Probe of PCGG, PAGC heads ordered

MANILA, Philippines - President Arroyo has expressed alarm over reports of corruption and nepotism in the Presidential Commission on Good Government (PCGG) and the Presidential Anti-Graft Commission (PAGC) and directed concerned agencies to investigate the allegations.

Justice Secretary Agnes Devanadera ordered yesterday an investigation into reports that PCGG Chairman Camilo Sabio had misused the agency’s $5-million travel funds for round-the-world travel with his wife.

“We will look into this. I haven’t seen the letter yet but what we can do is (have a) fact-finding investigation,” Devanadera told reporters.

The justice secretary was referring to a confidential letter from PCGG employees that reportedly accused Sabio not only of misusing the foreign litigation fund but also of nepotism and excessive hiring of consultants.

She said a fact-finding committee would be created to determine if there are ample grounds in the complaint against Sabio that would warrant a preliminary investigation, where it will be determined if the PCGG chief should be charged in court or not.

The PCGG is under direct supervision of the DOJ.

In their letter, the PCGG employees also reportedly alleged that Jaime Bautista, PCGG commissioner for litigation, joined Sabio in his travels.

They accused Sabio of hiring some 35 consultants – mostly legal consultants – who were already of retirement age upon their appointment.

One of them was former elections commissioner Manuel Gorospe who had been involved in a controversy over kissing another Comelec commissioner, the employees added.

The PCGG employees said Sabio has appointed several relatives as consultants and aides in his office or in PCGG-controlled companies.

Among these are his sons-in-law Gerry Ledonio and Titong Feria, his son Jayvee and daughter May, the employees added.

Sabio and Bautista allegedly tapped the PCGG’s foreign litigation fund set up in 2004 by then chair Haydee Yorac to pay for the legal fees of foreign lawyers retained to represent the government in foreign ill-gotten wealth cases.

The PCGG employees said Sabio also gets huge allowances on each foreign trip.

On one trip alone, he had an allocation of $120,000 for himself, the employees added.

Serious allegations

Presidential economic spokesman Gary Olivar said such allegations should be taken seriously owing to the sensitive mandate of the two agencies, but stressed the accusers should file the proper complaints before the appropriate agencies along with working evidence.

“Obviously, charges like that should be taken seriously and the Palace would have to share everyone else’s concerns about whether or not these charges are true,” Olivar said.

He said he was sure the Department of Justice would “get to the bottom of these charges.”

“The PCGG is an important body. It is supposedly at the forefront of a particular type of anti-corruption effort. So this kind of behavior to be alleged is something that deserves investigation,” he said.

He noted that it was not the first time that such allegations have been hurled against Sabio and that would also be taken into consideration.

Olivar urged Sabio’s accusers to file a formal complaint as part of the legal process instead of “stabbing someone in the back or distributing white papers.”

Executive Secretary Eduardo Ermita said in a telephone interview that the Palace would also look into the allegations of nepotism and corruption against PAGC chair Constancia de Guzman.

He said he is awaiting a formal report on the matter.

STAR columnist Jarius Bondoc in his second column on the matter reported that De Guzman has appointed her son and his fiancee to top posts in her agency.

The unnamed fiancee, he said, revised PAGC rules so that she can hire her sister to the agency.

Bondoc also said De Guzman’s children bring their pet dogs to the office and are attended to by the agency’s guards.

“The Constitution states: ‘Public officials and employees must at all times be accountable to the people, serve them with utmost responsibility, integrity, loyalty and efficiency, act with patriotism and justice, and lead modest lives.’ Supposedly among the provision’s lead enforcers is the Presidential Anti-Graft Commission. But the elite Malacañang unit, in charge of keeping presidential appointees on the straight and narrow, can’t do its job. That’s because the boss and her minions treat it like it’s their private kingdom,” Bondoc wrote in his column that appeared yesterday.

Meanwhile, a PCGG source said Malacañang has already ordered the PCGG to explain the use of government sequestered United Coconut Planters Bank’s plush executive dining room at the head office in Makati last Friday for a conference to discuss initiatives to amend the Constitution.

Sabio was being questioned for allowing the conference, attended by several anti-Arroyo personalities like former ambassador Roy Señeres and Jose Luis Alcuaz, the source added.

The source said former House speaker Jose de Venecia Jr., vocal critic of Mrs. Arroyo, was invited as guest speaker.

The event was organized by Sabio and Danilo Coronacion, administrator of the Philippine Coconut Authority and president and chief executive officer of the CIIF Oil Mills Group, the source added. – With Paolo Romero