained by the committee have sufficiently established the role of former President now Lakas-Kampi-CMD Rep. Gloria Arroyo of Pampanga in the questionable disbursement of PCSO funds for noncharity activities during her term.
“She has to answer that in the Ombudsman,” Guingona told reporters after adjourning Thursday’s hearing on the PCSO fund anomalies, adding that Arroyo and the former PCSO officers found to be involved in the fund diversions could face plunder and malversation cases before the antigraft court.
Guingona added that, “clearly reforms are needed in using intelligence funds not just in the PCSO, but also in other national and local government agencies.”
He recalled testimonies that the former President herself approved the questionable PCSO intelligence fund disbursements, citing former PCSO General Manager Rosario Uriarte who testified before Senate probers that Arroyo signed the documents in her presence.
But Guingona ruled out inviting Arroyo to appear and explain her side before the Senate inquiry owing to interchamber courtesy.
It is also clear, Guingona added, that major reforms are needed in the PCSO, referring to the P17-million blood money drawn from PCSO intelligence funds and given to the Department of Foreign Affairs to negotiate the release of detained Filipino workers facing death sentence for involvement in killings.
During the hearing, Sen. Frank Drilon confronted Uriarte with PCSO documents showing that over P100 million in PCSO intelligence funds were withdrawn and spent in just six months coinciding with the 2010 election campaign.
He noted that total intelligence funds liquidated through mere certification in 2010 amounted to P1 billion based on records provided by the Commission on Audit.
Asked to explain this, Uriarte repeatedly invoked her right to self-incrimination, claiming that her reply to the senators’ queries on the matter could jeopardize her pending graft at the Ombudsman.
When Senate President Pro Tempore Jinggoy Estrada asked Uriarte to name the officials who approved the disbursements of PCSO intelligence funds for “bomb threats, terrorists, kidnapping, destabilization, bilateral security relations,” Uriarte replied she would consult her lawyer first and then proceeded to invoke her right against self-incrimination.
Another key witness, former PCSO promotions manager Manuel Garcia, also clammed up when it was his turn to face grilling by Senate probers over Garcia’s alleged involvement in the reported P1.5-billion kickbacks from PCSO advertising placements during the previous administration.
Senate President Juan Ponce Enrile wanted to know why the PCSO needed to spend for advertising when big lotto prizes are already attracting a huge number of bettors.
In a follow-up interview, Guingona confirmed they are looking to hold one more hearing and then wrap up the blue-ribbon committee’s PCSO fund mess inquiry before Congress resumes regular sessions on July 25.
“We have enough information to make a committee report and recommend drastic reforms to prevent misuse of these intelligence funds,” Guingona said.
