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SOCIAL ENTERPRISE LEADER ON A MISSION 16 Educational yet opinionated, informative yet persuasive JULY 14-20, 2014 • VOL.4 NO.46
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President Benigno Aquino III’s Disbursement Acceleration Package (DAP) renders Congress useless. And this is PNoy’s signature and declaration to the Filipino people that he has no need for lawmakers. Page 2 By Miguel Raymundo
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DEPOT SHUTDOWN: MATTER OF POLITICAL WILL | 8 7/11/14 9:23 PM
COVER STORY
these yellow allies. PNoy promised to wipe out poverty. Poverty incidence has gone up as we slipped deeper in international ratings on the measure of success in the fight against poverty. PNoy said “Pag walang corrupt walang mahirap” and we see the reason why the “mahirap” has increased in numbers.
Costly Congress
PNoy: Most Guilty By Miguel Raymundo PRESIDENT Benigno Aquino III’s Disbursement Acceleration Package (DAP) renders Congress useless. DAP is PNoy’s signature and declaration to the Filipinos that he has no need for Congress. Filipinos spend tens of billions of pesos a year for salaries of congressmen and senators and to underwrite their stealing. Thievery in this Congress has gone too far that a weekly business magazine rightly described it as a crime syndicate. Who needs a crime syndicate for a Congress? Even PNoy, by his acts, says he does not need Congress, except perhaps to impeach a Supreme Court Chief Justice. Then will somebody please simply abolish Congress for failing the Filipino people for decades now?
PNoy’s Crimes
First, Congress failed to protect the people from the biggest crime syndicate in the country led by the President himself. The President misappropriated some PhP174Billion in forced savings from the budget of executive offices. He pooled
Presidential faux pas By ElCid Benedicto In a matter of four weeks, the brother and sister tandem – President Benigno “Noynoy” Aquino III and presidential sister Kris Aquino – committed some apparent “grave” slip-ups on certain issues concerning the country’s entertainment industry, even involving some of those already considered as icons. The impact of which will only be known two years from now, when the President and his allies would be soliciting support anew from the voting populace, majority of which are composed of the masses who idolizes some celebrities who command a number of followings, both here and even those living abroad.
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these savings to form an illegal fund called the DAP. The Use of these savings is a product of technical malversation—a crime with defined penalties that include a jail term and dismissal from service. This is PNoy’s biggest crime so far, a thievery ten times worse than that of the PDAF scandal supposedly masterminded by one Janet Lim Napoles. While PNoy could be the most dishonest President this country has ever had by the magnitude of stealing now going on, his is a long list of dishonest acts from abandoning campaign promises to allowing subalterns to run away with billions of government funds. PNoy promised us Daang Matuwid. With runaway corruption in the government service, no one but his yellow allies believed this. But of course Daang Matuwid meant a straight path of billions of pesos to the pockets and bank accounts of
What’s ironic is the fact that his sister, the youngest in the Aquino siblings, carved her name not in politics but in the movie and television industry and considered as his topmost “supporter” even if they’re known to be often in personal clashes in the past. By now, it’s been all over the news about Pres. Aquino’s explanation on Aunor having been “convicted” on a drug-related case abroad as a reason why she was dropped from the roster of possible nominees to the title of a national artist. What transpired, however, seemed to be a backlash of sort to the Aquino administration that continues to this day. Just as when the issue on Aunor was slowly dying down, Santos hogged the headlines courtesy of the president’s youngest sister. Kris Aquino posted on social media Santos’
The people pay over P35Billion in keeping Congress. In return, Congress enacted insignificant laws, like in 2012 a bill on reproductive health and the postponement of elections in the Autonomous Region in Muslim Mindanao, according to election lawyer Romulo Macalintal. Every year, the only significant bill passed is the General Appropriations Act (GAA) or the national budget, the obligatory congress action to legalize government expenditure. Under PNoy this GAA is not the bible in his spending, this is a scrap of paper that does not merit his attention or, worse, his respect. And, for circumventing the provisions of the budget and violating the Constitution, PNoy ought to go to jail. According to Macalintal, the PhP35Billion savings from abolishing Congress could be used for other purposes. But wait, should Congress be abolished, there will be absolute control of the purse by the executive branch. Remember, Mr. Macalintal, the lawmakers are simply beneficiaries of theft by the executive branch. Remember that the process of stealing starts from Malacanang, passes through Congress and, finally, actually disbursed by the executive branches controlled by the Palace. So Congress is just one step in the process of theft. Most guilty are those in the executive department, especially people in Malacanang. Every step in the way in the disbursement of government funds has safety measures against acts of thieves. I was the chief of budget division and management services division during the martial law days in one office attached to the Office of the President. I had this case of the top official ordering me to transfer funds from capital outlay to maintenance and other operating expenses (MOOE). I refused to obey the order, advising the boss it was technical malversation. I briefed him, thinking that being new the government service he did not know our duties. I told the boss this was against the law and I could go to jail if I followed his order. The national budget defines how the government funds must be used, I told him and I have a duty to my position as budget officer. Of course I resigned few months after that briefing for too suddenly it became very hot in the kitchen.
personal note to her which reflected the governor’s apparent lack of command on English language and this drew ire from the latter’s supporters especially since the governor had since been the subject of numerous negative comments from socalled “bashers.” Whether it was deliberate on the part of the presidential sister to “expose” the grammatical errors of the Batangas governor or indeed a major slip-up, given her good command in English language, no longer matter. “The damage has been done,” one political observer said, in reference on the governor’s poor command in English language, despite her stature both in the field of politics and entertainment industry. Some tend to overlook the fact that effective public servants should be armed with the knowledge as to how to go about
Most Guilty
The system is not rotten. The people in the system are. In solving the corruption in Congress, you don’t kill the system. The solution is for us to stop electing the corrupt to Congress. Those elected and continue with their thieving ways should be charged in court and put to jail. That is assuming our justice system is working, but that is another story. The presidential is system is not rotten. It is working fine in other countries like the United States of America. The person in the position makes the position of President rotten. In the case of the Philippines, our President has shown how he has ruined the image of his position, being most guilty in the PDAF-DAP crime. He should be impeached for everyone to again respect our system. He is the puppeteer, the one using government cash as strings in the public dance to massive corruption. Now, if you think stealing from the government coffers is the only form of corruption hurting the economy so much, think again. Yes corruption has hurt so much the economy that when PNoy and budget secretary Florencio Abad were pooling forced savings to create DAP, the GDP growth went down to half at over 3%. The forced savings meant putting a stop to infrastructure projects and other people welfare initiatives, pulling out from the national spending over P170Billion. The ripple effect of this dip in national spending was slow down of economic activities by suppliers to government projects and no jobs. Government spending is also intended to inject life to the economy, to create employment by direct hiring by government and suppliers. Downstream, even the sari-sari stores had to suffer. The net effect of reduced government spending is reduced cash in circulation, reduced disposable income of families. In the dip in disposable income, government holding down disbursements of public funds has a temporary effect on disposable income. This dip is offset when the hijacked funds are released to fund massive corruption. The worst source and reason disposable income is on the dive is the cost of basic necessities and utilities like food, power, water, transportation and others. In the privatization of utilities, corruption in government is not noticed, this form of corruption deliberately moved away from public attention by the taipancontrolled mainstream media. How bad business succeeds in bleeding dry the middle class and the poorest in this country is a long story of corruption in our congress and our President who is even more corrupt.
and run government affairs and prove to be valuable leaders, he said. But whether a political candidate’s credentials indeed matter the most to voters during campaign and election season, is yet to be established by any studies in the country. What seems to be obvious to this day, given the “evolution” of campaign strategies – from the previous years’ lighting rallies where candidates would deliver monologues in between song and dance numbers courtesy of local entertainers – to the use of social media, is the fact that “celebrity endorsements” continue to be an effective tool in advancing the candidate’s chances at the polls. Pres. Aquino cannot deny the fact that he’s no different from other candidates who bank on the popularity of local entertainers for needed boost at the polls and no less than the CNN,
in its website, took note of this. It can be recalled Pres. Aquino’s “inaugural” was highlighted by a musical ensemble by some of the country’s popular singers and known supporters, the likes of Jim Paredes from the APO Hiking Society, Charice, Ogie Alcasid, Regine Velasquez, Noel Cabangon, Gary Valenciano etc. As if this was not enough, a concert was even held to celebrate his and LP’s victory at the polls on the evening of June 30 at the Quezon City Memorial Circle and featured popular bands and entertainers. Incidentally, among the “appointees” of Aquino happen to be the father of Alcasid, Herminio Alcasid Sr. as president and chief executive officer of Philippine National Oil Co. Development Management Corp. (PNOC-DMC) and matinee idol Dindong Dantes as “commissioner-at-large” of the National Youth Commission (NYC).
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Nation
News from Where You Stand
Bad Theatrics By Tonypet j. Rosales
A CASE of ham acting and bad theatrics. This is how the opposition and critics of the administration described President Benigno Aquino III’s decision to reject the resignation of Budget Secretary Florencio “Butch” Abad despite the plunder complaint filed against the latter over the controversial Disbursement Accelerated Program (DAP). On Friday, Aquino announced his decision to turn down Abad’s resignation submitted Thursday. Abad and several administration officials are in hot water after the Supreme Court declared part of the government’s DAP—created by Department of Budget and Management Circular 541—as unconstitutional. And, to fortify its “in good faith” defense, former Chief Justice Artemio Panganiban went on national television saying Abad and Aquino could not be held accountable for violating the Constitution as proponent and executor of the DAP—unless it is determined that they are guilty of “culpable violation of the law”. Almost instantly, social media and the news networks were flooded with adverse reactions.
Stubborn Defense
“It’s a bad day for good governance, Navotas Rep. Tobias Tangco, secretary-general of the United Nationalist Alliance (UNA), said in a text message describing Aquino’s retention of Abad. “I am waiting for them to sing ‘If We Hold on Together’”. Renato Reyes, head of the militant group Bagong Alyansang Makabayan, called Aquino’s decision to keep Abad in the Cabinet as a “stubborn defense” of DAP. He said the rejection “shows that the President is still in a state of denial regarding the illegality of the DAP. He is protecting Abad and in turn protecting himself.” For his part, ACT Teachers party-list Rep. Antonio Tinio said Abad should have submitted an irrevocable resignation if the Cabinet official was sincere about taking responsibility for the DAP. “This is merely theatrics meant to ease pressure on himself and Malacañang,” Tinio said in a statement. “As chief executive, President Aquino swore an oath to preserve and defend the Constitution and execute the laws of the land. This includes respect for and compliance with jurisprudence as embodied in Supreme Court ruling. In loudly and publicly rejecting the ruling on DAP, he is breaking his oath of office,” Tinio added. Also on Friday, the Senate committee on finance has summoned Abad to make a public accounting on how the Aquino administration spent billions of pesos in public funds released under the Disbursement Acceleration Program. Senator Francis Escudero, the chair of the Senate panel that examines the proposed national budget, asked Abad to appear before a public hearing scheduled July 21. Escudero directed Abad to submit to the Senate panel the complete list of the all the Special Allotment Release Orders or SAROs that were disbursed under the DAP, including “projects/purpose and
the amount of the releases. This is what we have been asking the DBM too since our last committee hearing: where is the list?” Escudero said in a statement. Abad has not issued any statement on the DAP since it has been declared unconstitutional. Meanwhile, impeachment complaints against Aquino have meanwhile been submitted to the House of Representatives, which administration congressmen vowed to block.
Irrational
Described as a “stimulus package to fast-track public spending and to push economic growth on high impact budgetary programs, activities and projects”, the High Court gave three reasons for declaring the DAP unconstitutional: the withdrawal of unobligated allotments from the implementing agencies and the declaration of the withdrawn unobligated allotments and unreleased appropriations as savings prior to the end of the fiscal year and without complying with the statutory defi nition of savings contained in the General Appropriation Act (GAA); the cross-border transfers of the savings of the executive department to augment the appropriations of other offices outside the executive; and, the funding of activities, projects and programs that were not covered by any appropriation in the GAA. The Supreme Court also voided the use of “unprogrammed” funds in the absence of a certification by the National Treasurer that revenue collections exceeded revenue targets. Aside from serious concerns about its legality and propriety— of being used as presidential pork barrel for patronage purposes, particularly the impeachment of former Chief Justice Renato Corona—the DAP has also been described as economically irrational which is consistent with the notion that the supposed stimulus effect is only a cover for self-serving political agenda. According to the research, education and development institution Ibon Foundation, the practice of using government spending to stimulate or pump-prime the economy in a situation of low demand is well-established. But to generalize from this and claim that any and all government spending is a stimulus to the economy would render the practice tautological and meaningless. In a report, Ibon said certain conditions need to be met for the spending to be a genuine stimulus. The most basic is that the quantity of spending must be large enough and occur within a short enough period to actually make a discernible difference. The quality of spending also matters and this
should be on items that will have the most immediate and greatest multiplier effect on the economy. Notwithstanding all the justifications that the administration has raised, the DAP did not meet either of these and the so-called stimulus argument is weak.
Economic Stimulus?
When questions about the DAP first surfaced, President Aquino claimed that the program stimulated the economy in 2011 and created a momentum that carried on years after. When the controversy first came out President Aquino himself claimed that the DAP stimulated the economy in 2011 and created a momentum that continued until years after. PNoy also specifically said that the DAP contributed 1.3 percentage points to the growth in the Gross Domestic Product (GDP)in the fourth quarter of 2011; this is considerable considering that growth in that period was just 4.0 percent as reported by the National Statistical Coordinating Board (NSCB). Since the brouhaha, government has released varying, incomplete and inconsistent statements on DAP, but there is nonetheless not enough information to make a sound conclusion. Early reports from the DBM had total DAP spending of P159.36 billion broken down into P85.53 billion (2011), P58.70 billion (2012) and P15.13 billion (2013). But these DAP magnitudes are not additional to the spending programs for the respective fiscal years of P1,580.0 billion (2011), P1,829.0 billion (2012) and P2,005.9 billion (2013); these figures coming from the latest Budget of Expenditure and Sources of Financing (BESF) documents. It is therefore important to note
that the DAP did not provide additional government spending for any of the years it was implemented and was just, as the acronym suggests, merely an acceleration of the disbursement of budget that were already established under the GAA. This fact makes it grossly inaccurate to claim the DAP as a stimulus package as it did not introduce additional appropriations into the budget, but only changed the manner how these amounts were spent by changing the actual expense items through various means which the Supreme Court declared unconstitutional. Ibon further notes that the DAP was not that all significant. Total government spending – computed as the sum of government fi nal consumption expenditure (GFCE) and public construction from the national accounts measured at current prices – in those same years was P1,132.67 billion, P1,376.10 billion and P1,558.24 billion, respectively. This means that the DAP was just 7.6 percent of total government spending in 2011, 4.3 percent in 2012 and 1.0 percent in 2013. Measured versus the economy the DAP was just 0.9 percent of GDP in 2011, 0.6 percent of GDP in 2012 and 0.1 percent of GDP in 2013.
No Impact
So even at its peak in 2011, the DAP could not have had any substantial impact on the national economy. The Ibon report even proceeded to compare the DAP with equivalent figures of more genuine stimulus programs. For instance, the US government’s stimulus program – consisting of the $787 billion US economic recovery package of 2009 and $700 billion in Troubled Asset Relief (TARP)
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funds, unemployment insurance, health care—was, if spent as programmed—equivalent to about 20-30 percent of total annual federal outlays and some 4-6 percent of the US economy. Meanwhile, stimulus packages in other countries in 2009 were also similarly large or larger, such as: Malaysia (7.9 percent of GDP), China (4.8 percent), Spain (4.5 percent), Germany (3.4 percent), Thailand (2.8 percent), Korea (2.7 percent), Indonesia (2.5 percent) and Japan (2.2 percent). Still, to claim the DAP accounted for 1.3 percentage points of the 4.0 percent GDP growth in the fourth quarter of 2011 would have been meaningful if true, because then it would have accounted for more than one-fourth of the economic growth. But again, this 1.3 percentage point contribution to was not actually just of the DAP but rather of total government consumption and public construction for the period (of which the DAP was just a small part of). The contribution of DAP-related spending to economic growth is likely just one-fourth of a percentage point at most in the fourth quarter of 2011 and less than a tenth of a percentage point for 2011 as a whole. But since there is no accounting yet of how the DAP was spent, it could even be possible that for it to have reduced the contribution of the national budget to economic growth. If it is true that portions of the DAP were lost to corruption or for bribing lawmakers to vote for the removal of Chief Justice Corona, it is possible that instead of being spent in the real economy the DAP has been lost to hidden bank accounts here—or even abroad.
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OPINION
Commentary Crime in a Culture of Corruption E
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Time to do an FM PERHAPS Ferdinand Marcos had good reason to abolish Congress back in 1973. With the extent and amount of thievery in Congress and the plunder of public funds reaching unbelievable proportions and spanning several decades, there is more than enough reason to shut down the operation of what critics and a newspaper columnist-magazine publisher describe as the “largest crime syndicate” of the land. Throughout history, Congress has seen several evolutions and shifts from a unicameral to bicameral system. Marcos abolished Congress in January 1973 with a shift to the parliamentary system of government and the bicameral system was only reintroduced in February 1987 after Corazon C. Aquino assumed the presidency with the ouster of Marcos. The primary role of Senators and Representatives is—supposedly—to draft and pass laws for the advancement of the nation and the protection of its people. Lawmakers are not supposed to have direct access to public funds. Well, not until the creation of the controversial Priority Development Assistance Fund (PDAF). Originally called the Countrywide Development Fund (CDF) in 1990, the PDAF is designed to allow legislators to fund small-scale infrastructure or community projects which fell outside the national infrastructure program—which was often limited to large infrastructure items. But over the years, the PDAF has been used for things other than countrywide development. It’s been used as a tool for blackmail, coercion as a reward for political loyalty and has been the object of plunder. Currently, each of the 24 senators has access to PhP200 million in PDAF while the 289 or so representatives receive PhP70 million a year. In total, some PhP25.03 billion of the national budget goes to our honorable men and women in Congress. Public outcry over the CDF led to reforms in the CDF and its evolution into PDAF. But nothing has changed. The PDAF remains prone to administrative abuse and plunder. And we’re not even talking about the Disbursement Acceleration Package (DAP), which is a different matter altogether but also involves the possible misuse of billions in government money. PNoy and his administration is in deep trouble. Maybe it’s time to do an FM.
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july 14-20, 2014
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The Philippines government has long been ineffective at solving crimes, many of which are categorized as being heinous. Rampant crime has plagued practically all levels of Philippine society, and their occurrences have largely been attributed to the weak and useless systems that characterize the government, especially those mechanisms within it that are meant to address the crime problem. The crime problem has taken its toll on the lifeblood of the nation’s socioeconomic situation. Crimes have tremendously affected the country’s economic growth. A large segment of our people has lost confidence in the law-enforcing agencies of government. Many fear that tragedy might suddenly strike them in broad daylight. Stories from the newspapers (particularly the tabloids) are sufficient to send tingles down the spine. One thing is certain: Filipino society is crime-ridden and the government is helpless at effectively checking and containing the already serious and increasingly more serious crime problem in the country. 1. Poverty. In a society like the Philippines, where poverty is a given, no second thought is needed to ascertain that in one way or another, poverty causes criminality. Crimes are committed in areas where the urban poor live, and their occurrence is quite regular. Poverty may not be strictly identified as a direct cause of crimes but certain circumstances brought forth by and within a situation
On last week’s issue, THIEVES IN GOVERNMENT by Ray Junia (Vol. 4 No. 45, July 7-13, 2014) It’s also double taxation. Your basic deposit is already taxpaid. The BIR may only impose a tax on the interest. Mitos Garcia DAP is the GREATEST COVER-UP! Jose Velasco
ALFONSO LABITA Executive Editor FREDERICK FABIAN Acting Managing Editor DAVE DIWA Opinion Editor CARLOS RAJAMIRA Creative Director JOJO VALENCIA Layout Artist ATTY. SALVADOR PANELO Ombudsman RAY L. JUNIA President ATTY. RICKY RIBO Legal Counsel
2. Abuse of Power. Another prominent cause of crime in Philippine society is somehow also related to our economic condition. It is not the type of crime perpetrated by people in a situation of poverty but one that terribly affects them. It exploits the economic weakness of the poor, and none but the poor are the unfortunate victims of its ravaging onslaught. This cause of crime is: abuse of power. Abuse of power is routinely perpetrated by powerful government officials and law enforcers with a mandate to defend the rights of people and protect them from harm. Abuse of power is terribly serious in the Philippines. In most cases, crimes related to the abuse of power are not treated as crimes due to methods of circumventing the laws. Every day newspaper banners report crimes committed by policemen and military personnel— hold-ups, kidnaps-for-ransom, murders, bank robberies, carjacking, etc. The crimes of these people are even more heinous than those committed by some poor, unknown and desperate criminals. Since the justice system in the country is so discouragingly defective, most of the time, powerful criminals are exonerated of their crimes, even those categorized as heinous. Meanwhile, the unknown, powerless poor suspects in lesser crimes are not given fair trials and thrown immediately in jail. This is the true state of the Philippines as a nation. We are governed by corrupt leaders whose major agenda are their own personal vested interests. We have law enforcement agencies and institutions whose major task is to protect and defend the corrupt leaders of the country and in the process perpetuate the system of corruption. Because of these conditions, criminality has proliferated and will continue to proliferate in the next generations. The whole situation has put common Filipinos at great economic disadvantage, and poverty is here to stay “’til kingdom come.” Hopeless? Who holds the key to the most sensible answer?
PUBLIC PULSE
RAY L. JUNIA Publisher
ISSN 2094-7372
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(The following are excerpts from ‘The True State of the Philippines: Crime in a Culture of Corruption’, by Ruel Pepa, published 2013 July 21 in NewsJunkiePost.com. Mr. Pepa is a retired university academic in the fields of philosophy and cultural studies. He was born, raised and spent most of his life in the Philippines. He is currently based in Madrid, Spain.)
of poverty cause them.
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Big business doesn’t want scattergun spending for the poor. They want programmed and projected spending so they can position themselves to make profits. Corp planning by the entrenched establishment is the MBA’ers preserve as salaried lackeys of an oligarchy who want to perpetuate themselves on top of the economic totem pole by keeping the Filipino masses down on a subsistence level so that production costs can remain globally competitive. The gap between rich and poor will grow wider as the Philippine economy grows ascendant in Asia and follow the sad path of India where Billionaires proliferate while the masses remain submerged in hand to mouth existence. That’s why DAP is anathema to the paid journalists, mindless comment posters, SC Justices on retainer, corrupt politicians, and political hacks. Butch Abad is the new Panday and NB Circular 541 is his sword for the poor. Boy Leveriza A colleague of mine of mine who lives in Thailand came to the Philippines recently. Not too impressed. I quote “I couldn’t
believe how far behind they are......” Matt Meeking ON RUMORS OF BOY ABUNDA RUNNING FOR SENATOR, KRIS AQUINO RUNNING FOR VICEPRESIDENT Puro chismisan lang gagawin nito sa gobyerno. Peping Dibdib Tamayo Lets leave the politics to politicians and the showbiz to artist... Either way, we can’t differentiate both from each other... Ronald Yu Panay pasabog at rebelasyon ang magiging trending n’yan? Yun nga lang puro tsismis. Di bale sana yung kung yung pasabog ay CDX at yung rebelasyon ay rebolusyon? Mapapawi nyan ang tunggalian ng mga uri, ang papalit, tunggalian ng magkakapit-bahay dahil sa tsismis. Luv luv luv!!! Boyet Gregorio ON PNOY ‘DISAPPEARING’ AFTER SUPREME COURT RULES DAP AS ‘UNCONSTITUTIONAL’ Wala pa mang warrant of arrest, nagtatago na? guilty ka phouwz? Tracy Anne Dumalo HOY! yung presidente nyo! nawawala. Baka nakita nyo sya, Paki sabi Mag Resign na sya! Robert Ray Villanueva Medrano
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Opinion
The Viewpoints and outlook of the well-informed
Malum Prohibitum An example of an act that is malum in se is stealing. An apprehended thief cannot claim he did not know that there was a law punishing theft. In this case, ignorance of the law will not excuse him because stealing is intrinsically bad, immoral or evil, and even an atheist knows this. An order for restitution and a jail term await him. On the other hand, an example of malum prohibitum is a traffic violation, like parking a car in a no-parking area. The driver will get a fine for this.
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ny breach of the law is an act classified either as malum in se (bad in itself) or malum prohibitum (bad because it is prohibited). Let us use this as a premise for a clearer understanding of the Supreme Court’s resolution declaring unconstitutional the Disbursement Acceleration Program (DAP). I think that this is necessary for observers who are not lawyers, given the complexity of the facts and the intricacies of the plunder law appurtenant to the criminal cases now before the Sandiganbayan. An example of an act that is malum in se is stealing. An apprehended thief cannot claim he did not know that there was a law punishing theft. In this case, ignorance of the law will not excuse him because stealing is intrinsically bad, immoral or evil, and even an atheist knows this. An order for restitution and a jail term await him. On the other hand, an example of malum prohibitum is a traffic violation, like parking a car in a no-parking area. The driver will get a fi ne for this. In relation to the DAP imbroglio, was the act of the executive department in usurping congress’ power of the purse malum in se or malum prohibitum? This is the essential question. Under the constitution, congress is vested with the exclusive power to appropriate funds for the operations of government. The constitution and the General Appropriations Act (GAA) were violated when DBM Sec. Florencio Abad, his subordinates and other government functionaries gathered the unused funds of the departments,
self are so complicated they will give defense counsel generous lea ways for securing Abad’s acquittal. YAN’s thrust, IMHO, would be virtually trouble-free if it had instead sued Abad for Malversation (Art. 217, Revised Penal Code). A feature in Malversation would have made it much easier to convict Abad, namely, his mere negligence in allowing another or others to illicitly profit from DAP’s operations. And the effects thereof would be just as damning as in Plunder, viz, the penalty of reclusión perpetua (life imprisonment) if the amount misappropriated or embezzled is more than 22,000 pesos, or reclusión temporal (ten years imprisonment) if 22,000 or less; additionally, Abad would be slapped with perpetual special disqualification from holding public office and a fi ne equal to the amount involved, not to mention that in appropriate cases there would be prima facie evidence that he had unlawfully profited. It has long been my belief that PDAF and DAP offenders can be more easily convicted under the provisions of Malversation. Just think: In Plunder, many transactions will usually be needed to reach the threshold of 50 million pesos for conviction, while in Malversation, one transaction will be enough. Pres. B.S. Aquino lll? Well, his numbers in the lower house shield him against impeachment, but Malversation or the malum prohibitum offense of Technical Malversation will send him to jail after his term. (To be continued)
MUSINGS Ronald Roy agencies and offices within the jurisdiction of the president, purportedly for the noble purpose of distributing the same to sundry priority projects to accelerate economic development. Purportedly? Granted. It may even be further assumed for argument’s sake that the DAP was designed with a mechanism to insulate its operations from graft. Nevertheless, the DAP was still an unwarranted usurpation of the legislature’s exclusive power of the purse. And here’s why: When the executive department wrested away a power exclusively owned by both houses of congress, 1) it created an abhorrent imbalance of power among the three branches of government --- a disrupting disequilibrium which no healthy democracy would wish to be home to, and 2) it opened the floodgates of graft, which incidentally is what actually happened in the premises. These are the two situations that the law seeks to prevent. Last week, I wrote that President Noynoy could not claim good faith because when he was a senator, he authored and sponsored a bill outlawing the DAP which he then saw as evil, although his colleagues ignored him. Well, he’s now hard-pressed to convince anybody that when he woke up one morning, he
realized that the DAP was a virtuous concept pala. And so, as a favor to the nation, he authorized its implementation. Ngek!! In any event, the general consensus of observers is that DBM Sec. Abad now fi nds himself in deep s - - t. Last week, over a dozen youth leaders led by Kabataan Rep. Terry Ridon fi led with the Office of the Ombudsman a complaint of the nonbailable crime of Plunder. The youths, acting under Youth Act Now (YAN), a nationwide alliance of youth groups, charged that Abad “conceptualized, developed and implemented the DAP himself, supposedly as an economic stimulus facility”. I’m sorry, but I fear the observers’ jubilant overconfidence will likely go for naught. The facts of the DAP and the provisions of the plunder law it-
For feedback: rqonald8roy@gmail. com/09186449517
Which Propaganda to Believe?
I
was amazed to read at the Wall Street Journal (7/9/14) an article entitled “From Hidden Station, China Spies on the World” by James T. Areddy, Paul Mozur and Danny Yadron. It pictured how sophisticated the Chinese espionage and their high-tech weaponry capability that can compete with the western technology. The report vividly described the China’s version of the US National Security Agency monitoring Russia and track missiles from the mountains near Beijing. China’s military experts allegedly analyze internet phone calls on an island dubbed as China’s Hawaii and eavesdropped on Europe from a secret town hidden behind an array of residential towers. The Wall Street Journal assembled an overview of some secret operations of China’s global monitoring organization using Chinese government websites, academic databases and foreign security expertise. The 3rd Department of the Peoples Liberation Army’s General Staff Department which spy watchers call 3PLA is reportedly central to China’s military
strategy, tasked with monitoring and analyzing much of the world’s communication, including embassy cables, corporate emails and criminal networks for foreign threats and competitive advantages. China’s national security operation is perceived to maintain what active and former US officials say are facilities around Shanghai specialized in watching the US. One of them is located close to the main transoceanic communication cables linking China to the US. Last May, the US Justice Department indicted five officers of 3PLA on charges that they stole US corporate secrets. The report added that as Beijing modernized its high-tech defensive arsenal, the Wall Street Journal backed up ‘on the ground’ views of 3PLA facilities with an examination of the organizational structure of the NSA like military departments. Pundits believe, it rattled governments and corporations around the globe while remaining obscure outside security circles. Its operational units are spread out widely throughout China. According to foreign experts, recruits came from elite
WHISTLE BLOWER Erick San Juan specialist universities. 3PLA’s estimated 100,000 plus hackers, linguists, analysts and officers populate a dozen military intelligence units. Its multiple sub-operations divvy up responsibility according to geography and task as reported. At some 3PLA units in Beijing and Shanghai, arrays of satellite dishes seemed to dwarf the walls surrounding them where visitors face stiff-faced guards and written warnings. Some farm fields sprout dozens of thin radio towers next to a base in Northern Shanghai. According to the Wall Street Journal report, two former US officials familiar with intelligence assessments said 3PLA’s operational structure has parallels with those of the
US National Security Agency and the Pentagon’s Cyber Command, both run out of Fort Meade in Maryland, USA. There are so many secrets and detailed information at the WSJ report. Who will taught that this top level information can be exposed like the Wikileaks, Snowden report, spy novel like Ludlum, Le Carre and has a semblance of the James Bond spy thriller. It entered my mind like a ‘deja vu’ when I attended a security conference abroad recently. One of the lecturers told us that the old adage-” He who controls the gold rules.” is already passé and the future war will be won by superior technology. Humint or human intelligence through clandestine and spy networks will soon be replaced by super computers and hi-tech gadgets. Soldiers as warriors due to its vulnerability will be retooled by intelligent robots. Planes, drones, tanks and other weaponry will be unmanned and controlled by computers and satellites. It’s very clear now that the hype of sophistication is part of psy ops and myth to make the perceived future enemies
believe that they now have the capability to fight and defeat the western technology and strategy. I have to remind some nation-states not to ‘bite the bullet’ and stop their provocation of war just to cover their leaders’ deficiencies and impending domestic strife. In disguise of uniting their nationals, they are trying to be bully for a ‘cause’ and possibly fight another enemy. Such leaders should learn from the mistakes of the past and history of wars. The west have created thousands of think-tank like Project 2049 Institute, a Virginia based organization whom the WSJ was provided with unpublished analysis on 3PLA. What about the several security conferences analyzing and assessing possible and future confl icts inviting members of the academe, top intelligence and defense officials and security analysts worldwide. The real problem lies with the pawns. The Philippines could possibly be the ‘guinea pig’ if our leaders will not be careful. Be wary!
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OPINION Young Social...
Bad Theatrics
Last 2012, Noreen cofounded the company SlashIgnite Inc. to pursue this mission. SlashIgnite Inc. catalyzes the entrepreneurial spirit of the Slash Generation. These are people who pursue multiple disciplines in their career. It is for individuals who value collaboration, interdisciplinary skills and who have a passion to make a positive impact in society.
Accounting
From page 3
From page 16
Spark Project
Noreen, together with her SlashIgnite colleagues, helped launch the Filipino crowdfunding site www.thesparkproject. com and the online advocacy EntrepsBuildPH (which is now under the BCYF Institute for Social Enterprise Development) to support a community of social entrepreneurs and innovators in the Philippines. One of the biggest lessons people can learn from Noreen is that whatever one decides, they should commit to the task with all that they have. “If you desire it, go for it,” she suggests. One effective way to do this is to be with likeminded people. For 24-year old Noreen Bautista, age is but a number. When you hear her speak, you think of anything but her youth. For this young social entrepreneur speaks of achieving great things in the world with such conviction that you can’t help but feel inspired, especially when she speaks of her chosen career path with such passion. Those of us in our early twenties can relate to feeling a bit unsure of what to do with our lives, especially as we debate between taking traditional career paths or starting our own business.
Hang With The Crazies
“I hang out with the crazies!” Noreen admits. “We need to assure ourselves there are other people with us. There
are a growing number of young Filipinos who want to do something with meaning.” Noreen graduated with honors at the John Gokongwei School of Management, Ateneo de Manila University with a degree in Bachelor of Science in Management major in Communications Technology, minor in Enterprise Development. Growing up in Iloilo City, she is also a Global Shaper from the Manila Hub of the World Economic Forum and the youngest member in the Board of Directors of the Philippine Science High School National Alumni Association. At the end of the day, Noreen considers herself as just a simple girl who loves music, and who has always dreamed of making a difference in even a small part of the world. Noreen has proven that you can make a profit and still do good for the community. She also knows that you can choose what to work for and how to work. “We have a site called Entrepsbuild where we exchange ideas and host events. It’s a collective thing and it’s not limited to someone starting on their own,” she shares. She believes that qualifications do not lie within the limits of your education, your classes, or the classified ads. Noreen assures aspiring social entrepreneurs that there is a support community waiting for them online.
With the DAP dwarfing the amount of money involved in the PDAF scandal an immediate accounting of where and how it was spent is required if Aquino and company want to come clean and get themselves out of the public crosshairs. Problem is, there is no available information of the criteria applied by the government in deciding which projects to fund through the DAP or how it chose which projects to in effect discontinue by realigning funds away from them. A complete listing of the project also remains unavailable and a cursory glance of what projects have been made public is more than enough to cast doubt on how the administration utilized the funds which is several-fold big-
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ger than the amount involved in the PDAF scandal. Included in the items of alleged prima facie dubious stimulus impact are: PhP30 billion capital infusion to the Bangko Sentral ng Pilipinas (BSP); PhP8.6 billion for Autonomous Region of Muslim Mindanao (ARMM) peace and development interventions; PhP5.4 billion in landlord compensation; PhP3.4 billion in GSIS premium payments; PhP1.8 billion for the Moro National Liberation Front (MNLF); PhP1.5 billion for the Cordillera People’s Liberation Army (CPLA); PhP1.6 billion for the Department of Science and Technology’s (DOST) DREAM project; PhP1.1 billion for human resource development of BPOs; PhP750 million to settle the tax liabilities of the National Power Corporation; PhP666 million for the Department of National Defense (DND); and others.
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The issue is not whether these identified expenditures are desirable, but if they have had any significant impact on the economy. The ultimate objective of any supposed stimulus package is to increase aggregate demand. The multiplier effect of any particular amount of government spending is however diminished if it is spent for foreign goods and services rather than locally, if it is not spent by the recipients, if it is not spent on labor-intensive projects, and so on. The situation therefore demands greater transparency on the part of the Aquino administration which is presently engaged in bringing the perpetrators of the PDAF scandal to justice. A Cabinet secretary tendering his resignation and a President rejecting the same is simply not enough to address the issue and to calm the brewing storm.
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Politics
The Voices of Change
The Devil & Strange Bedfellows at ‘Boy’ Saycon’s Birthday! And so the prejudicial question is, “Should the Leading Presidentiable for 2016 and the Upset (over MAR and Loren) Vice Presidential Winner for 2010, organize a new party that will have the same Initials as the loser Third Force Parties of the 50’s and 60’s?” The big differences are that the 1887 Constitution decreed a Multiparty Presidential System and did away with Government paid Election Inspectors.
A
t the end of last week’s Yesterday, Today and Tomorrow column, I greeted Pastor “Boy” Saycon a “Happy Birthday!” The title of my Monday, July 7, column was “Quintessential Operator! Strange Bedfellows!” Boy is the Quintessential Operator. Strange Bedfellows are the people we meet at Boy’s parties as well as in Philippine Political History. The Devil, I did not meet, but I heard about, also at the same party, from Melvin Mitra, Boy’s “Masa” operator. Its initials are “PPP”. Those stand for three words that may compose the name of Vice President Jejomar Cabauatan Binay’s new political party. Those letters are also the initials of Manuel Manahan and Raul S. Manglapus’s Third Force Political Party in the 1957 and 1965 Elections. The main point that I was trying to get across to my audience or readers in my last two columns was that even Strange Bedfellows have to get together. That is, if they want to advance, progress, succeed and win. My YTT column for Monday, June 30 (two weeks ago), was entitled “Ides of July! Confluence of Events! Strange Bedfellows!” It hinted that a period of opportunity is unfolding. Thus, in the realm of my advocacy and proposition, the devil is the “Purist”. My example of the Purist was the 1957, 1959 and 1965, PPP/GA/PPP Campaign and Election Run of the Third Force. At that time, at my tender young age, I belonged to and supported them. I’m not a “Balimbing” and Opportunist in the fashion of Mediaman turned Politician Ben Evardone. I’m not afraid of struggling and losing. However, I believe in struggling and trying over and over again. I believe in consistently doing better and eventually winning. I have won many times – 1953 (Magsaysay), 1961 (the
YESTERDAY, TODAY & TOMORROW Linggoy Alcuaz Grand Alliance coalesced with the LP in the United Opposition Party (UNO).), 1984 (The election of region wide Assemblymen for the Interim Batasan Pambansa. The Opposition won a majority of the twenty one seats in Metro Manila or the National Capital Region.), 1986 (EDSA I), 1987, 1988, 2001 (EDSA II), 2010 (PNoy) and 2013 (Erap). The Left has been trying since 1930 but have not yet won. However, they have survived WW II and eight and a half decades of constant struggle. They have survived mergers (The “Partido Komunista ng Pilipinas and the Socialist Party of the Philippines pre WW II merger.) and many splits. They have been instrumental in and participated in ousting and installing two sets of Presidents – Marcos and Aquino in 1986 through EDSA I and Estrada and GMA in 2001 through EDSA II. The problem with the PPP/ GA/PPP - 1957/1959/1965 attempts was that instead of improving their position with every attempt, the reverse happened. They lost by bigger and bigger percentages or proportions with every attempt. In the context of the 1935 Constitution’s Two Party Presidential System (from 1935 to 1972), the fi rst objective or step for the Third Party was to challenge and contest the strongest Opposition Party for its privileges, rights and status, specially the Dominant Opposition Party Inspectors in the Boards of Precinct Inspectors. Once this was accomplished, it
would be much easier to challenge the Administration or Incumbent Party. And so, it was a matter of fi rst things fi rst. And so the prejudicial question is, “Should the Leading Presidentiable for 2016 and the Upset (over MAR and Loren) Vice Presidential Winner for 2010, organize a new party that will have the same Initials as the loser Third Force Parties of the 50’s and 60’s?” The big differences are that the 1887 Constitution decreed a Multiparty Presidential System and did away with Government paid Election Inspectors. Thus, the connection may be more symbolic than real. It may be good for VP JCB to establish the connection with the old PPP’s as the Reform Experiments as well as Uncle Sam’s protégées. Jojo may have too much of an Activist, Human Rights and Leftist Image and Roots. However, of all of us First Quarter Stormers, both Moderate and Radical, Jojo is the most successful Trad Pol Convert. Why not try to show that he is a wolf with the heart of a lamb. On the other hand, it may be good also to display to the Americans that he is trying hard despite his Radical Youth to take shelter under the Eagle’s Shadow. After all, unlike the typical government official who is content to take a short course at Harvard’s Kennedy School of Government, Jojo has been back and forth to the USA taking these short courses in several schools. Perhaps the idea was to acquire as many classmates who might become future influential US government officials. However, let us go back to the Strange Bedfellows at Boy’s Birthday Party at the Pastor’s Gastro Pub (sandwiched between the GSIS and the PNB along the Diosdado Macapagal Highway). I fi rst took notice (at the Makati Sports Club) of Pastor “Boy” Saycon during FVR’s Lakas-NUCD-UMDP 1992 Presidential Campaign. How-
ever, I was with 1992 cheated Presidential Candidate Miriam Defensor Santiago and her husband, Narciso “Jun” Yap Santiago, and the Philippine Reform Party (PRP) from 1992 to 1995. I really met Boy when I joined GMA’s KAMMPI in 1997. I have been going to his Birthday Parties since 1998 except when they fall on a weekend. My son Manuel, “Mikko’s” birthday also falls on July 8 since 1975. Fortunately for Boy, when Mikko’s Birthday falls on a weekday, we celebrate it on a Saturday or Sunday and are free to attend. Boy has turned the celebration of his parties into a political art of sorts. From 1998 until 2004, his parties were held at his Ayala Alabang home. In 2003, Danding Cojuangco who was contemplating running for President again in 2004, was the star of the party. In 2005, his birthday coincided with the Hyatt Ten defection. We had a big rally in Makati that could have led to toppling GMA if FVR and Joe de V, had not stood by her. After the Ayala Ave. rally, I drove alone to Ayala Alabang to fi nd a dark and lonely home without a party. The party was at the UCC in Ft. Bonifacio. Since then, Boy has held his Birthday Party in various other places: his condo at Boni Ridge, a Chinese Restaurant in Ermita or Malate, at the top floor of the Fully Booked Bookstore at Boni High Street, a Tent at the Reclamation area near EDSA and MOA and fi nally, his very own restaurant – Pastor’s Gastro Pub. In the years after “Hello Garci”, disgruntled military and police officers populated his parties. In the years before the 2010 Presidential Elections, Manny Villar, Loren Legarda and Alan Peter Cayetano were permanent fi xtures. In 2010, a week after Noynoy assumed office, Iggy Tuason Arroyo was one among a thousand guests. In 2011 at Le Pavillon PMAP’s Ronald Lumbao put in an appearance. (To be continued)
QUOTES OF THE WEEK “I’m not a political analyst, but only time will tell. This same question was asked from us when EO [Executive Order] 1 was declared unconstitutional. So only time will tell, I guess.”
Lacierda
— Presidential spokesperson Edwin Lacierda, when asked about the political impact of the DAP ruling. “I was not aware that projects I nominated were funded by the DAP nor did I receive documents that show these came from the DAP. I nominated school supplies and feeding projects for the poor to the DBM. I checked from the DBM if they funded the projects and they funded P15 million for hospital assistance and health kits under an item called Continuing Appropriations and not the DAP.”
Colmenares — Bayan Muna Rep. Neri Colmenares, on accusations that Bayan Muna Partylist also benefited from DAP despite being its vocal critic. “You know, I always say we’re better off as allies than as rivals. But of course, I’ll defer to whatever his decision will be. He helped me a lot to win, as Senator Serge (Osmeña) and
all other senators who won. So definitely, this is something we need to talk about. Maybe he might say, ‘I’m more senior than you.’ So that would be also a consideration. Anyway I don’t really know. As he said, he has no plans. So let’s see.” — Sen. Grace Poe, when asked if she would run against fellow senator Chiz Escudero.
Poe
“Let the courts keep its neutrality so that when the prosecutors present their ‘protected witnesses’ and place them on the witness stand, the courts can freely judge—bias-free and politicsfree—whether or not to believe the testimony of that witness.” — Davao City Representative Karlo Nograles, in opposition to the proposal to transfer the Witness Protection Program (WPP) from the Department of Justice to the courts, saying doing so will threaten the impartiality of the courts. “Although we were sad, we don’t like
Villar this to happen. Remember, kapag sira ang institution, sira na kaming lahat. This has an effect on us.” — Senator Cynthia Villar, during the weekly forum at the Senate. Villar said that the involvement of Senators Juan Ponce Enrile, Jinggoy Estrada and Ramon “Bong” Revilla Jr. in the pork barrel fund scam is dragging the whole Senate down.
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“It is time that on the side of the government, President Benigno Aquino III should personally attend to this issue. Success or failure, it is his name which will be at the forefront and at stake. More seriously, success or failure of the peace-making matters much. Everybody will be affected.” — The Moro Islamic Liberation Front (MILF), who called on President Aquino to personally deal with the issue of the Bangsamoro Basic Law (BBL) amid concerns that its enactment is facing delay and a tightening timeline.
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SECTIONS NATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 OPINION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 BUSINESS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 HEALTH . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 AGRICULTURE . . . . . . . . . . . . . . . . . . . . . . . 10 FOREIGN . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
GameChanger NOREEN BAUTISTA
Young Social Enterprise Leader On A Mission
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N
oreen Marian Bautista is not just your typical social entrepreneur. This young woman in her 20’s has a long list of accomplishments under her belt, and she has no plan to stop. While she was still in college, she co-founded EcoIngenuity Inc. It is a social enterprise that aims to increase the competitiveness of Philippine indigenous materials. EcoIngenuity also aims to support communities that produce them, by hooking them up with global design brands. Through this company, Noreen has established a flagship brand, Jacinto & Lirio. It is a line of fashionable leather bags, journals and gadget accessories made from stylish and sustainable plant leather. The brand won the Business in Development Challenge Philippines in 2009 and represented the Philippines in the International BID Challenge in the Netherlands. Noreen’s work with social enterprise communities fi red up her passion to catalyze entrepreneurs, in order to address the wealth inequality in the unevenly distributed economy of the Philippines. Turn to page 14
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