MANILA, Philippines (UPDATE) - A former high-ranking official of the Philippine Charity Sweepstakes Office (PCSO) close to former President Gloria Macapagal-Arroyo found herself in hot water as senators pressed her for answers on the use of the agency's intelligence funds, which at one point was found to be higher than the military's. During a Senate inquiry on alleged PCSO anomalies on Thursday, senators grilled former vice chair and general manager Rosario Uriarte on the agency's P325-million intelligence funds from 2008 to 2010, all approved by the former President. Records from the Commission on Audit (COA) show that Uriarte requested intelligence funds from Arroyo amounting to P75 million in 2008, P90 million in 2009, and a total of P160 million in 2010, an election year. Of the P160 million in 2010, Uriarte said P138 million was spent from January to July for the roll-out of nationwide Small Town Lottery (STL) operations, which was the government's answer to the illegal numbers game, jueteng. The money is on top of the P60 million allotted as confidential funds in the PCSO's annual corporate budget. "Bakit kailangan n'yo ng napakalaking intelligence fund to ferret out the problem of a very small group involved in STL?" asked a furious Senate President Juan Ponce Enrile. Uriarte explained that the money was also used for surveillance and organizing secret agents who will monitor STL operations, and ultimately, stamp out illegal numbers games. Sen. Francis Escudero pointed out, however, that there was not even a single mention of STL in Uriarte's letters to Arroyo asking for more intelligence funds from 2008 ot 2010. "Bakit kayo nagsinungaling sa liham n'yo kay Pangulong Arroyo at 'di n'yo binanggit ang P150 million para sa pag-roll out ng STL?" he asked. "'Yan po kasi ang pro forma na sinusulat namin 'pag nagre-request kami sa presidente," Uriarte answered. Uriarte said she personally witnessed Arroyo approve her requests for intelligence funds.
Asked by Sen. Franklin Drilon if the former President ever talked to her about how the funds would be spent, she said they discussed the PCSO's projects. Uriarte also said she turned over all confidential documents related to the intelligence funds to Arroyo, whom she has known and worked with since the late 80's. PCSO intel fund higher than AFP's
Sen. Panfilo Lacson, meanwile, noted that the PCSO's intelligence fund in 2010 was higher than the Armed Forces' P124 million. Lacson asked her Uriarte to identify the agent handler and other persons involved in the project that needed intelligence fund, but Uriarte was unable to identify any. "Binobola n'yo kami. Wala pong intelligence project," Lacson told her, adding that she failed to answer many of the questions squarely. Former PCSO chair Manuel Morato came to Uriarte's defense, saying revealing the person behind the intelligence project may put their lives at risk. But Senate Blue Ribbon Committee chair Teofisto Guingona III noted that despite the agency's huge intelligence budget, no person behind illegal numbers games were ever arrested or charged. Uriarte guilty of plunder?
In the end, the senators were unconvinced. Enrile said that Uriarte could be guilty of committing plunder by misusing the intelligence funds. "Habang nagsasalita ka rito bumabaon ka," Enrile said. "Naaawa ako sa 'yo." "You are lying. You have to face the law," added Drilon. Drilon also said Uriarte implicated Arroyo in the anomaly because of her answers. Citing inter-parliamentary courtesy, however, he said Arroyo may not be invited to the Senate's inquiry. "You implicated the former President by saying the former President knew all of these and approved all of these," Drilon told Uriarte. In separate interviews after the hearing, both Enrile and Drilon said they're convinced Uriarte was lying and used the intelligence funds for purposes other than what they were intended for.
Guingona, for his part, said Arroyo has a lot of explaining to do to the public. A closed-door session will be held during the next hearing on Wednesday, July 13, where Uriarte would be asked to shed more light on the PCSO's intelligence funds. Uriarte told reporters she stands by her answers and that she's confident she'd be able to explain herself more in the next hearing.
