GMA hits ‘canard’ on telecom bill veto

President Arroyo denied yesterday the allegations of a businessman that she had demanded majority control of his two companies in exchange for her approval of two bills seeking to grant him telecommunications franchises.

Mrs. Arroyo said she will not file any libel case against businessman Pacifico Marcelo upon advice of Chief Presidential Legal Counsel Avelino "Nonong" Cruz.

Marcelo, however, was apprehended yesterday by immigration agents for allegedly violating immigration laws.

"As Nonong says, if nobody believes (Marcelo) anyway, then as a public servant I would still take it as part of the territory," Mrs. Arroyo said.

At the same time, however, she threatened to file criminal charges against the businessman.

Marcelo, president of the Philippine Communications Clearing House Inc. and the APC Wireless Interface Network Inc., has accused Mrs. Arroyo of trying to wrest majority control of his companies during a meeting at Malacañang last Aug. 18.

"No, you (Marcelo) cannot set up a clearinghouse," Marcelo quoted Mrs. Arroyo as saying, as stated in a 12-page affidavit he submitted to the Senate Blue Ribbon Committee yesterday.

"For as long as I am President, you cannot set up a clearinghouse. We will set up the clearinghouse. We must have the majority interest in this clearinghouse," she allegedly said.

Marcelo said when he questioned the plan to transfer 51 percent of his stockholdings, Mrs. Arroyo allegedly told him: "Then I am sorry. There is nothing I can do for you."

But Sen. Joker Arroyo rejected yesterday Marcelo’s affidavit, saying that the Blue Ribbon Committee "will not jump" because somebody submitted an affidavit.

"Those jerks in Malacañang do not know how to defend the President," he said. "The President was right in vetoing the PCCHI franchise because of its very low paid-up capital of only P592,000."

Presidential Spokesman Rigoberto Tiglao said Mrs. Arroyo had ordered her lawyers to ask the National Bureau of Investigation and the Securities and Exchange Commission to charge Marcelo in court with falsification of public documents.

"We cannot let pass such canard to be hurled (at the President)," he said. "The allegations were made both as a way of hitting back at the administration for refusing to grant his demands and as a means of pressuring the President to use her powers to favor Mr. Marcelo’s business interests."

Marcelo was reportedly arrested yesterday by immigration agents at the Senate after he had submitted his affidavit in which he accused Mrs. Arroyo of trying to steal his two companies.

Tiglao denied that the supposed arrest of Marcelo was done upon order of Mrs. Arroyo and that the immigration agents were just doing their job.

"If (Marcelo) was holding two passports, that’s another violation of the law," he said. "That this person who has US citizenship, who has lied to Congress by pushing his franchise bill, who has maliciously impugned the integrity of this government and had distorted a meeting he himself asked the President."

However, it turned out that Marcelo was placed under the custody of the Senate sergeant-at-arms after Senators Aquilino Pimentel Jr., Panfilo Lacson, Vicente Sotto III, and Teresa Aquino-Oreta prevented immigration agents from taking the businessman with them.

Immigration Commissioner Andrea Domingo ordered the arrest of Marcelo, who is said to be an American citizen, for having violated the Philippine Immigration Act of 1940.

Tiglao confirmed Marcelo’s allegations that he had met with Mrs. Arroyo at Malacañang but clarified that the businessman went there to ask the Chief Executive to sign the franchise bills and to order government agencies and the Philippine Long Distance Telephone Co. to enter into contracts with his companies.

"The President refused to accede to all of Mr. Marcelo’s demands, telling him that she could not interfere with individual government contracts much less with the business decision of private firms," he said.

But Marcelo said he was escorted to Malacañang through a "secret backdoor" entrance by a certain Sergeant Alvis and a female member of the Presidential Security Group after being picked up from a fast food restaurant along J. P. Laurel street at 5:25 p.m. last Aug. 18.

"The appointment was set by Mai Mai Jimenez, the secretary of the President," he said.

Marcelo said the idea of relinquishing his 51 percent equity in PCCHI was first broached by lawyer Jose Manalo of the Carpio Villaraza and Cruz law office.

Marcelo also said Transportation and Communications Secretary Pantaleon Alvarez, Undersecretary Agustin Bengzon and National Telecommunications Commissioner Eliseo Rio later claimed as theirs the idea of setting up a clearinghouse.

"The concept of PCCHI is an access center to all calls across the different telecommunications networks," he said. "The projected annual income of the company is $1.1 billion with only 20 percent of the existing traffic."

However, three minority stockholders of PCCHI rejected yesterday Marcelo’s allegations that Mrs. Arroyo vetoed the two franchise bills following an extortion.

Voltaire Alcantara, Dante Madriaga and Guillermo Yanza swore in separate affidavits submitted to the Senate Blue Ribbon Committee that Marcelo’s allegations are not true.

"I am executing this affidavit to clear the company’s involvement in any bribery or any allegations of extortion committed by any party; to put a stop to anyone from using the company for political purposes; to attest to the truth of all the forgoing and for whatever purpose it may legally serve," read part of Yanza’s affidavit. — With Efren Danao