Probe of $1-M SIA donation pressed

Sen. Vicente Sotto III urged the Department of Foreign Affairs and the Senate yesterday to investigate a $1-million donation of Singapore International Airlines (SIA) to the Department of Tourism (DOT).

"I understand the plight of the Department of Tourism in its efforts to enhance tourism development in the country, but the issue is whether the donation is legal or moral as far as Philippine aviation interest is concerned," he said.

Sotto said that the proposed investigation would determine whether the donation by a foreign firm like SIA is acceptable or not, and whether it could affect aviation policies and the interests of the national flag carrier Philippine Airlines.

He noted that under the memorandum of agreement (MOA) between SIA and the DOT, the latter will work with SIA to improve air access.

"This means SIA extended the donation to DOT in exchange for its commitment to work for a progressive increase in air access for SIA," Sotto explained.

He described the memorandum of agreement between the two as "precedent-setting." He said that if this is found acceptable, then other departments might also accept donations from foreign entities "just like that, even if they affect the country's interest."

The MOA also called on the DOT to provide a counterpart fund of $700,000. Tourism Secretary Gemma Cruz-Araneta has stressed that she did not receive any money from SIA. She also claimed that the MOA would result in an increased number of tourists brought in by SIA.

Sotto said the Senate inquiry would need the testimony of Foreign Affairs Secretary Domingo Siazon Jr., Araneta and SIA officials.

"We also want to know what is involved in the $1 million," he added. --