Careful of joint oil explorations

President Noynoy Aquino’s aides needed to qualify that any new joint oil exploration with China would be in “disputed waters only.” This was to dissociate it from the iniquitous JMSU (Joint Marine Seismic Understanding) of the Arroyo regime.

Everything is still under study at the ministers’ level, according to Trade Undersecretary Cristino Panlilio. But Chinese state-owned Sino Petroleum Co. supposedly has signified interest in a $1-billion venture. With a private Filipino firm it will search for oil in the disputed Spratly Islands of the West Philippine Sea (South China Sea). The amount is part of the $2 billion to $7 billion that China aims to invest right off in the Philippines. The exploration will be conducted under Philippine laws. It will skirt acknowledged Philippine territory. There will be no betrayal of the Constitution, Malacañang spokesman Edwin Lacierda assured.

Differentiation from the Arroyo JMSU was to dispel qualms. The JMSU had ignored all the rules. In inking it first with China in 2004, the Philippines broke ranks from ASEAN that was confronting as one China’s expansionism. When Vietnam found out and protested the secret pact, the Philippines placated the ally by making it tripartite in 2005. The deal was supposed to cover “disputed waters of the South China Sea,” meaning the Spratlys that the three participants were claiming. But when the coordinates were plotted, it turned out that five-sixths of the area was in undisputed Palawan waters. Incorporated was the Recto (Reed) Bank where the Philippines has confirmed oil and gas reserves, adjacent to Malampaya, Matinloc and Linapacan fields.

In exchange for the JMSU, China lavished the Arroyo admin with $2 billion a year in padded loans. These were plunked into projects from which cronies extracted 20-percent kickbacks. Among the projects were the Northrail, Southrail, NBN-ZTE, Diwalwal-ZTE, and the near lease to China of a million hectares of farmland.

The JMSU violated the Constitution, which bars aliens from exploring Philippine natural resources, except in financial-technical aid. Malacañang released $5 million for the three-year survey, with no appropriation from the House of Representatives. The pact was never submitted to the Senate for ratification. In the outcry upon its exposure in 2008, the deal was let to lapse; with Malacañang’s non-renewal, China exercised option to keep the study to itself.

In 2009 China unilaterally declared a Nine-Dash Line territorial claim over all of the South China Sea. Included in its map consisting of nine dashes was the Recto Bank. Through the JMSU, the Philippines virtually had conceded undisputed territory as “disputed waters.” In April-June 2011 China intruded into the area seven times, accusing Philippine research, military and fishing vessels of trespassing.

Due to the sad national experience, present leaders must scrutinize the joint exploration proposal of Sino Petroleum Co. It must have no onerous terms and no strings attached, unlike the JMSU. The Spratlys consist of 45 islands and 705 reefs, atolls and cays, mostly occupied or patrolled by China; the Philippines holds only eight islets and two reefs. Why would China want to search for oil and gas near the Philippine claim, when it can do the same in its area?

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Reader Mrlvin Miranda of Makati backs law professor Dennis Funa. The Philippines is bound by international law to render justice for the Hong Kong tourists hostaged at the Luneta (Gotcha, 29 Aug. 2011). He writes: “In the same vein, we Filipinos vigorously must seek justice for our overseas workers who are dehumanized, raped or murdered by foreign employers. Citing the same legal grounds of Attorney Funa, if the Philippines has the duty to protect foreign nationals sojourning in our territory, we can exact justice from the governments of those foreign employers.

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Having immigrated to New Zealand, reader Edwin Uy began studying its laws. Among the enactments he stumbled upon dated as far back as 1910: the Secret Commissions Act. Edwin suggests that the Philippines adopt it, to promote honesty and transparency in the private and public sectors. (See www.legislation.govt.nz/act/public/1910/0040/latest/DLM177643.html)

Basically the law deals with two parties: the agent and the principal. The agent is a person who has been or desires to be employed by another, as servant, broker, auctioneer, solicitor, director, or any other capacity, alone or jointly with others. The principal is the employer or hirer. “Consideration” means valuable of any kind, including commission, discount, rebate, bonus, deduction, percentage, employment, loan, gift, or dole.

Any consideration given to an agent without the consent of the principal is considered an offense. Likewise, the acceptance by the agent of such undisclosed consideration. As well, the use of false receipt or invoice; giving secret rewards for procuring contracts; and aiding and abetting any of the prohibited acts. The agent is duty-bound to disclose any pecuniary interest in a contract.

A person convicted under the law is imprisoned up to two years, and fined up to $1,000; if a corporation, up to $2,000. And this was written in 1910!

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In observance of its 43rd anniversary, the Sigma Kappa Pi will hold a national congress on Saturday, Sept. 3, at the Angeles City Library. Right after is the anniversary festivity at the Casino Filipino Entertainment Hall in Balibago District. Contact Bing Villarta, 43rd anniversary chairman, 0905-2801782.

A pre-anniversary golf tourney tees off at 11 a.m. today, Aug. 31, at the Mimosa Country Club, Clark Freeport. Hosted by Vic Lugue, 0917-8129663; Lito Nucum, 0928-1459432; Willy Yao, 0917-5017892.

Tomorrow, Sept. 1, is the turnover of funds for additional Gawad Kalinga indigent homes in Recomville, Caloocan. Following is a party hosted by the EKIT-UP parent chapter at Vinzons Hall, Diliman, Quezon City. Contact Mark Arcaya , 0922-9953166 or 0947-4402525.

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Catch Sapol radio show, Saturdays, 8-10 a.m., DWIZ, (882-AM).

E-mail: [email protected].