ICI speeding up asset recovery in for infrastructure scandal

MANILA, Philippines — The Independent Commission for Infrastructure (ICI) and 16 government agencies have finalized a framework for recovering assets illegally acquired using flood control funds.

After meeting behind closed doors yesterday, the ICI and the other agencies came up with a  framework for inter-agency coordination, information sharing and legal procedures as they began the process of forfeiting assets of officials and contractors linked to the flood control scam.

They have also outlined operational guidelines for the conduct of national asset recovery and accountability initiatives.

“We know that every peso stolen is a peso lost for the service of the people. That’s why it’s important that we join together and help one another in returning the public’s money,” ICI chairman Andres Reyes Jr. said before the start of the meeting.

“Given your agency’s critical mandate and technical expertise, your roles are big and crucial in this process,” Reyes told the members of the technical working group.

Among the government officials present at yesterday’s meeting were Public Works Secretary Vince Dizon, National Bureau of Investigation officer-in-charge Angelito Magno, Assistant Ombudsman Mico Clavano and Cybercrime Investigation and Coordinating Center acting executive director Aboy Paraiso.

Dizon said forfeiting assets, which is civil in nature and can be filed independently of criminal cases, is a process that should not be too ardous.

“This is faster because what you need to prove is that what you earn is smaller than the money or assets that you hold,” he explained.

Dizon is mum on specific actions the technical working group intends to take, or on the number or nature of assets being pursued.

The Anti-Money Laundering Council reported last week that around 2,000 bank accounts totaling P5.2 billion had been frozen.

7 Discaya cars for auction

For its part, the Bureau of Customs (BOC) said seven luxury cars owned by contractors Sarah and Curlee Discaya are now up for auction.

“They submitted a voluntary forfeiture, meaning to say that they no longer contest the seven vehicles,” BOC deputy chief of staff Chris Noel Bendijo said yesterday after the ICI meeting with the technical working group. The BOC is a member of the TWG.

“These are vehicles with no import entry and no certificate of payment,” Bendijo added.

Besides the Rolls-Royce, the other vehicles set to be auctioned off are two Mercedes-Benzes, a Lincoln, a Bentley and two Toyotas.

Bendijo said the Discayas are offering a compromise for the six other luxury cars. “They submitted a position paper and, as part of that position paper, they are offering a compromise penalty. That’s being considered by the legal division already. Probably, the decision will come out in five days,” he said.

Should the BOC grant the compromise penalty, the Discayas need to pay a surcharge in addition to a 20-percent fine from the landed cost, according to Bendijo.

The government could earn P200 million—a conservative estimate—from all 13 vehicles, which would then be registered with the Land Transportation Office upon full payment “to ensure that winning bidders would have that assurance that they will not be harassed.”

The BOC has been receiving many inquiries regarding the auction, which Bendijo said is “symbolic.”

“We understand this can be symbolic at least on the part of healing or restitution. It can be part of at least the Filipino people recovering what was ill-gotten wealth,” he said.

Proceeds would be temporarily placed in a “forfeiture fund” before being remitted to the National Treasury.

As for the remaining 17 Discaya-owned luxury cars, all of them are undergoing post-clearance audit, in which the BOC determines whether the proper taxes are paid.

The BOC has seized 30 vehicles parked in the garage of the Discayas’ compound in Pasig City.

3 aircraft being tracked

The Civil Aviation Authority of the Philippines (CAAP), meanwhile, assured the public that three of the air assets of resigned lawmaker Zaldy Co are being tracked and can be brought home to the Philippines once a freeze order is issued.

Retired Lt. Gen. Raul del Rosario, CAAP director general, said his agency is in coordination with its counterparts in Malaysia and Singapore, where the helicopters owned by Co through his Misibis Aviation and Development Corp. have been flown.

Just when flood control controversy was about to explode, Co was able to move three of his aircraft out of the Philippines.

Two AgustaWestland AW1398, with an estimated price of P913.6 million each, flew to Kota Kinabalu, Malaysia, on Aug. 16 and Sept. 11. A Gulfstream 350 worth over P2.06 billion was flown to Singapore on Aug. 20.

One of the AgustaWestland helicopters was used for a “medical evacuation,” but for the other two, no purpose has been stated.

Del Rosario emphasized that the government has issued an order to prevent Co’s assets from being deregistered.

“An airplane cannot be sold until it is deregistered in the country where it was first registered, that’s according to the International Civil Aviation Organization,” the CAAP chief said. “There is only one nationality of an airplane.”

Asked whether Co used any of these assets, Del Rosario said no. “Included in the flight plan, when they request exit clearance, is the passenger manifest. And Zaldy Co is not there, in those three airplanes,” he said.

Help from Comelec

Pitching in to help in the ongoing probe on high-level corruption, the Commission on Elections (Comelec) said it is ready to provide the ICC  with its findings on contractors who made illegal campaign contributions to candidates and party-list groups in the past two elections.

“We can freely provide these documents that is requested of us because they are public records, public documents, especially when they are sought by government agencies that are also conducting their own investigations,” Comelec Chairman George Garcia said on Wednesday.

“The Office of the Ombudsman and the Bureau of Internal Revenue have already asked us for several documents regarding contracts or regarding the giving of donations to candidates, political parties, and party-list organizations,” Garcia said.

How about Ilocos Norte projects?

Meanwhile, former Ilocos Sur governor Chavit Singson wants the ICC to explain why it has not yet investigated alleged irregularities in flood control projects in Ilocos Norte, the home province of President Marcos.

“Why is the ICI not investigating Ilocos Norte? If we are serious about accountability, the investigation should include every province, without exception,” he said at a briefing.

Singson said it is important for the ICI to “prove its credibility first before diverting blame to others.”

“This flood control scandal is the biggest corruption scheme I have witnessed in my entire life,” Singson said.

“Having seen eight presidents lead this nation, this is an obvious, well-orchestrated scheme created by this administration to exploit the country’s national budget for personal gain,” he added. - Mark Ernest Villeza, Mayen Jaymalin