April 2007: The Philippine government and ZTE Corp. of China entered into a US$ 329.5 million contract for a national broadband network (NBN) that will improve government communications capabilities. August 29, 2007: A congressman disclosed in a privilege speech that Commission on Elections Chairman Benjamin Abalos met with ZTE officials in China weeks before April 2007, apparently to broker for the NBN project: August 30, 2007: Abalos denied brokering for the National Broadband Network project despite admitting he knows some officials in ZTE Corp. He admitted making four trips to China and playing golf there, but denied reports that he lobbied for the ZTE deal in exchange for money and sex. September 10, 2007: In an affidavit, Jose “Joey” De Venecia III claimed that he was with Abalos in China when the latter met with ZTE officials. He claimed he heard Abalos demand for money from the ZTE officials. Joey is a majority shareholder of a company which lost to ZTE in the bidding for the NBN contract. He is also the son of House Speaker Jose de Venecia Jr. September 11, 2007: The Supreme Court en banc issued a temporary restraining order against the implementation of the controversial NBN contract between the Philippines and Chinese firm ZTE Corp. September 18, 2007: In a Senate hearing, Joey said First Gentleman Jose Miguel Arroyo personally told him six months ago to “back off” from pursuing the multi-million dollar national broadband network project. A few days ago, Romulo Neri, a cabinet secretary of President Gloria Arroyo, also testified in the senate and accused Abalos of offering him almost a $5 million bribe in connection with the deal. Neri told the senate that he informed the president of the bribe attempt. The president instructed him to reject the bribe. However, Neri refused to divulge other details of his conversation with the president citing “executive privilege.” Was the president involved in the controversy? Why did she approve the signing of the contract despite being informed of the bribe attempt? Why are the allies of the president accusing each other of being involved in shady transactions? Inside PCIJ uploads the presentation of the government explaining that the Chinese company ZTE offered the best proposal in terms of capability and cost. A Nagueno in the blogosphere thinks the national broadband network project “started out as a good idea that later metamorphosed into some sort of a Frankenstein project.” Yugatech comments on the senate investigation of the contract: “Despite the politics behind the issue, I was more frustrated with the Senators asking repetitive questions and making non-sense tech-related conclusions… In essence, the proposed project is sound and laudable…But it is frustrating to realize that such a technological leap forward is marred with corruption and politics.” The Bystander is not surprised over the scandal: “With the way this government is being run by Arroyo and her cohorts, scandals and controversies seem to be an everyday occurrence. However, what makes this scandal quite different from the ones before it is the noise where it’s coming from. Unlike other whistleblowers who could easily be identified with the opposition, the current whistleblower is no less than the son of Speaker Jose de Venecia, a known Arroyo ally.” Citizen on Mars ponders if the project is beneficial to the country in the long run. Our thoughts are free says top election officer Benjamin Abalos will leave a legacy of controversy when he retires from public service next year. Carol P. Araullo believes “that what the public is witnessing is a single corruption scandal opening up a veritable can of worms.” Crooning the Night Away compares the presidential palace to a mafia house “With the ZTE deal investigations in the Senate heating up, the image of gangsters running that palace by the Pasig River becomes more and more clear, and right in the middle of it all, the image of a godfather — an uglier, meaner Don Vito Corleone.” Notes of Marichu Lambino wants the President “to come out and explain exactly why she let the election chair run around on the broadband contract with just a few months before elections.” Our Times disapproves of the project: “What’s the urgency behind this broadband project anyway? One of the reasons why government’s communications run into billions is the number of personal calls done in hundreds of cubicles in every corner of the bureaucracy. Also, we do have 9-10 million Filipinos overseas and 81 or so foreign posts spread throughout the globe.
Finance Journal
Philippines: Corruption scandal reaches the presidential palace
2026-11-15 00:01:19 · Cedar Herald Index
Tags
WorldBusinessTechnologyScienceHealthCultureTravelSportsPoliticsEnvironmentEducationOpinion