On The NBN-ZTE Deal
The Truth's Consequence
By Katherine Mae M. Lopez

If you were at the Ninoy Aquino International Airport on Feb. 5, 2008, what would you have done if you saw a man who was welcomed and escorted by a group of military men? What would you have thought of the man? Is he being given security or being taken to someplace only God knows where?

That is, if you would be given a chance to see such man being escorted by the military at the NAIA. Because when ZTE-NBN deal key witness Rodolfo Noel Lozada, Jr. arrived at the NAIA last Feb. 5, Manila International Airport Authorty (MIAA) deputy manager for operations Octavio Lina said assistant deputy for security retired Gen. Angel Atutubo escorted two presidential guards inside the restricted zone of NAIA to fetch Lozada.

According to a DZRH report, NAIA personnel did not see or process Lozada when he arrived from Hongkong. Atutubo, on the other hand, claimed he merely escorted Lozada through the Customs and Immigration areas of NAIA.

With Lozada’s breadth of knowledge about the NBN-ZTE deal, the government has every motive to silence him. A number of witnesses have already testified, and what cannot be denied is the blatant corruption exercised by the Arroyo administration.

The NBN-ZTE project aims to link all government offices through a broadband network. It was conceptualized in lieu of President Macapagal-Arroyo’s Cyber Corridor initiative, one of the projects she mentioned in her 2006 State of the Nation Address. This is to facilitate information dissemination, knowledge transfer and coordinated and collaborative advocacy, as stated in the report of the National Economic Development Authority on the NBN deal.

The China Export-Import Bank offered a $329 million loan to the Philippine government, on one condition: that the project will be awarded to Chinese firm ZTE. Department of Transporation and Communications (DOTC) Secretary Leandro Mendoza and ZTE Corp. Vice President Yu Yong entered intro the $329 million contract in April 2007.

So what’s wrong with this?

On Aug. 29, 2007, Nueva Vizcaya Rep. Carlos Padilla said in a privilege speech that COMELEC Chairman Benjamin Abalos brokered the deal.

Padilla said that Abalos’ frequent trips to China care of the ZTE Corporation and his golf games with ZTE officials shows that he was a “man on a mission.”

Moreover, Jose De Venecia III, son of former House Speaker Jose De Venecia, said in his Sept. 10 affidavit that Abalos had met with ZTE officials in China to demand a $130 million kickback from the NBN project. De Venecia III, a majority of the shareholder of Amsterdam Holdings. Inc. (AHI), also said in his affidavit that he was told by First Gentlemen Jose Miguel Arroyo to “back off” from the deal. AHI is one of those who offered proposals to the government regarding the NBN project. De Venecia II also alleged that Abalos had bribed him $10 million to withdraw from the project.

On Sept. 22, 2007, GMA suspended the deal.

Lozada’s revelations only confirmed that the ZTE-NBN project is tainted with anomalies. One is the alleged overpricing of the NBN project.

“When I quit the project, the project cost was $262 million. So it was approved. I don’t know what happened then. I’m not imputing anything now. But when it was approved, it was already approved at $329 million. And the day after it was approved, the President together with PagCor officials, went to China to witness the signing of the agreement," said Lozada during a press conference in La Salle Greenhills last Feb. 8.

Lozada also said in the press conference that Abalos wanted to protect his $130 million commission and that by December, ZTE officials were getting restless because they had already given advances to Abalos.

Also in the press conference at La Salle Greenhills, Lozada said Abalos threatened him. According to Lozada, Abalos told him: “Huwag kang magpapakita sa aking hayop ka sa Wack –Wack o sa Mandaluyong at ipapapatay kita.”

In the light of all the controversy surrounding the NBN-ZTE deal, the University Council of the University of the Philippines in Diliman, Quezon City issued a statement calling for the removal of President Arroyo from office. The University Council is composed of assistant professors, associate professors and professors, chaired by the Chancellor.

“GMA must go!” the University Council said in its unanimously approved statement.

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Copyright 2008. All rights reserved.
Contact me at katherinemae.lopez@gmail.com