AUGUST 16, 2009 (PHILIPPINE STAR) By Jess Diaz - President Arroyo used up the government’s P800-million contingency fund for emergencies like calamities for her frequent foreign trips, Bukidnon Rep. Teofisto Guingona III revealed yesterday.

“She exhausted not only Malacañang’s travel funds but also the P800-million appropriation for emergencies in the 2008 national budget,” he told radio station dzMM.

He said he based his revelation on a Commission on Audit (COA) report submitted to Speaker Prospero Nograles this week.

“I have a copy of the report. An assistant commissioner of COA even briefed us on their shocking findings,” he said.

Guingona said the COA findings show that the 2008 contingency fund was not enough for foreign travels and Mrs. Arroyo had to augment it by P120 million.

“The augmentation was also exhausted,” he added.

Guingona also said the President overspent for her foreign travels between 2003 and 2007 by P1.6 billion.

She has only P1.1 billion under the annual budgets but she spent P2.7 billion over that period, he said.

He said the House of Representatives should have discovered the excess spending during the budget hearings.

“But the House is dominated by the President’s allies, so they just turn a blind eye,” he said.

He accused the President of violating the annual budget law “because she could not augment what Congress had approved and authorized her to spend.”

He said he would demand during the forthcoming budget hearings details on how and when Malacañang’s travel funds and the appropriation for contingencies were used.

Mrs. Arroyo’s latest foreign travel was her weeklong working visit to the United States two weeks ago.

It has become controversial largely due to at least two expensive dinners the President and her entourage of more than 50 enjoyed in posh restaurants in Washington and New York City.

Sen. Francis Escudero has criticized Mrs. Arroyo’s frequent travels abroad, saying she has spent more than P3 billion in taxpayers’ money for them.

Before her latest US visit, she “circumnavigated” the globe by flying to Tokyo, then to Los Angeles, Colombia, Brazil, Dubai, and Hong Kong before returning to Manila, he said.

According to former Senate president Ernesto Maceda, Mrs. Arroyo has spent a total of P5.5 billion for more than 50 foreign trips she has made since 2001.

In a recent television interview, Maceda said appropriations in the annual budgets for the President’s trips totaled P3.3 billion.

“In addition to these, there are contingency funds that could be used for foreign travel. Mrs. Arroyo has realigned a total of P2.2 billion of these funds for her foreign trips,” he said.

He said he got his data from the Department of Budget and Management and the Senate finance committee, of which he was chairman for five years.

He added that Escudero’s P3-billion figure apparently did not include realignments from the contingency funds.

Meanwhile, Quezon Rep. Danilo Suarez confirmed yesterday that President Arroyo and her large entourage had another expensive dinner in New York City other than the controversial $20,000 meal at the posh Le Cirque French restaurant.

“Yes, there was a second dinner in New York. But I was not there. I had other engagements,” he said.

He could not say where it was exactly or how much the presidential entourage paid.

Text messages purportedly coming from a staff member of the Philippine embassy in Washington claim that Mrs. Arroyo’s party enjoyed two dinners at Le Cirque.

The embassy supposedly paid for the New York City dinners, including the controversial meal on Aug. 2, for which Press Secretary Cerge Remonde claimed Leyte Rep. Martin Romualdez shelled out $20,000.

The messages also claim it was the embassy that paid for a $3,500-a-night suite for the President and 60 $950-a-night rooms for her congressional companions at the Waldorf Astoria Hotel, where former First Lady Imelda Romualdez Marcos used to stay.

Suarez and Rep. Romualdez are among Mrs. Arroyo’s favorite congressional companions whenever she travels abroad.

On Thursday, Suarez claimed that he was the one who paid $15,000 for steaks and lobsters at a Washington DC restaurant last July 30.

COA audit pushed

For a left-wing lawmaker, the Commission on Audit should form a special audit team to review the “lavish” spending of President Arroyo in her US trip.

Bayan Muna Rep. Teddy Casiño personally went to the office of COA chairman Reynaldo Villar, and handed him a two-page letter containing his request. He said he merely wanted the “whole truth about the controversies surrounding the US trip.”

He also invoked Republic Act 6713, or the Code of Conduct for Public Officials, which may have been violated by government officials who had partaken of the expensive meals in New York and Washington.

“Like most of our countrymen, I wonder, what other lavish expenses were made by the Philippine delegation?” he asked. Casiño finds the meal expenses “irregular, unnecessary, excessive, extravagant or unconscionable even if bills were footed by a private entity.”

Casiño, fellow Bayan Muna Rep. Satur Ocampo and Gabriela Rep. Liza Maza filed House Resolution 1315 that seeks to direct the House committee on good government to conduct an inquiry on the matter.

Casiño said it is well “within the jurisdiction of COA to determine, through a special audit, if public funds were irregularly used and if laws and policies were violated.”

Anakpawis Rep. Joel Maglunsod said Malacañang must present to the public a detailed accounting of all expenses of the President’s state and working travels abroad, including her latest trip to the US.

“The people deserve to know how much the President spent for her foreign travels,” he said.

“The expensive dinner at Le Cirque and the meal at Bobby Van’s Steak House in Washington are just the tip of the iceberg. Mrs. Arroyo and her entourage are definitely spending more than what they should during their junkets,” Maglunsod added.

“Whether the meals were paid for by private individuals or government officials, Mrs. Arroyo has a lot of explaining to do about her expenses during her trips and her swelling wealth,” he said.

“It is evident that Mrs. Arroyo and other public officials joining working and state visits violated Republic Act 6713 or the Code of Conduct and Ethical Standards for Public Officials and Employees,” Maglunsod said.

No excuse

“The report that the consulate in New York has been asked to foot the bill is disturbing, and if true, exposes the sham behind Malacañang’s claim that taxpayer’s money was not spent for the Le Cirque dinner,” Makati City Mayor and opposition leader Jejomar Binay said. – With Delon Porcalla, Christina Mendez, Jose Rodel Clapano

GMA did not overshoot travel budget, says Palace official (The Philippine Star) Updated August 15, 2009 12:00 AM

MANILA, Philippines - President Arroyo did not overshoot the travel budget allocated to her office and the benefits derived from her foreign and local trips far outweigh their costs in terms of investments and saving overseas Filipino workers from execution, a Palace official said yesterday.

Presidential economic affairs spokesman Gary Olivar said a report from the Department of Budget and Management (DBM) showed that under the 2008 General Appropriations Act (GAA), the amount allocated for local and foreign visits of the President is P244.6 million.

“The actual amount obligated by the Office of the President (OP) is only P233.8 million,” Olivar said.

He said if ever the OP will exceed its budget for foreign travels, “this is allowable as stated in Section 62 of the 2008 GAA.”

Section 62 of the 2008 GAA states that agencies may augment any item of expenditure within the Maintenance and Other Operating Expenses (MOOE), except confidential and intelligence funds, from savings in other items in the MOOE, without prior approval of the DBM, he said.

He also said the DBM has not released any funds from the contingent outlay for travels.

“Even if she overspends, consider the benefits (of such trips). We can certainly go by the numbers mentioned in her SONA,” Olivar told a news briefing. “We can go by the record of her anti-hunger and pro-poor programs implemented under her presidency in the last eight years.”

He likened the trips to those of a traveling salesperson that bring huge sales to the company.

“If she had not gone to Korea (earlier), we won’t have $2.2 billion in investments. If she did not go to the Middle East to plead the case of our OFWs, we would not have been able to save Filipinas from execution,” he said. – Paolo Romero


'Use P500-million intelligence fund vs kidnapping' By Charlie Lagasca (The Philippine Star) Updated April 02, 2009 12:00 AM

BAYOMBONG, Nueva Vizcaya , Philippines – Sen. Francis Escudero urged yesterday President Arroyo to use the more than P500-million intelligence funds at her disposal to stop the growing number of kidnapping cases, and for the government to give the five teachers snatched in Basilan the same attention being showered on the three captive Red Cross workers in Sulu.

In making his appeal, Escudero said at least P500 million in intelligence funds have been allocated for the Presidential Anti-Organized Crime Commission in this year’s national budget.

“It is time to use it wisely,” he said.

Escudero said the amount is sufficient to acquire state-of-the-art technology, like communications equipment for intelligence build-up, for the police to remain a step ahead of kidnap gangs.

“Any police officer worth his salt will tell you that the key to an effective anti-kidnapping drive is good intelligence work,” he said.

“In other words, take out the bad guys before they take out their victims.”

Escudero said in the first quarter of this year alone there were already 40 kidnapping incidents, or half of last year’s total.

“Instead of constantly watching the political opposition, the government should set its sights on kidnappers who have scared off investors and affected the business climate,” he said.

Escudero also called on the government to give equal attention to the five kidnapped teachers in Mindanao, as it has been doing for the three captive members of the International Committee of the Red Cross.

“Time is also running out for these abducted teachers,” he said.

“While I commend the efforts being undertaken for the safe release of the three humanitarian workers, the same amount of energy should be evident in actions to free other captives, especially teachers, now held in captivity in different parts of Mindanao.

“They sacrifice a lot just to bring education to children in hard-to-reach barangays, and who knows those children are even relatives of their captors, and this is what they get for their heroism and sacrifices.”

Although authorities cannot cover every corner of Mindanao, the government must focus its intelligence funds in areas where kidnapping has become a major fund-raising activity, Escudero said.

Chief News Editor: Sol Jose Vanzi

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