The Armed Forces of the Philippines (AFP), on the other hand, warned any cuts from the annual budget allocations of the military would jeopardize operations against internal and external security threats.
AFP information office chief Lt. Col. Buenaventura Pascual said the threatened budget slash at the Intelligence Service of the Armed Forces of the Philippines (ISAFP) could compromise security operations.
As for the police, neither PNP chief Director General Arturo Lomibao nor PNP spokesman Chief Superintendent Leopoldo Bataoil could be reached for comment on threats by Sen. Juan Ponce Enrile to reduce the PNP budget allocation for 2006.
Enrile accused the PNP and the ISAFP of resorting to illegal methods in conducting its operations.
Other PNP officials, however, claimed the Senate should not resort to budget cuts as punishment for the perceived irregularity of the raid.
"The San Mateo raid should not be used as basis in determining the budget for next year," a ranking police official said.
"We already have a very limited budget at present in which about 85 to 90 percent goes to salary and other expenditures," the police officer added.
Enrile, along with other senators, warned of the possibility of a budget cut after noting inconsistencies in the statements of the lawmen who conducted the raid at the rented house of Tabayoyong in San Mateo, Rizal last month.
Enrile warned of the possibility of a budget cut during the first hearing of the Senate inquiry into the San Mateo operation following claims that the raid and seizure were conducted without a search warrant.
Boxes of election returns were seized by lawmen during the raid, sparking allegations that it was conducted to harass the political opposition.
Tabayoyong was not at home when the lawmen swooped down on his residence.
Among the inconsistencies, the senators noted, was on the question of which agency initiated the operation.
The PNP said it was a legitimate police operation since it was made in response to the call of Tabayoyongs landlady who sought police assistance after seeing the boxes of election returns inside her house.
The ISAFP, on the other hand, claimed to have placed the house under surveillance on reports that Abu Sayyaf bandits had holed up there.
The Senate inquiry was conducted on the allegations made by Senate Minority Leader Aquilino Pimentel Jr. that the raid was meant to cover up massive cheating committed in the May 10, 2004 elections.
Pascual stressed the need for a larger allocation of funds for military intelligence operations.
"Of course, you will need money to gather information. There is the need to finance the payroll of the agents and the informants aside from renting the safehouses," Pascual said in Filipino.
Instead of cutting the budget, Pascual suggested it would be better for the Senate to increase its financial support for the AFP for counter-insurgency operations.
Aside from the ISAFP, other military intelligence units have been at the forefront in efforts to track down Abu Sayyaf and Indonesian-based Jemaah Islamiyah militants said to be behind the spate of bombing attacks in Mindanao.
"Our anti-terrorism operations and anti-insurgency campaign will be jeopardized if the Senate, instead of raising our budget, will be reducing it," Pascual stressed.
Pascual said the AFP welcomes the Senate probe over the ISAFPs role in the San Mateo raid.
He said the Senate investigation would serve as a "check and balance" on the conduct of military operations.
"The military is under the watchful eye of senators. If there is abuse, this will be checked and addressed. At the same time, we are told to do our job right," Pascual said.
But Pascual conceded the ISAFP agents who participated in the raid had no choice but to testify before the ongoing Senate inquiry even if it meant blowing their cover.
"There is a problem here. Intelligence officers are trained and developed then they are exposed on nationwide television," he said.
ISAFP chief Brig. Gen. Marlu Quevedo told the Senate panel that the San Mateo raid was part of a supposed anti-terror operation.
ISAFP legal counsel Maj. Serme Ayuyao, however, conceded the raid turned out to be a simple police operation because it was in response to a distress call from Carmela Cabuhat, the owner of the house.
The opposition claimed the seized election returns form part of the evidence of former senator Loren Legarda in her election protest against Vice President Noli de Castro before the Presidential Electoral Tribunal (PET).
The poll documents were later returned to Tabayoyong and Legarda last month.