EDITORIAL - Weak regulation

For many years now, some non-government organizations have been linked to corruption scandals and other funding anomalies. Weak regulation is a magnet for the unscrupulous, and NGOs are among the least regulated entities in this country. Bribes and commissions have been funneled and ill-gotten wealth laundered through NGOs. Some organizations are set up as legitimate fronts for illegal activities; others dispense with the niceties and are little more than shell entities.

Paired with one of the least transparent schemes for public fund utilization, the congressional pork barrel, the result can be another major corruption scandal. Few people are surprised by allegations that up to P10 billion in Priority Development Assistance Funds or PDAF, ostensibly meant for projects earmarked by several legislators for implementation, went to questionable or non-existent NGOs.

The accuracy of the story still has to be established, but lawmakers should refrain from investigating themselves. The Department of Justice has launched a probe spearheaded by the National Bureau of Investigation, and the Office of the Ombudsman has also stepped in.

Alongside the probes, concerned authorities should draw up rules that will effectively regulate NGOs. If Congress wants to help but without giving up its PDAF, it should seriously craft measures to bring transparency and accountability in the utilization of the pork barrel.

Regulation is important not only to prevent abuses using NGOs, but also because legitimate organizations are being adversely affected by the scandal. Legitimate NGOs play a positive role in promoting democracy and economic development. They are active in poverty alleviation, in enhancing basic services such as education and health care, and in promoting the welfare of marginalized sectors. The few rotten eggs should not taint the entire basket.