Systemic corruption

DIE HARD III
Herman Tiu Laurel
2/4/2011



A retiree from the Commission on Audit, with the initials AR, sent me this text after being glued to radio coverage of the AFP (Armed Forces of the Philippines) generals’ “pabaon” scandal: “Ang gulo congresmen cla cla din nagkokontrahan sobra dunong, puro dal2. Cla din tumutulong s dfendant.” (The congressmen are so messed up; they contradict and upstage one another; all they do is talk. They’re even the ones aiding the defendants.)

Then, Myrna (another texter) said: “Mabuhay kayo jorge rabusa, heidi mendoza tulad ng mga bagong katipunero. kayo ang mga buhay na bayani naming mamayan at bansa natin. Tulad nyo naranasan naming ang insultuhin kutyain bombahin ng tubig batutain sa mga rali.” (Long Live…! You are the citizens’ and the country’s living heroes. Like you, we have experienced insults, taunts, water canons, and truncheons in rallies.)

Such feedback from the public only affirms the Tribune’s recent headline, “House panel goes ‘soft’ on ex-AFP CoS.” But the coddling appears not only limited to the House.

Some members of media who are also at it include one who wrote: “On the downside of that Senate hearing were the actuations of Senators Jinggoy Estrada and Antonio Trillanes against Angelo Reyes… They were boorish and seemed more like spoiled juvenile delinquents instead of senators of the Republic. Instead of generating public support for ferreting out corruption in the AFP, they may have unwittingly generated public sympathy for Reyes instead — counterproductive.”

Columnist Billy Esposo, of course, did a little perfunctory criticism of Reyes before attributing personal vindictive motives to the two senators. What he apparently didn’t like was their vigorous cross-examination of Reyes, who was already used to taking the offensive as a way to distract and intimidate, a tactic seen and countered immediately by Estrada and Trillanes.

How can there be any downside when any investigation that ferrets out the truth is worth every minute and every penny of the public? Even in the case of the congressmen pussy-footing on the former chiefs of staff, their dissolute character in action was readily seen by the public.

The fact of the matter is, many legislators sitting in budget hearings or deliberating on appointments or promotions are known to demand favors that range from the facilitated entry of their own protégés into juicy posts to specified amounts as their shares of the “loot” from earmarked funds or projects.

Many of these individuals (mentioned by military officials) are known allies of Gloria Arroyo, including a notorious politician who ran for a Senate seat in 2007 but lost big-time, landing him a most lucrative post in the LWUA (Local Water Utilities Administration).

As we pointed out in our last column, the entire system is corrupt, especially after the Edsa II power grab. Mrs. Arroyo’s cohorts, starting with Esposo’s Copa (Council of Philippine Affairs), and especially those who helped out in the ensuing cover-ups and illegal operations, became virtually indispensable ever since.

We also said that compared to the many other scams in the past decade’s narrative of felonies, Maj. Gen. Carlos Garcia is a small fry. His estimated P300-million loot is certainly small in relation to the scandalous amounts racked by “evil society,” such as the infamous CodeNGO Peace Bonds that netted over a billion in fat commissions, excluding banker’s fees.

It’s also small compared to what certain members of media got in lucrative government directorships that pay out hundreds of thousands monthly even when they hardly have any qualifications to serve at all. Small-time Garcia is, too, compared to the different religious sects, which got their shares either in the form of choice government contracts (such as license plates) or appointments to cash cow agencies or even the courts.

While the nation’s eyes are focused on the AFP, another case of endemic, pernicious corruption, this time by the corporatocracy in connivance with the judiciary, is unfolding.

About a decade ago, Manila Electric Co. (Meralco) reneged on its 10-year supply contract to purchase electricity from the National Power Corp. (Napocor) because its owners had set up their own IPPs (independent power producers) and bought from these at a higher price. Napocor thus sued Meralco for breach of contract, for which the power distributor was fined P12 billion. This amount grew to P20 billion until it was settled at P14 billion, with the caveat that it will be charged to consumers.

Such corrupt shenanigans have gone on for over two decades now with neither the legislature nor the judiciary having ever lent the public a hand.

And Meralco isn’t alone. Another oligarchic firm, Manila Water, has gotten the MWSS, the water regulatory agency, to approve a fresh round of rate increases in the face of a declining dollar which ought to have been a major boon to savings.

But then, in the twisted way that deregulation laws were written, regulatory agencies such as the MWSS have no other choice but to source their funds, including their fat 30-month bonuses, from these privatized utility companies. Is it any wonder whose interests these agencies are working for? Yet after that entire hullabaloo about bonuses during PeNoy’s inaugural address, nothing has been done to curb this basic distortion and conflict-of-interest.

These are the real cases among the countless, ongoing, and all consuming corrupt practices that amount to hundreds of billions annually (P10 trillion in 10 years) that far outweigh the loot of a billion or two by the parade of patsy generals.

This systemic corruption is something that cannot be uncovered by mere legislative investigation. Only a popular awakening can achieve a comprehensive understanding. Only a national political revolution can clean the country of this scourge.

(Tune in to Sulo ng Pilipino, Monday, Wednesday and Friday, 6 to 7 p.m. on 1098AM; TNT with HTL, Tuesday, 8 to 9 p.m., with replay at 11 p.m., on GNN, Destiny Cable Channel 8, about “ERC, Meralco and NPC power rip-offs” with Mang Naro Lualhati, lawyer “Batas” Mauricio and Butch Junia; visit our blogs, http://newkatipunero.blogspot.com and http://hermantiulaurel.blogspot.com)