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Friday, March 07, 2008
Senate summons ZTE officials linked to NBN mess
MANILA -- The Senate has summoned two executives of Chinese telecommunications giant ZTE Corp. to testify about a corruption scandal battering President Gloria Macapagal Arroyo's administration, officials said Thursday.
The Philippine government awarded the US$329 million national broadband network (NBN) deal to ZTE. But the contract was later scrapped by Arroyo following allegations of corruption and bribery.
Arroyo Watch: Sun.Star blog on President Arroyo
According to Senate sergeant-at-arms chief Jose Balajadia, they have already delivered the invitations for Chinese attaché Fan Yang and ZTE president Yu Yong to appear on Tuesday's hearing on the NBN-ZTE controversy.
Aside from the Chinese officials, the Senate also summoned the so-called "Greedy Four" that include former election chairman Benjamin Abalos Sr., Leo San Miguel, retired Army General Quirino dela Torre, and Ruben Reyes.
Latest NBN whistleblower Dante Madriaga, during his testimony at the Senate hearing, linked President Arroyo and her husband Jose Miguel "Mike" Arroyo, Abalos and the three others to the scandal.
Madriaga, who claimed to be a former ZTE consultant and head of the broadband project's design team, said the "Greedy Four" allegedly collected up to US$41 million in bribes from ZTE.
But Arroyo, her husband, and Abalos have denied allegations that they benefited from huge kickbacks in the NBN project.
Last month, ZTE Corp. issued a statement denying it bribed anyone, and ZTE spokesman Howard Xue said the company "cannot allow itself to be dragged into any political circus" and ruled out appearing at the Senate hearing.
Senate President Manny Villar told reporters that the ZTE executives were served with subpoenas.
Balajadia said 17 police and Ninoy Aquino International Airport (Naia) authorities have also been summoned to the NBN investigation.
Senate Minority Leader Aquilino Pimentel said the Senate can invoke their rights with Hong Kong authorities if the two Chinese officials would continue to snub the investigation.
Pimentel said based on the mutual legal assistance treaty with Hong Kong, the Philippines can ask Fan and Yu to give the information about the NBN-ZTE contract.
According to him, foreigners who are conniving with government officials and believed part of the corruption must also be held liable.
"I think it is not good for our people to see that we are only running after the crooks in our government, and not after those foreigners who are corrupting them," Pimentel said.
He said the Senate investigating committees must write the bourse in Hong Kong to de-list the ZTE stocks.
Fan was mentioned by Madriaga as one of those who were present during the negotiations.
Pimentel said that although Fan is considered a diplomat, she should be invited formally to also appear in the NBN hearing considering her participation in the anomalous deal.
Earlier, Pimentel proposed that Fan be declared persona non grata due to her continuous refusal to appear in the Senate investigation.
NBN witness Rodolfo Lozada Jr. also told the Senate that Yu and Fan admitted to him that they have given advance payments to Abalos for acting as broker.
"They (Yu and Fan) have direct knowledge and whatever information they can give to this committee will be vital in coming out with report in this investigation," said Pimentel.
Meanwhile, Senator Panfilo Lacson said although former socio economic planning secretary Romulo Neri may not be attending the next hearing, a new witness will be introduced to the Senate.
Lacson added that the new witness is set to tell the Senate some vital points, which will help them in its ongoing investigation. (CPB/Sunnex/AP)
For more Philippine news, visit Sun.Star Davao. (March 7, 2008 issue)
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