Luy takes witness stand, affirms accusations vs Bong

MANILA, Philippines - Principal pork barrel fund scam whistle-blower Benhur Luy took the stand yesterday to testify against Sen. Ramon Revilla Jr. and others accused in the scam.

Luy affirmed and reiterated before the Sandiganbayan his statement given to the Senate investigation on how the Priority Development Assistance Fund (PDAF) allocations of lawmakers were misused through bogus non-government organizations.

Luy, answering questions on direct examination by Joefferson Toribio of the prosecution, repeatedly addressed his second cousin, Janet Lim-Napoles, one of the principal accused, as “Madam.”

Luy revealed before the Senate how Napoles skimmed off the PDAF of lawmakers through bogus NGOs and gave them kickbacks or commissions.

Revilla and his chief of staff Richard Cambe are accused of plunder and graft in misusing the PDAF allocations through Napoles.

Luy narrated how Napoles formed fake NGOs using his name and other employees including household helpers, drivers and security escorts as officials and incorporators.

Confronted with documents from the Securities and Exchange Commission, Luy admitted the NGOs like the Social Development Program for Farmers Foundation Inc. (SDPFFI), which he was made president of, were registered but signatures had been forged following the instructions of Napoles.

He said he knew all these because he was an employee of Napoles’ JLN Corp. as personal assistant from 2002 and finance officer from 2003 or 2004 up to 2012.

Luy said he was tasked to prepare rebates of commissions in cash for government officials and lawmakers in exchange for their PDAF funds.

Twice asked by Toribio to name who Napoles dealt with or gave kickbacks or commissions to, Luy mentioned Senators Juan Ponce Enrile, Jinggoy Estrada, Revilla and a few former congressmen. He also said “there are many more.”

Luy directly accused Cambe of receiving cash stashed in trolley bags from Napoles intended as Revilla’s alleged kickbacks.

Luy also pointed to Revilla’s involvement as evidenced by his endorsement letters designating several NGOs of Napoles as recipients of his PDAF and authorizing Cambe as his official representative.

Revilla, who attended the afternoon bail hearing, was seen shaking his head while his son Jojo sat beside him.

During the break, Revilla said he was shaking his head because he could not nod in agreement to what he referred to as a “bad script.”

Luy also testified on how he drafted project listings that Cambe finalized as Revilla’s chief political officer.

After Cambe finalized the project list and gave Napoles a duly stamped letter of Revilla to the Department of Budget and Management (DBM), the first payment of the kickback or commission representing 25 percent of the total PDAF allocation was given to Cambe in cash.

“The money is taken from a vault that is in a counter in front of Cambe, who signs triplicate vouchers as proof that he has received Revilla’s rebates,” Luy said.

 Luy added Cambe faxes a copy of an advanced Special Release Allotment Order (SARO) from DBM to the JLN Corp. office in Pasig City, followed by signed letters and a signed memorandum of agreement between him, the NGO and the implementing government agency.

Luy said this signaled the payment of another 25 percent to complete the 50/50 cut that formed part of what ombudsman prosecutors described as a racket.

No conspiracy

Defense lawyers led by Joel Bodegon, Remigio Ancheta and Stephen David, repeatedly raised objections on the validity of Luy’s testimony as an admission by a co-conspirator.

They pointed out the testimony is being made before conspiracy is even established. The defense lawyers also pointed out the slow pace of the proceedings.

Their objections, however, were overruled by the anti-graft court.

Two hours after the bail hearings started at around 8:35 a.m., magistrates themselves started complaining on how the presentation of Luy for proceedings supposedly summary in nature was taking too long.

Toribio, however, explained the identification of documents and the supposed signatures forged on orders of Napoles are vital to the prosecution because the testimony of the witness is being backed by documentary evidence.

Associate Justices Efren de la Cruz, Rodolfo Ponferrada and Rafael Lagos eventually took turns asking the prosecution panel to speed things up by possibly stipulating on some facts, but even when Revilla and Cambe’s lawyers agreed on something to stipulate on, Napoles’ lawyer David wouldn’t.

Toribio said the prosecution is trying to prove the scheme used by Napoles to siphon off the PDAF of lawmakers.

“We should be given a chance to present the witness how we want to. It is not in our interest to delay this case. We are not delaying this case,” he said.

De la Cruz, chairman of the First Division, admitted the Sandiganbayan couldn’t do anything about the problem because of the difference in opinions of defense counsels.

He added, however, that the anti-graft court would try to find a way to speed up the bail hearings.

No opening of bank accounts

Before yesterday’s hearing began, Luy questioned the issuance of subpoenas to five different bank officials who were asked to bring his bank records.

Through lawyer Anel Martin Antero, Luy told the Sandiganbayan that they would move to quash the subpoenas issued against Banco de Oro, Bank of the Philippines Islands, Metrobank, United Coconut Planters Bank and the Landbank of the Philippines on the request of the lawyer of Napoles.

Bank officials also ended up asking for time to comment in writing on the issue as to why they were being asked to come to court carrying Luy’s bank records and transactions and what documents specifically are they being ordered to produce.

Napoles’ camp, which has been pointing to Luy as the one who allegedly pocketed funds through the pork barrel fund scam, said they asked for Luy’s bank records “in the interest of the truth.”