Curse of the pyramid

It’s neither the looming war nor rising crime that is terribly upsetting our men in uniform.

Morale within the elite units of the Philippine National Police (PNP) and the Armed Forces of the Philippines (AFP) has hit a new low, brought about by shady and get-rich-quick deals with the bankrupt MTS Trading and other investment rackets commonly known as pyramiding schemes.

As this developed, several senior military and police officials met yesterday in an emergency meeting in a bid to help resolve the morale issues involving their men.

Officials said they have observed unusual behavior among men victimized by the pyramiding scams.

"The situation is explosive. My men who have fallen victims to the scam have been acting strangely lately. Some are reluctant or even defiant to follow deployment orders," one of the military officers told his colleagues during the meeting. The officer, a unit commander, is being blamed by his men for their financial woes.

"At present, the morale of troops is very low because most of our men are pre-occupied with recovering their lost investment," said one senior police official.

PNP units affected include the Special Action Force, PNP-Aviation Security Group, Criminal Investigation and Detection Group , National Capital Regional Police Office and the Police Anti-Crime Emergency Response. Also feeling the effects of the scam are elite troops of the Philippine Army-Special Forces and the Army Scout Rangers.

"This problem, if not resolved, will affect the operational aspects of our command’s functions and responsibilities," claimed one Army official.

Another claimed that he started noticing unusual behavior among his men following the "secret" abduction of pyramid queen Ma. Teresa Santos of MTS Trading by agents of the CIDG.

"This triggered some animosity among the victims, who later found out that those who took Santos under custody were able to recover their investments," said the official.

"Nagkaroon ng iwanan, kaya sila-sila na ngayon ang nag-aaway. Most of the victims have no more take-home pay to speak of because they are still paying for the loans they made. Tinatamad na lahat magtrabaho," the head of an elite PNP unit said.

Fearing for their lives

Two of the latest pyramid scam suspects arrested by the PNP said yesterday they fear for their lives as more victims continue to surface and file charges against them.

During interrogation, suspect Ervin Mateo and his secretary Ethel Mateo Bartolome said they are afraid because so many investors, including police and military men have been going after them since the Mateo Management Group failed to remit the interests.

Mateo, an engineer, appealed for sobriety among his clients.

The Mateo Management Group is one of the biggest groups engaged in get-rich-quick deals, with investments totaling from P20 to 25 billion, police said.

CIDG director Chief Superintendent Eduardo Matillano presented Mateo and Bartolome to the media yesterday.

During the press conference, Mateo took the opportunity to assure some 18,000 clients that he intends to return their money.

"We are doing our best to be able to return your money. I will give it all back," he said in Filipino.

He admitted that he diverted majority of the investments to businesses, including shipping and trucking firms, a computer center, a subdivision, an assembly plant for crew cabs, convenience stores, a learning academy, a security agency, a memorial garden, a furniture store and distribution of detergents.