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Wednesday, February 27, 2008
New witness says ZTE advanced $41M to ‘gang of four’
MANILA -- A new witness Tuesday told the Senate that China's ZTE Corp. has paid at least $41 million in advance to the gang of four or the Filipino group in order to push through with the national broadband network (NBN) deal.
Dante Madriaga, a communications engineer and new witness of the Senate probe on the NBN-ZTE deal, tagged the gang of four composed of former Commission on Elections chairman Benjamin Abalos Sr., Ruben Reyes, Leo San Miguel, and retired General Quirino de la Torre and the first couple into the controversy.
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During the hearing Tuesday, Madriaga confirmed that at least $41 million was the advanced payment made by the ZTE Corp.
According to him, there was really some flaw in the deal -- the overpricing.
He said $1 million went to the Filipino group as part of the representation, while $10 million was divided into two -- $5 for the first couple, President Gloria Macapagal-Arroyo and her husband, and the other $5 for Joey de Venecia III who refused to accept the money.
The $30 million, said Madriaga, was given after the signing of the contract in Boao China, which he said is in aid of the 2007 elections.
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These matters, he added, was divulged to him by San Miguel and Fan Yang from the ZTE.
He also said it was San Miguel who directly hired him for the NBN project.
"Leo (San Miguel) engaged my services as Head of the Design Team. It was Leo who told me to work closely with the technical staff of a couple of Filipinos and other ZTE technicians in the ZTE office located at the 25th floor of the pacific star building," the witness told the committee.
"It was also Leo who told me, 'Protected tayo dito. Walang haharang' (we are protected here. No one stands in the way)," Madriaga was quoted as saying.
The gang of four, which the new witness also tagged as the "greedy group," has a direct access to contact First Gentleman Jose Miguel "Mike" Arroyo anytime.
Fan Yang, said Madriaga, was the one who required the presence of the Chief Executive in the signing before they will give the Filipino group the much needed $30 million, which will be used for the elections that time.
"We will not give the money if the President will not appear on the contract signing," Fan Yang said based on the recollection of Madriaga.
Madriaga also denied that he is for sale as he maintained that his coming out is in order to clear his name in this issue.
"I risk my life and I am not for sale," he said.
However, Palace dismissed the testimonies of Madriaga as pure allegations.
Deputy Presidential spokesman Anthony Golez, in a text message, said one testimony of Madriaga even spoke of FG Arroyo's supposed meeting with Abalos, de Venecia III, and some ZTE officials that supposedly occurred in December 2006 at the same time the President's husband was still at the hospital.
"Madriaga said the meeting with FG when he said 'back off' took place last December 4 or 5, 2006. That was the time when FG was confined in the hospital. This destroys the credibility of Madriaga instantaneously," he said referring to the angioplasty operation of Mr. Arroyo on December 3, 2006. He was discharged from the St. Luke's Medical Center on December 6.
Golez added: "The new statement of another so-called witness is no different from the allegations of Mr. (Rodolfo) Lozada (Jr.) that is purely allegation. These allegations by 'installment' unless proven through the processes dictated by our laws would only remain as allegations."
He said he also finds it hard to believe that Madriaga would know so much about the President or the members of the First Family. (CPB/JMR/Sunnex)
For more Philippine news, visit Sun.Star Pangasinan. (February 27, 2008 issue)
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