Kalayaan exclusion from RP baselines has deeper motive
Written by Efren L. Danao - Manila Times Tuesday, 09 September 2008 00:50
Scams, Beware
Sen. Miriam Defensor Santiago said the Senate Committee on Foreign Relations had recommended that the bill delineating the Philippine baselines exclude the contested islands of Kalayaan and the Scarborough Shoals, and instead designate them as “a regime of islands.” This hewed to the Malacañang line on the islands that were claimed in whole or in part by China, Malaysia, Vietnam, the Philippines, Taiwan and Brunei.
Lawyer Harry Roque said in a press conference at the Senate that Malacañang agreed to leave the contested islands out of the baselines bill because the Palace would receive a lot of kickbacks from the investments promised by ZTE. President Gloria Arroyo ordered the cancellation of the $329-million contract with ZTE for the national broadband network (NBN) project, after allegations of huge kickbacks and overpricing were aired before the Senate blue-ribbon committee.
“It [ZTE] still has enforceable contracts with the Philippine government,” Roque said.
He said that a memorandum of understanding signed between ZTE officials and Trade Secretary Peter Favila on July 12, 2006 called on the two parties “to work together and to cooperate in the developmental and implementation of various investment activities in the Philippines.”
“But while the NBN project was cancelled, those on the exploration, development and operation of mining areas in Diwalwal and in North Davao were not,” he said.
He cited the admission of Favila during a Senate hearing that ZTE could still undertake the other projects mentioned in the memorandum.
