OMBUDSMAN  TELLS  ROMULO:  EXPLAIN  ALLEGED  CONFLICT  OF  INTEREST

MANILA, January 25, 2005
 (STAR) By Delon Porcalla  -  The Ombudsman ordered yesterday presidential adviser Roberto Romulo to defend himself from allegations that he can be held liable for graft for holding multiple positions in government and in the private sector.

Director Mary Susan Guillermo of the Ombudsman’s Preliminary Investigation and Administration Adjudication Bureau gave the former foreign affairs secretary 10 days to submit a counter-affidavit and refute the complaint filed by former solicitor general Francisco Chavez, who accused Romulo of numerous "conflicts of interest."

In her order, Guillermo warned Romulo — who carries the rank of Cabinet secretary — against filing a motion to dismiss or one that seeks a bill of particulars, as these "shall not be entertained."

Failure to comply with the Ombudsman’s order, according to Guillermo, would be considered a "waiver" on Romulo’s part to "submit controverting evidence." It would also pave the way for the preliminary investigation to proceed.

The order came more than three months after Chavez filed the complaint, which used as basis the libel suit Romulo filed against STAR publisher Max Soliven. Romulo had enumerated his numerous public and private posts in the suit.

"With Romulo’s tentacles of power extending over both the public and private spheres, he is a reputed influence-peddler promoting his dual allegiances," the chief government lawyer of former President Corazon Aquino said, as he assailed the senior adviser on international competitiveness for refusing to divest his rates in these firms.

Romulo holds several private positions, among them being chairman of the Board of Equitable CardNetwork Inc., Phil-Am Insurance Co. Inc. and InterPharma Investments Ltd. (Zuellig Pharma) Inc.

Romulo, a cousin of incumbent Foreign Affairs Secretary Alberto Romulo and son of the late Carlos P. Romulo, is also a member of the board of directors of A. Soriano Corp., Aboitiz Equity Ventures, Systems Standards Inc., PLDT and MIH Holdings Ltd.

He also serves as chairman and CEO of Romulo and Navarro Inc. (management consultants), "reputedly a lobbying firm."

"Aside from his business affiliations, Romulo has his hands full sitting as head or officer of private sector organizations," said Chavez.

"Despite all these, there was no proof of divestment. I want a full disclosure of all his assets because these private corporations are engaged in areas covered by his portfolio. It’s a direct contravention of the interest of the general public," Chavez asserted.

He reminded Romulo that entering public service is no simple matter as "public officers must serve the people with complete fidelity that they are enjoined to avoid any conflict of interest," particularly members of President Arroyo’s cabinet.

Also yesterday, Chavez submitted to assistant Ombudsman Ernesto Nocos a supplemental affidavit to his September 2004 complaint, where he included, this time, more of the companies where Romulo either sits as "incorporator or trustee."

Among the latest are Asia Europe Foundation of the Philippines Inc., Carlos P. Romulo Foundation for Peace and Development Inc., Carlos P. Romulo Research and Development Foundation, Circle of Friends Foundation Inc., Citizens for Constitutional Democracy Inc.;

Foundation for Philippine Arts and Culture Inc., Philippine Foundation for Global Concerns Inc., Philippine Trade Foundation Inc., Society for the Preservation of the Philippine Culture Inc., and that Romulo holds top managerial posts in firms "operated for profit."

Chavez listed them as PET Plans Inc., PCI Leasing and Finance Inc., Medilink Network Inc. and R&G Publications Inc.

"As a government official, Romulo is in a powerful position to influence the President and direct the policies of the government to favor these private corporations which he heads. This is clearly conflict of interest," he stated in his 15-page supplemental affidavit.

"It is one thing to lobby for particular foreign policies as a private person. It is quite different to act as a lobbyists when at the same time one is a cabinet member sworn to uphold government-laid policies," Chavez added.

Other government posts in Romulo’s hat include his chairmanship of the Public-Private Sector Task Force for the Reconstruction and Development of Iraq created through Executive Order 194 by President Arroyo.

The others are his being a special envoy to the Middle East in February 2001 and his being a co-chairman with the DTI Secretary in the information technology e-commerce created by EO 264 during the time of deposed President Joseph Estrada.

Romulo was also appointed by Mrs. Aquino in 1989 as ambassador to Belgium, Luxembourg and the European communities, He was DFA chief during the time of former President Fidel Ramos but was forced to bow out due to the Flor Contemplacion public furor in March 1995.

Romulo is also chairman of the e-Asean Task Force, an advisory council created by the Asean heads of government, chairman of Digital Philippines Foundation composed of Communication Technology Associations.

He is likewise the chairman of the Foundation for Information Technology Education and Development and founding chairman of the APEC Business Advisory Council and current chairman of ABAC Philippines.


Reported by: Sol Jose Vanzi

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