‘Estrada okayed Smokey project’

Former presidential adviser on flagship projects Robert Aventajado denied yesterday that he had lobbied for the development of the former Smokey Mountain dump by a supposedly favored contractor.

Aventajado said deposed President Joseph Estrada, his former boss, had "endorsed" the contractor to him.

But Aventajado insisted that the Estrada administration, "myself included, did not bid out the Smokey Mountain Development and Reclamation Project, it did not award the project to any developer, it did not design the project’s financial package, nor did it implement any aspect of the project."

"Of course, I took it up with him because I was his presidential flagship project adviser," Aventajado told The STAR, maintaining that he has "nothing to hide." "But it’s wrong to say that I tried to lobby for it."

Estrada had said Aventajado "tried to lobby" in behalf of R-II Builders Inc., the project development contractor, but his administration "did not entertain it because we knew beforehand that there were anomalies to it."

"I don’t know anything about that (project) at all. We never took it up in my Cabinet," Estrada told The STAR in an interview.

A document, however, obtained by The STAR yesterday from sources in the Senate showed that Estrada approved the project on March 23, 2000. He even approved the reclamation of an additional 150 hectares of the former dumpsite.

Saying Estrada’s memory "seems to be already muddled on the case," Aventajado also rejected the deposed leader’s claim that the project was never taken up by the Estrada administration.

"It was he who endorsed Mr. Reghis Romero, head of R-II Builders Inc., to me," Aventajado said in a statement yesterday.

"It was also he, former President Estrada, who gave me instructions to look into the project, particularly why the 21 buildings then already built on the site have not been occupied by its intended tenants. In turn, Mr. Romero was introduced to the President by the latter’s presidential political adviser, Mr. Lito Banayo."

Aventajado said his involvement in the project was "purely official, specifically in my capacity as chairman of the Smokey Mountain Development and Reclamation Project executive committee, created by President Estrada through Memorandum Order 33."

"I complied with the instructions of President Estrada to look into the project and had legal advise for any irregularity. Having found none, I told the President that the project was aboveboard. If that was an endorsement of the project, then I am willing to stand by it and defend my actions. In any case, President Estrada received my opinion and did not take a contrary position to my favorable view of it."

The project was awarded to R-II during the administration of Fidel Ramos, Estrada’s predecessor, Aventajado insisted.

"A total of 21 buildings were built by R-II Builders and 79 hectares of land were reclaimed by the time President Estrada ascended to the presidency," Aventajado said. "These 21 buildings were not being used and this was precisely what the President wanted me to find out why were they not being occupied. As it turned out, the intended occupants have been housed in temporary shelters while the building structures were being completed."

Telltale Memorandum

Meanwhile, a memorandum issued and signed by Estrada in 2000, which was obtained by The STAR yesterday, further contradicted Estrada’s claim that his administration never took up the project.

It was addressed to the "chairperson, Smokey Mountain Development and Reclamation Project executive committee and other concerned agencies."

It laid down guidelines on how they should "proceed and complete the project."

Among other things, Estrada had directed the National Housing Authority to "finalize with the developer (R-II Builders) the construction schedules and delivery timetables" of the project, as well as to "prepare for the approval of the Office of the President the proclamation for the additional reclamation of 150 hectares enabling component" for the project.

The reclamation originally covered 40 hectares, which was later expanded to 79 hectares and, under Estrada’s memo, to 150 hectares.

The Philippine Ports Authority was ordered to "support and assist the (project committee) in the operation of a world-class private commercial port open to all types of international and domestic vessels."

It was also told to "review the additional one hundred fifty hectares reclamation enabling component to ensure that it is consistent with the North Harbor Development Plan" and did not impede vessels going in and out of North Harbor.

A port, owned and run by a sister company of R-II Builders, now operates there.

The Public Estates Authority’s role was to "support and assist the (project development committee) in the approval of the 150-hectare reclamation" while the Home Guarantee Corp. provided "continued support and guarantee coverage of the financial instruments to ensure project completion."

The Home Guarantee Corp. is the guarantor of all funds that the contractor obtained from agencies such as the Social Security System and the Overseas Workers Welfare Administration to complete the project.

The Department of Public Works and Highways was directed to "look into the possibility of undertaking the development and construction of the R-10 flyover to relieve traffic in the port area, including the Smokey Mountain area."

The project was put in the spotlight following allegations from Sen. Miriam Defensor-Santiago that it was handed to a favored contractor at the behest of then President Ramos.

Ramos denied the accusation and insisted the project was bidded out.

"I only knew him because I inherited him from the previous administration. Of course, we dealt with him as developer during my time but he is not a personal friend. I never knew him before. I never knew him from Adam," he said, adding he was ready to face any inquiry. — Marichu Villanueva, Jess Diaz