Gloria Arroyo aware of corruption in NBN -ZTE deal before signing

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Gloria Arroyo Confessed Her Crime
Whoever made Gloria Arroyo’s new alibi script is dumb idiot. It seems that she wants to tell the Filipino people ‘another lapse of judgment’. Gloria committed a heinous crime. She did nothing to stop the anomalous deal. The bitch is lying big time.

Did Gloria Arroyo inform her Cabinet men about the irregularities in the ZTE deal before they went to China? Who are involved? What are the specific misdeals? Did she order an official investigation upon learning the alleged irregularities? There are more questions than answers. Why only now?

GMA aware of corruption in NBN deal before signing

By Sherwin C. Olaes
02/24/2008
President Arroyo yesterday admitted she was aware of the purported corruption in the ZTE-National Broadband Network (NBN) deal that the government forged with the Chinese firm in April last year.
The Chief Executive, during a radio interview over dzRH, however, stressed that she was only informed of the irregularities in the broadband project the night before signing the supply contract.
“I was told about corruption the night before the signing of the supply contract. How could we cancel it the night before the signing,
given that another country was involved in this contract?” she said.
Mrs. Arroyo added she pushed through with the contract because of the compromise with China, whose government-to-government business relationships could have been affected.
The President witnessed the signing of five contracts between the Philippines’ Transportation and Communications Secretary Leandro Mendoza, Education Secretary Jesli Lapus, Trade Secretary Peter Favila and China’s ZTE, Tsinghua Tongfang and other Chinese contractors last April 21, 2007.
It was Mendoza and ZTE president Yu Yong who signed the NBN contract that was witnessed by Mrs. Arroyo.
The Philippine government’s copies of the contract, which were reportedly stolen, had been reconstituted. Daily Tribune

Gloria Arroyo, et al face graft charges over ZTE-NBN contract

Let’s observe how Presidential Chief Legal Counsel Sergio Apostol and Solicitor General Agnes Devanadera handle the presidential immunity issue. I think presidential immunity from suit does not covers de facto president or usurper.

What do we expect from Jose Pidal's crony Ombudsman Merceditas Gutierrez? This will be an impartiality test case for Ombudsman Gutierrez. She should be loyal to the Constitution not to Gloria Arroyo or Jose Pidal. The Joc-Joc Bolante fertilizer scam is going nowhere. She even absolved former Comelec chairman Benjamin Abalos’ criminal liability in the over-priced election counting machines. ZTE-NBN scam key player Trade and Industry Secretary Peter Favila should be also included in the complaint.


Arroyo, et al face graft charges over NBN contract

A group led by former vice-president Teofisto Guingona Jr. filed Tuesday a graft complaint before the Ombudsman against President Arroyo and three others in connection with their alleged involvement in the $329 million broadband network project with China's ZTE Corp. ABS-CBNNEWS

"Impeach Me" P2M Bribe Try Bared

"Impeach Me" is a sinister plan to save Gloria Arroyo from real impeachment complaint. Lawyer Pulido's complaint is weak and designed to fail at the Lower house. Gloria’s political survival is at stake in the anomalous $329 M ZTE-NBN broadband contract.


Palace ‘messenger’ offered ‘bribes’ to solons for endorsement

P2-M impeach GMA sign- up bribe try bared

By Alejandro Lichauco
10/09/2007
Evidence of Malacañang’s hand in the alleged bogus impeachment complaint against President Arroyo, to guarantee her immunity for a year from any move by Congress to remove her constitutionally through an impeachment process, was bared yesterday by activist Rep. Crispin Beltran of Anakpawis party-list.
Beltran took to the floor yesterday and disclosed an offer from a Malacañang “messenger” of P2 million for him to endorse the impeachment complaint filed surreptitiously last Friday, at the close of office hours in Congress.
Congressional sources yesterday claimed the “Malacañang messenger” is a former presidential aide but stopped short of identifying him by name. Daily Tribune


Related Links
Kampi exec offered P2-M bribe to sign impeach case - Beltran
Lacson wants to probe Arroyo cash ‘gift’ to solons, local pols
Bulacan governor got P500,000 from Malacanang
Bribery in the Palace: Akbayan calls for probe of solons

The tip of the iceberg ZTE-NBN $200 M Scam

The ZTE Corp. broadband $329 misdeal is just a tip of the iceberg. Hello Ben Abalos! Hello Jose Pidal! Hello Gloria! The vultures in the corrupt Arroyo government had a frenzy day. Gloria Arroyo and her cohorts have sold our country to China. Secret deals and anomalous-questionable agreement with China to explore Philippines’ natural resources, mines, alienable lands and sea-aquatic explorations.

In the RP-China Agreements, our government agencies are contractually-bound to look for more than one million hectares of land to be leased out to approximately five Chinese corporations. 1.4 million hectares of land to 5 Chinese corporations. How about the US$ 465.5 million Cyber-education project? Maybe it’s another misdeal. Unfortunately, Filipino taxpayers have to shoulder these behest loans. Death by hanging to traitors!

$200-M plus scam in ZTE-NBN kickbacks bared

By Angie M. Rosales
Daily Tribune 09/05/2007

Once again, corruption reared its ugly head under the Arroyo administration with kickbacks galore amounting to way over $100 million, divided accordingly among a high-ranking poll official, the “Big One” and “Little One.”
“Kickbacks” in the contro-versial broadband contract with Chinese firm ZTE Corp. practically ate up the project’s cost and ended up 300-percent higher than the original or proposed amount, with highly-placed public officials and public figures said to have pocketed the “loot” amounting to over $200 million.
Citing his sources, opposition Sen. Panfilo Lacson yesterday bared the details surrounding the ZTE deal he dubbed the “great grandmother of all scams,” with some $20 million having already been disbursed, as a downpayment.
Revealing the “break-down” in the botched deal, according to Lacson’s informants, would have been the following: $55 million would go to a Commission
on Elections (Comelec) official; $75 million to two “highly-placed” individuals in government whom he referred to as the Big One and the Little One, $68 million alleged to have been appropriated to form part of the President’s “war chest” in the senatorial polls last May.
“That’s really big. That’s more than P3 billion. That more than enough to kill (defeat) us (opposition senatorial bets) in the (last) elections. Good thing it wasn’t released yet that time,” Lacson said during an interview, referring to the $68 million that would have gone to the administration’s campaign fund.
“Three-hundred percent actually is the overprice for ZTE to win. There is already a profit of $30 million. There was already a full disclosure of the $30 million net profit (because) they (ZTE) would bid at $132 million,” he said, adding that the Chinese firm’s project, in which the government secured a loan from the China Export and Import Bank (Eximbank) recently, would have been fair enough for the administration without the hanky-panky.
“Even at $132 million, it would have been fair enough. An American firm’s offer was even higher, it was at $135 million,” he said.
As Lacson made the disclosure, the Senate is seen to also call for an investigation on this mess, parallel to that already initiated in the House of Representatives.

ZTE Corp. P26-B CyberEducation
Anomalous ZTE contract continues to unravel

ZTE broadband $330 M misdeal: Elections chief Benjamin Abalos in hot water

Comelec Chairman Benjamin Abalos has no business in DOTC broadband project. He is not an expert in wireless telecommunications. What monkey business he is dealing with China’s ZTE?


Graft raps filed vs DOTC
chief over broadband deal

BY PETER TABINGO
NUEVA Ecija Rep. Carlos Padilla yesterday filed criminal complaints before the Office of the Ombudsman against Transportation Secretary Leandro Mendoza and two subordinates over alleged anomalies in the awarding of the $330 million broadband project to Chinese firm ZTE Corp.
Padilla accused Mendoza and assistant secretaries Lorenzo Formoso and Elmer Soneja of violating the Anti-Graft and Corrupt Practices Act, the Telecommunications Policy Act, the Build-Operate-Transfer Act and the Government Procurement Act.
He said executives of ZTE Corp. including its chairman Hou Weigi, vice president Yu Yong, chief Manila representative George Zhu Ying, and executive director Fan Yang should also be indicted for conspiring with DOTC officials in binding the Philippine government to what he said was an onerous deal.
He assailed Mendoza’s decision to burden the public with the $330 million project funded by a loan from the Chinese government, saying two other bidders were willing to build the broadband project at no cost to government. The other bidders were Amsterdam Holdings Inc. and Ameriscom of the United States.
"There was no bidding done for this project, and under the law, all telecommunications projects of the national government have to be bidded out. In this case, all aspects of the contract are suspicious because these have been kept under wraps," the opposition lawmaker said.
Padilla also chided the Department of Justice for allowing itself to be the "laughing stock" for rendering a favorable opinion on the ZTE project, when the department allegedly did not even have a copy of the contract. Malaya 08/29/2007
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Rep. Carlos Padilla links Elections chief Benjamin Abalos of being the patron of China's ZTE Corp.
Chinese loan caps sneaky ZTE deal
COMELEC silent on ‘sexcapade’
Abalos admits ZTE paid for China trips
Teves confirms Abalos's involvement in broadband deal
House minority mulls Abalos impeachment

China's ZTE Corp. Misdeal?

Contract with Chinese supplier breaks 4 laws
GOTCHA By Jarius Bondoc
The Philippine Star 04/23/2007

Despite warnings of potential fraud, Malacañang went on and signed Saturday in China a hurried, overpriced telecom contract. The violation of four major laws could cost the administration the senatorial election and expose President Arroyo to yet another impeachment suit.

The deal is for China’s ZTE Corp. to supply the government $329.5 million (P16 billion) worth of broadband apparatus. Up to two months ago the project — to fuse all landline, cellular and Internet needs of national and local offices — was not even a priority. But in March the Dept. of Transport and Communications rushed up some justifications to the Cabinet-level National Economic and Development Authority, which in turn hastily assented. Arroyo witnessed the signing of the supply deal by DOTC Sec. Leandro Mendoza and ZTE chairman Hou Weigui.

Government officials are forbidden to make purchase or construction contracts during election periods, lest they favor or hurt certain businesses for political reasons. The ZTE deal thus violates the Omnibus Election Code — unless issued a waiver by the Comelec.

Telecom industry men are curious if Comelec chair Benjamin Abalos will give such a waiver. From murmurs at the DOTC, a Comelec bigwig is behind ZTE’s entry.

The supply deal also was signed sans public bidding, another breach of law. ZTE is supposed to erect a broadband infrastructure, but ironically disregards the e-Procurement Law that requires competitors to submit bids simultaneously via Internet on a specified date and time.

Again telecom men are abuzz with talk that the DOTC itself broke rules that it proposed during Congress debates on the procurement act. Questions abound if Mendoza will take the rap for a powerful official’s spouse who is also pushing for ZTE.

Biddings aim to elicit the best price for the best product. A US firm, Arescom, is complaining to NEDA Sec. Romulo Neri why DOTC endorsed the supply offer of "a Chinese proponent that is almost identical to ours, using similar technology but which will cost more than double our offer of $135 million." Arescom had submitted its papers well ahead of ZTE.

DOTC insiders say ZTE’s offer came only in February, first for $300 million. Faced with an earlier superior bid from Filipino firm Amsterdam Holdings Inc. (AHI), it haggled down to $262 million. But the final quote zoomed to $329.5 million on the way to last Saturday’s signing. Since Feb., insiders add, it was known that ZTE’s real price is $132 million, but talks of overprice were hushed by promises of huge payolas.

AHI has threatened to sue the government for two other breaches. It had sent in an unsolicited proposal on Dec. 5 to build a broadband network worth $240 million, but at no cost to government. All Malacañang needed to do was move government telecoms subscriptions to the network at only 75 percent of current rates; AHI will earn profits from private subscribers.

Under the Build-Operate-Transfer Act, an agency must start studying an unsolicited bid within 60 days, then put it to a "Swiss challenge". DOTC sat on AHI’s bid on the pretext that it was deficient. On the sly, it accepted ZTE’s late inferior bid on the say-so of two influence peddlers.

To buy ZTE’s system, government would need a loan, accompanied by a sovereign guarantee of repayment. These too are against the sections of the B-O-T Act.

ZTE will only sell and set up the broadband network, then turn it over to the government to operate and maintain. This is in violation of the Telecoms Development Act, which ordered government starting 1995 to privatize all its telecom facilities. The ZTE deal would revive unfair state competition with private telcos.