jun lozada: why neri did not tell all

got this via fwd email from a friend. released by enteng romano of the black & white movement, who says it was written by jun lozada sometime in october.

What is Neri afraid to say and Why?

Many speculations have been made as to what Neri knows about the ZTE-NBN most particularly the direct involvement of Pres. Gloria Arroyo in this abominable affair. After his damaging “Sec. May 200 ka dito” demolition of Abalos, the discredited former Comelec Chairman, many were left disappointed when Neri suddenly clamped up when the Senators started asking him about the nature of his conversation with Arroyo, no amount of coaxing, cajoling and threats was enough to break his Code of Omerta. The question on many people’s mind was, What was Neri trying to protect when he repeatedly invoked “Executive Priviledge” during that gruelling 12 hour Senate Blue Ribbon Committee hearing on live television?

We have known the Truth all along as one of the few people that Neri confided his predicament during those fateful days of April 2006, and how he wanted to resign his post of NEDA Director General and Secretary for Socio-Economic Planning over this incident where he lost all his moral respect for Pres. Gloria Arroyo.

We are doing this document to give the public an understanding of this predicament.

What is Neri afraid to tell the public? He is afraid to tell the public that after he reported the Abalos P200 million peso bribe offer, Arroyo casually told him to ignore it and work for its recommendation for approval anyway. That when he protested that it is too controversial and may attract the wrong kind of attention from media, Arroyo retorted back “Pakulo lang ni Joey yan and his father”. When he tried to reason that it may not be accommodated in the Chinese ODA package because it has been filled up with a list of projects already, Arroyo again ordered him to remove the low cost housing project and some water project to accommodate the ZTE-NBN deal in the ODA loan. That when he attempted to reason that it may not be approved in time for the Boao Forum which was only two days to go from that fateful April day, Arroyo with raised voice told him to include the ZTE-NBN project in the agenda of the following day’s meeting of a combined NEDA Board and Cabinet Committee, who as expected promptly approved the project paving the way for the contract signing between ZTE and DOTC in China the next day. Neri is afraid to tell the public that this conversation took place between him and Arroyo because it might spark another impeachment complaint against Arroyo.

Why is Neri afraid to tell the public about this conversation with Arroyo? He is afraid that another impeachment will simply result to more expenses of public funds similar to the Hyatt 10 impeachment crisis, because as DBM Secretary who replaced Boncodin, he was entrusted with the large scale DBM payola operation of Arroyo to Congressmen, Senators and Governors not quite similar to the crude Panlilio incident that the public is witnessing now. He is afraid with a more partisan Andaya at the helm of DBM, more public funds will be spent to buy the silence and favour of these greedy legislators and local executives.

He is afraid that with Arroyo’s firm control of public funds she can buy all the necessary support from most sectors of society to keep her in power.

He is afraid that even if the opposition knows about this conversation with Arroyo, he is afraid that the opposition will not pursue a serious impeachment proceedings against Arroyo, because it is not to their political interest that Noli de Castro becomes President in case Arroyo is impeached and becomes a more formidable political opponent in 2010. This insincere and unpatriotic goal of the opposition is already being manifested by the malicious speed that the Erap pardon is being cooked by Ronnie Puno together with the Erap camp to hastily put a united front of “Birds of the same corrupt feather” coalition against the emerging JDV led political opposition.

He is afraid that even if the Church knows the truth about Arroyo’s direct involvement in the ZTE-NBN deal, the Church will still not call for her resignation due to the closeness of Arroyo’s trusted lady liason to the Cardinal of Manila who was very effective during the “Hello Garci” crisis. That Arroyo’s Religious Affairs Operators have the Bishops firmly in their “donation” graces, as again manifested by the quick rebuttal of the Mindanao Bishops’ of the call of their fellow bishops in Luzon who where calling for the resignation of Arroyo just after Arroyo gave them a visit in Mindanao.

He is afraid that even if the military knows the truth about Arroyo’s direct involvement in the fraudulent ZTE-NBN deal, the AFP brass is much to indebted to Arroyo for their position and the perks that goes with their position, that they have demonstrated this twisted loyalty with their willingness to detain, remove from the service and even shoot their own men for voicing out their legitimate concerns regarding the corruption and moral authority of their Commander in Chief. It is a sad spectacle to see the respected warriors of the Marines & Special Forces rot in jail with their ideals, while their men are dying even without receiving the measly P150 per day combat pay that was promised to them by Arroyo due to lack of funds & generals gets a gift bag similar to those given to the governors and congressmen just for having dinner with Arroyo the day after that infamous breakfast & lunch meeting where bribe money flowed scandalously free.

He is afraid that even if the Media knows the truth about Arroyo’s direct involvement in the ZTE-NBN scam, Media will simply wither in the torrents of cash and favors similar to how the Hyatt 10, Hello Garci crisis were killed in the media headlines and Radio& TV coverages. Although he believes in the integrity of a handful of Journalist, he believes that a handful of these mavericks cannot withstand the hordes of paid lackeys of Malacanang. Especially that the Arroyo crisis team is now being handled by the best mercenary money can buy, from Ramos Sulo Operation, Erap’s DILG and now Arroyo’s troubleshooter, Ronnie Puno. Ably supported by the Media and PR money from PAGCOR being handled by Cerge Remonte to buy positive airtime, headlines and editorials.

He is afraid that even if the Business Sector knows about the truth of Arroyo’s direct involvement to defraud the coffers of the taxes they are paying, the businessmen will be reluctant to rock the boat of the current economic uptrend, especially with the very close personal and business relationship of the so called leaders of the big business like Ricky Razon of ICTSI, Donald Dee of PCCI and Francis Chua of the Filipino-Chinese Federation to Arroyo herself. He is afraid that the hard earned remittances of Filipino OFWs that is keeping the economy booming and that can keep the economy afloat even under any administration is being wasted under this unholy alliance of Arroyo and her favoured businessmen.

He is afraid that even if the Civil Society knows the truth about Arroyo’s direct involvement in the ZTE-NBN deal, that the Civil Society is now tired of mass actions after witnessing two failed EDSA revolutions, that Civil Society is now afflicted with a “Rally Fatigue” and cannot muster enough public outrage to denounce Arroyo’s “corruption with impunity”. He is afraid that the middle class is now indifferent to the corruption that goes around them, not realising that the middle class are the ones mainly carrying the burden of the loan payments for these corrupt deals. He is afraid that the middle class are more interested to become an OFW & to leave this country leaving their family and children behind, and may not care anymore about the crimes being committed against their country by its own President.

He is afraid that even if the Masa, the students, the workers knows the truth about Arroyo’s direct involvement in the ZTE-NBN deal to steal precious resources from public funds, that they are now too poor and impoverished to be able to afford the time to join mass actions against the abuses of the Arroyo administration, that these former vanguards of mass actions in the country are now completely dependent on financial resources of professional organizers and have turned themselves into a “Rally for hire” groups rather than a true and genuine political gathering shouting for reforms.

He is afraid that the public may not know the extent of corruption in this country and may wrongly believe that they can cure corruption by simply replacing Arroyo with another person. He is afraid that the public may overlook the systemic and institutionalized nature of the source of corruption in this country, he is afraid that the people will again opt for a regime change without concern or a plan to correct the root causes of corruption in the country. He is afraid that people may not realize that it is not bringing Arroyo down that is difficult, it is establishing a new order that is the difficult task.

This is the predicament of Neri which I want people to realize especially to those who are asking Neri to tell the truth.

iskul bukol

leah navarro and manolo quezon of the black and white movement ask the same question: if, as general avelino razon alleges, the armed force that fetched jun lozada from the airport were only out to protect him in response to his request for protection, why then did these armed men disappear the moment jun lozada’s thursday presscon was over? meaning, i suppose, that it wasn’t as if lozada no longer needed protection.

the confusion i suspect stems from the fact that before lozada left for hongkong, he HAD been asking palace functionaries for protection. he wanted the palace to wield its magic wand and make the senate’s warrant of arrest go away. at that point, he did not want to testify because testifying meant he would be under oath, he would have to tell the truth, expose the bukol, talk of moderating greed.

but the palace functionaries could find no legal remedy for lozada’s plight. gma can’t claim executive privilege as with neri because she and lozada never talked. FG is not covered by executive privilege. which meant there was no way of avoiding the senate inquiry. well, except by leaving the country. it worked for jocjoc bolante and the fertilizer scam, it might work for jun lozada and the nbn-zte mess.

fortunately for us all, lozada did not want to fly too far away, and in a few days he wanted to come home (what a rare bird), and the palace didn’t try to stop him. what did mike defensor say? : umuwi ka na nga, at pag-usapan natin kung anong sasabihin mo. or something to that effect. the catch was, lozada was not the same person who left who absolutely did not want to testify. the lozada who came home, i daresay, was leaning more and more towards doing the right thing, the honourable thing, no more lying, no more hiding, death threats or no death threats.

perhaps the palace did not know this; they assumed that lozada would still want protection. except that parang no one was in charge, there was no strategy beyond the pick-up at the airport. worse, lozada only wanted to go home, be with his wife and family. so he was willing to sign any document, yes he asked for protection, no he won’t implicate the first gentleman, anything, to get home, or to la salle greenhills, as safe a place as any, where priests and nuns waited with his family.

lozada says it was only after he had been reunited with his wife and kids, and the nuns and priests had prayed over him, and he had talked it over with his family, that he decided to take the plunge, do the right thing, the honourable thing. only then did he agree to face the press. why his “protectors” stayed around, well, i suppose the palace wanted to know what was going on, the more quickly to come up with a spin or two. but when the presscon was over, there was no reason to stay. lozada no longer wanted protection from the senate, he was on the way to senate.

jun lozada corroborates joey de v. story & the madriaga file

missed the brave wee-hours-of-the-morning presscon of rodolfo “jun” lozada on the nbn-zte deal but caught snippets of anc’s replay later and wow! what a testimony to GREED that corroborates joey de venecia’s story (good for him) and also the madriaga file, posted by ellen tordesillas early this week:

The Madriaga file on broadband deal

THE following document landed in my mailbox. It’s supposed to have been written by a certain Dante Madriaga. (A check with UP alumni activities show a Dante Madriaga as earning a BSE from UP in 1966.). For what’s it worth, here it is.

***

I am an electronic/electrical engineer by profession. I attended the University of the Philippines and Texas A&M University. I have been in the communications industry for over 30 years.

I was a part owner of a company in the LISP in Cabuyao, Laguna that exported microwave radio transmitters. I was involved in the original design of the ARESCOM proposal using a concept similar to what Joey de Venecia thought about. I have been involved in the preparation and design of the NBN ZTE proposal since the beginning.

I have been a technical consultant for the project involved not only in the design but as a liaison to NEDA, DOTC/TELOF/CICT. I was involved in all discussions regarding the project including the names of other people involved, margins and actual pricing details.

ZTE International signed an MOU with the government on March 14 on a National Broadband Network project.

The following is my account of the project from the start to the time when the negotiations were turned over to the finance group. With the exception of the China trips I was present in all the meetings. There may be some omissions and oversights, some of it done on purpose.

May 2006: The project was brought to ZTE on May 5 by a person named Stephen Lai, who was originally with Arescom and is a personal friend oft the Arescom president Cris Ching. ZTE approached Chairman Abalos whom they knew to help on the political side.

Chairman Abalos enlisted the help of Ruben Reyes a golfing buddy to come up with a team to expedite matters. Ruben Reyes contacted General Quirino de la Torre and Leo San Miguel. I was approached by Leo San Miguel whom I had known before to work on the project. I provided Leo inputs on the Arescom proposal which ZTE used as a basis to start their design.

June 2006: Ruben Reyes, Leo San Miguel, General De la Torre, Stephen Lai, Yu Yong, Fan Yang met on June 16 at the Makati Shangri-La in a private environment to discuss the NBN project. They were later joined by Chairman Abalos who left first. We start the design work but are hindered by cost constrains. There is no possible way to achieve the $130M Arescom budget with the commissions that were needed. They decide to increase it to $190M and later added some more components to make it $262M.

Same group meets on June 18 with the addition of Secretary Mike Defensor and Abalos chief of staff Paz and without Stephen Lai meet in Wack-Wack to discuss details on the commissions.

July 2006: We make initial presentations to CICT and Telof at the CICT office. Chairman Sales was present together with then Telof Asec Frank Perez, the son of Sec Nani Perez, Commissioner Lorenzo Formoso, ZTE personnel and the DOTC/CICT technical staff.

Chairman Sales initial comment was that the NBN project was best left up to private but promised to review the proposal and make recommendations.

We made similar presentations to the NEDA infrastructure group, present was the ZTE group including Fan Yang and the accounting personnel of ZTE.

NEDA writes a letter to us citing objections to the initial design.

PGMA signs an MOU on July 12 designating Sec Favila to negotiate with ZTE on the government’s behalf. Group meets on July 25 in Wack-Wack to solve the problems.

August 2006: Then DOTC Asec Perez makes a presentation and objects to the cost and the design. I work with the NEDA group to smooth out their objections.

Asec Perez who openly discredits the project is promptly replaced by Commissioner Formoso who vowed to help with the implementation. Asec Formoso is a better choice than Asec Perez because he is an engineer and a lawyer and can defend the project well.

Chairman Sales reviews the project but is still not convinced; through back door channels he changes his tune at a later date.

Group on August 11 goes to China and demands an advance payment upon orders from the boss ostensibly to facilitate the approval and for PR. Chairman Abalos leaves first over the weekend. They get it after mentioning the name of the FG. Ruben Reyes is designated as the recipient.

Group comes back from China on August 15 and meets again with Chairman Abalos to tell of their success. US$1M was doled out, Ruben Reyes was designated as the recipient.

September 2006: Group meets regularly at Wack-Wack every weekend at night to discuss ways to facilitate the approval of the project.

NEDA status is ok but all of a sudden meets a sudden resistance from Director General Neri. Group meets at Wack-Wack on September 22 to address the problem.

We meet Sec Mendoza at his officeand make representations. Secretary does not hear the full presentation but endorses us to the then head of legal Atty. Noel Cruz.

DOTC legal returns the endorsement of the NBN project to the CICT.

Design is changed again trying to fit the commitments. ZTE and group argue on the profit margins, they finally decide on September 28 that the increasing the project amount to $270M will give them a margin of $70M each.

October 2006: The name Joey de Venecia suddenly comes into play and makes the group worried. He wants the same project but on a BOT scheme and is adamant about it, he had the idea long before Arescom and ZTE conceptualized it; in fact the whole idea the Arescom proposalcame from Joey.

Leo San Miguel is tasked to fix the problem since he personally knows Joey. The negotiations do not progress because of Joey’s distrust for the group. Group meets at Wack-Wack on October 11 and decides to ask the FG for help on how to handle Joey.

Ruben Reyes, Chairman Abalos and General De La Torre fly to China on October 14 and discuss the problem with the ZTE officials about Joey. ZTE is alarmed but is reassured that everything will be taken care of with the intervention of the FG.

November 2006: Group is notified on November 12 that the President does not want to borrow and instead wants a BOT scheme similar to the AHI proposal.

Group decides to compete with Joey and brings an alternate solution by bringing out a competing BOT offer.

Joey is unfazed since he holds all the cards at NEDA with his father’s help and stonewalls the group’s effort. Group meets almost daily to discuss ways to resolve the issues. ZTE is furious at group for not controlling the situation.

Group decides that the only way that Secretary Neri would not object is to offer him acommission of US$4M at that time the exchange rate of 50-1. Chairman Abalos is designated to fix the problem.

December 2006: Group submits a proposal to Chairman Sales changing strategy and hoping to revive the NBN proposal to a BOT similar to Joey’s proposal.

In a meeting in Wack-Wack in December 5, FG and Abalos try to convince Joey to just partner with them and quit his objection. In the meeting at Wack Wack FG threatens Joey by telling him to back off and stay out of the project.

ZTE tries to help out in the conflict and even designs the AHI network thereby exposing their pricing to Joey’s group.

Group goes to China on December 27 with Joey to fix the problem, they meet with ZTE officials at ZTE HQ but the negotiation fails. It was during these negotiations that Joey brought up the idea of ZTE partnering with Hwawei, another Chinese supplier. The suggestion is promptly dismissed by ZTE and negotiations break down. Group demands an advance and promptly got it from ZTE before the arrival of Joey De Venecia. Ruben Reyes is again designated as the recipient. US$5M was doled out.

January 2007: Group abandons the BOT proposal and decides to meet Joey De Venecia’s AHI group head-on with their own BOT proposal. Asec Formoso organizes a defense by creating a Technical Working Group (TWG) to evaluate the proposals of ZTE, AHI and Arescom.

It comes as no surprise that the TWG comes up with a report tilted in favor of ZTE because all of the members are either TELOF or DOTC personnel, they do not want the offer of AHI since it will be implemented by the private AHI group.

Group plots strategy and enlists Secretary Mendoza since Chairman Sales is a technocrat and Secretary Mendoza is a long-time ally. Group decides to move Telof back to DOTC citing the reason that CICT is a commission and cannot implement a project of this magnitude. In the end Secretary Sales signs the endorsement of the project anyway.

February 2007: TWG finishes the evaluation and hands it to the Technical Working Committee (TWC) who promptly endorses it to Secretary Mendoza.

ZTE is endorsed to NEDA by both Mendoza and Sales.

Joey is not impressed and files a complaint about the ZTE proposal to whoever would listen citing the disadvantages to the government. The project at NEDA is delayed and the much needed NEDA approval is stalled. Secretary Neri does not seem to be favoring the NBN and appears to be part of the problem because he likes the AHI proposal rather than the NBN which requires a government guarantee.

March 2007: On March 8, approval of GMA is secured in order to meet the deadline for final NEDA approval by the executive.

Group meets on March 12 in Wack Wack with Yu Yong and Fan Yang. They finally expand the proposed coverage to increase the amount to $329M.

Joey is furious when the NBN proposal is approved and threatens to expose all the dealings that stopped his much superior proposal. Group does not appear to be worried and thinks it is just sour graping. Upon approval by the NEDA, group meets on March 28 in Wack Wack with ZTE and demands another cash advance which they got. Ruben Reyes is the designated recipient again. US$10M is again doled out.

April 2006: Group meets again in Makati Shangri-La on April 4 with Yu Yong and Fan Yang of ZTE to discuss ways of getting upfront money to finance partly the elections and some personal needs. Ruben Reyes is again designated as the recipient. US$ 30M is again doled out.

Yu Yong agrees but on the condition that PGMA be present at the signing. PGMA promptly goes to China to witness the signing.

FG cannot participate since he is hospitalized and Abalos is busy with the elections. Ruben Reyes takes over all of the negotiations and transfer of funds.

Upon arrival from China on April 27, Secretary Mendoza and Secretary Favila visit the FG and inform him of the good news.

May 2007: Loan negotiation starts.”

bukingan na!

ronnie zamora expressed my sentiments exactly: a pox on both their houses! while it was a rare spectacle having the speaker rant and rave on nationwide tv against the arroyos – mother, father, and sons, and oh yes, jose pidal kuno – who had clearly engineered his ouster, it was just as dismaying, though not surprising, to hear him practically admit that he had been covering up for gma all through,and since, the garci-tapes scandal of 2004.

the question now is, will jdv continue with the exposes a la son joey? that would be great, for a change, except he would be digging his own grave. and what about manay gina who promises, too, to tell more in the coming days? sey niya, araw-araw silang magkasama ni gma noong 2004. hell hath no fury like a woman (whose husband has been) scorned?  you go, girl!