Testifying under oath before the Senate committees on foreign relations and public services, FFC president Mila Abad answered in the affirmative when asked by Sen. Sergio Osmeña III if she is receiving money from AGILE (Accelerating Growth Investment and Liberalization with Equity), a USAID-funded program in the country.
When asked how much she was receiving from AGILE, Abad answered: "It depends on what is required, the technical work that is required at that specific time."
She also told the senators that CAB board member Alberto Lim is a member of the FFC.
Abad’s testimony drew criticisms from senators, who lambasted FFC for pushing the interests of foreign airlines, including those of the United States.
Osmeña said although he does not question the FFC’s right to engage in advocacy campaigns, the group should not work for the interests of other countries.
"FFC has found common agenda with AGILE. We object to a foreign government exercising such an overwhelming influence in our policy-making and implementation of those policies," Osmeña said.
It assailed the presence of Lim in the CAB, saying this has affected the independence of that body. "I was hoping the CAB would be independent as a regulatory body deciding on issues and making a decision that would protect the national interest but this is not the case," he said.
Sen. Joker Arroyo, chairman of the public services committee, criticized FFC officials for "asking support from a group (AGILE) that is hostile to Philippine interests."
"Whether you did it by accident or whatever, the fact is the interests of the US and the Philippines on the aviation industry are not compatible. In fact, they’re inconsistent," Arroyo stressed.
He said had the activities of AGILE not been uncovered, FFC’s advocacy work on behalf of foreign interests would not be known to policy makers and legislators.
The senator said Philippine carriers are no match to American carriers, which not only have the FFC and PRISM (a Makati-based PR firm) behind them in their advocacy and media efforts but also a $25-billion subsidy from their government.
FFC’s advocacy work on behalf of foreign airlines was first brought to the public’s attention by the aviation group Save Our Skies (SOS) movement. The SOS also brought to the government’s and legislators’ attention the presence of Lim in the CAB.
In an interview after the hearing, Sen. Tito Sotto said there is now a need to review every air agreement to determine the role of FFC in each of these pacts.