Opposition exposes media ‘war chest’ of pro-Palace group

Officials of the pro-administration non-government organization CODE-NGO have launched a multimillion-peso media campaign to draw away public attention from its involvement in the sale of controversial bonds that would have deprived the government of some P35 billion, the Partido ng Masa Pilipino (PMP) said yesterday.

Lawyer Jesus Crispin Remulla, PMP spokesman, said CODE-NGO officials, with Malacañang’s "blessings," have met top public relations men to try to mess up the Senate inquiry into the P10-billion PEACE bond scam.

"Obviously, funding is not a concern in this black propaganda against the opposition since CODE-NGO already has oodles of money arising from their immoral and criminal acquisition of P1.38 billion of taxpayers’ money, he said.

"This is the worst form of crony capitalism where the proponents’ only capital are their saliva, political connections and participation in the power grab against President Joseph Estrada last year," Remulla said.

Quoting media sources, Remulla said the evident strategy behind the media blitz is to rake up past issues or fabricate new ones against lawmakers actively involved in the investigation to muddle up and bury the real issue.

"A separate plan is being initiated for members of Congress, especially against the group of House Minority Leader Carlos Padilla, who had also shown interest in investigating the case where the public would be made to shoulder the payment of P35 billion after 10 years on a P10-billion bond flotation by CODE-NGO," he said.

Remulla said the treasury bureau’s sale of PEACE bonds have rewarded CODE-NGO and its partners in government with more than P1.4 billion in commissions.

"The admission by the officers and financial advisers of CODE-NGO before our legislators that they had made such a windfall from their PEACE bonds deal with the governmen without actually paying for them shows that leaders of these so-called ‘civil society’ groups have become the new cronies of the present administration," he said.

Remulla said all known "civil society" allies of President Arroyo in last year’s plot to oust Estrada managed to earn a "windfall" without putting a single centavo through a bond float by Rizal Commercial Banking Corp.

"CODE-NGO had served as the secretariat of KOMPIL II, the congress of elitists, anti-Estrada groups that launched the oust-Erap movement two years ago that culminated in what Asia magazine called ‘people power of the rich’ last year under the EDSA II banner," he said.

Remulla said CODE-NGO was able to wrangle concessions from the government, including tax exemptions because its chairwoman, Socorro Camacho-Reyes, is the sister of Finance Secretary Isidro Camacho, while its national coordinator, Dan Songco, is a close ally of Mrs. Arroyo and a board member of the Development Bank of the Philippines.

"CODE-NGO"s purchase of the P10 billion PEACE bonds from the Bureau of Treasury which the government will redeem or repay after 10 years at P35 billion, has all the trademark of a crony deal, considering the personalities behind the transaction," he said.

"That the whole thing smacks of a crony deal was also proven by the admission of Reyes, Songco and their financial advisers Bobby Guevarra and Red Mayo, before the Senate finance commitee, that the whole idea is for CODE-NGO to raise funds for its projects without having to spend anything."

By not acting on the case of CODE-NGO, Mrs. Arroyo confirms public perception that her administration is singling out ousted President Joseph Estrada, who is now under detention for alleged pluder.