The kleptocrats never left

PerryScope
by Perry Diaz

The recently released 2010 Global Integrity Report rated the Philippines “very weak” (57) in terms of governance and corruption.  The overall rating was also “very weak,” a downgrade from the 2008 overall rating of “moderate” (71).

The report also rates the country “weak” (64) in the category of  “Anti-Corruption Legal Framework, Judicial Impartiality and Law Enforcement Professionalism” and “Rule of Law.”  Included under this category are the following sub-categories: “Anti-Corruption Law,” rated “strong” (89); “Judicial Independence, Fairness, and Citizen Access to Justice,” rated “weak” (62); “Anti-Corruption Agency or Equivalent Mechanisms,” rated “very weak” (53); and “Law Enforcement: Conflicts of Interest Safeguards and Professionalism,” rated “very weak” (52).

Global Integrity — a Washington, D.C.-based international non-profit organization that tracks governance and corruption trends around the world – rates the categories and sub-categories on a scale of 0 to 100.  The 70 countries tracked by Global Integrity are divided into two groups – “even” and “odd” years — of 35 countries each; therefore, each report represents a biennial cycle.  The “even year” group includes the Philippines.

Since the 2010 Global Integrity Report represents the years 2009 and 2010, it would cover the last 18 months of Gloria Macapagal Arroyo’s presidency, which ended on June 30, 2010, and the first six months of Benigno Aquino III’s presidency.

Indeed, the report is an “indictment” of Arroyo’s nine-year presidency than a reflection of Aquino’s fledgling administration.  However, this will not absolve Aquino of culpability because, ultimately, the buck stops with him.

Double whammy

So, what is the report telling us?  It is evident that the country has “strong” anti-corruption laws – and there is no doubt about it — but the government is “very weak” in enforcing them and “weak” in prosecuting the corrupt.

But Aquino claimed that his administration was stymied by the Office of the Ombudsman’s inability – or refusal – to prosecute corrupt officials, putting the blame squarely on former Ombudsman Merceditas Gutierrez, who resigned last May 6, 2011 to avoid a Senate impeachment trial.  Now that Gutierrez is gone, Aquino doesn’t have any more excuses.  He needs to jumpstart his anti-corruption crusade and fulfill his election promise, “Walang corrupt, walang mahirap” (No corruption, no poverty).  And the sooner he appoints an honest and incorruptible Ombudsman, the better off he would be.

Arroyo years

In my article, Reign of the Kleptocrats (Global Balita, January 19, 2007), I wrote:  “What we used to know as ‘good governance’ is now transformed into ‘kleptocracy.’ The public service-oriented government functionaries of yesteryears are gone. Although there are still those in government who are honest and incorruptible, what we have today is a breed of greedy opportunists who use their positions in government to enrich themselves. They are the ‘kleptocrats.’ ”

Indeed, things didn’t change much since Arroyo came to power in a sham people power revolution – EDSA 2 – in 2001.  Arroyo’s ascension effectively stopped the momentum and progress made after the late dictator Ferdinand E. Marcos was ousted in the people power revolution of 1986.  Sadly, the first documented case of corruption occurred within four days of her administration.

And what is very sad is that the government’s attempt to resolve or recover the sequestered assets and properties — including billions secretly stashed in foreign banks — failed only because the Presidential Commission on Good Government (PCGG) didn’t do a good job.  Allegations of corruption, bribery, collusion, thievery, and ineptitude hounded PCGG to this day.

Corruption galore!

Just a few days ago, it was reported in the news that the new head of PCGG, Juan Andres Bautista, questioned his predecessor Camilo Sabio’s sale of a sequestered 3.6-hectare property owned by IBC-13 for a cheap price.

Another questionable transaction made during Sabio’s time was the anomalous sale of a sequestered company and its P4.2-billion property – with a fair market value of more than P6 billion – for only P900 million.

Bautista also questioned the sale of a 12.3-hectare prime lot in Pasig City for a measly P89 million in which he alleged that another PCGG commissioner, Peter Sabido, pocketed P20 million in “commission.” Bautista also questioned Sabido’s misuse of government funds, saying he hired six private lawyers, 41 consultants and 85 office-based staff.

It’s interesting to note that a Manila Bulletin article written by Edmer F. Panesa dated March 21, 2010, said: “The Supreme Court (SC) recently lifted the sequestration by the government of a 7,000-hectare cattle farm on Busuanga Island in Palawan believed to be owned by the late strongman Ferdinand E. Marcos. Considered one of the largest cattle stations in Asia, the Busuanga cattle farm was originally known as the Yulo King Ranch (YKR) controlled by suspected Marcos cronies Peter Sabido and Luis Yulo.”  The question is: Was the suspected Marcos crony Peter Sabido the same person as PCGG Commissioner Peter Sabido?  If so, that would be like appointing Mafia Don Vito Corleone to be Attorney General.

Another high-profile corruption case is that of former Rep. Prospero Pichay who was appointed by Arroyo as chairman of the Local Water Utilities Administration (LWUA) after he lost his senatorial bid in 2007.  Last month, the government filed a criminal complaint against Pichay and all the LWUA board members for LWUA’s questionable acquisition of a thrift bank in 2008, in which the government lost P480 million in the deal.

But the “circle of kleptocrats” was not the exclusive domain of those identified with Arroyo.  Many of Arroyo’s former appointees managed to pass through Aquino’s vetting process and got appointed to plum positions.  One of them is Labor Secretary Rosalinda Baldoz.  Former Solicitor General Francisco Chavez included her among those who were charged with Arroyo in regard to the alleged misuse of P551-million worth of funds from the Overseas Workers Welfare Administration (OWWA).  According to Chavez, Arroyo violated the Plunder Law for allegedly misusing OWWA funds for questionable acquisitions and for her reelection campaign in 2004.  Baldoz was then the chairman of the Philippine Overseas Employment Administration (POEA) and was one of the signatories of the OWWA board resolution allowing the transfer of funds.

Tip of the iceberg

It did not come as a surprise then that the Philippines is rated “very weak” in governance and corruption.  With almost 1,000 midnight appointments made by Arroyo and many more in fixed-term plum positions, the incoming Ombudsman will have work cut out for him or her.  Many kleptocrats are still in government, alive and kicking… and continue to steal money from whatever they could put their kleptic hands on.  Indeed, the kleptocrats never left.

If Aquino is truly sincere in fighting corruption and eradicating poverty, he has now a grand opportunity to rid the government of kleptocrats.  It will be a daunting challenge for him; however, it is doable.  The last thing he wants to happen is to fail without trying.  But he should know that doing nothing is worse than failure in itself.  For even in failure there is much to learn… and achieve, as well.

With Gutierrez out, it’s time for Aquino to walk the talk lest he would come to be known as “NATO” – that is, “No Action, Talk Only.”

(PerryDiaz@gmail.com)


10 Responses. Have your say.

  1. Adelbert Batica says:

    There will always be kurakots y kawatanes in the Philippines, but the most important thing is not to let up on the anti-corruption crusade.

  2. DRCDC says:

    I enjoyed reading this article. Vivid color and accuracy. CDC

  3. beaven says:

    how will it left when kleptocracy has been there since time immemorial. you’re making it sound as if it started in and with the time of GMA.

    gracious goodness, your readers aren’t dumb. straighten out your logic!

    • perry says:

      Hi Beaven,

      Did I say or even alluded that kleptocracy started with GMA? But this I can say: GMA made kleptocracy the cornerstone of her government.

      Perry

  4. Galore says:

    Dalawang klase ng tao ang Pilipino: Noong bumili ng second hand Porsche si Pnoy isang malaking issue. Pero ng humingi ng isang Hermes bag si Mommy Dionisia, ang daming masaya. Simpleng namumuhay si Pnoy pero pilit na sinasabing marangya mamuhay si Pnoy, pero wala namang mansion sa US si Pnoy. Pero sa lifestyle ni Pacman, maraming masaya at walang nakikita na grabe ang garbo ng pamumuhay ni Pacman na nanawagan na susugpuin ang kahirapan sa Pilipinas sa pamamagitan ng marangyang pamumuhay. Sino ba talaga ang dapat maging huwaran ng Pilipino si Pnoy o’ si Pacman? Pareho silang public servant.

  5. Fernando Habito says:

    Basically the poor rating of the Philippines with regards to corruptions is just a reflection that the country has poor and weak judicial,legeslative and executive system. In the bottom line also is the Filipino culture of “lack of national discipline” plus the gullible and ignorant electorates in big numbers in the society…It is not realistic that corruptions issue can be solved by one or two persons who will acts like a hero.It is a shallow or narrow minded thinking
    to blame it to a single person..First look at our politics and government if the “kleftocrats” are still there its because the Filipino people tolerated it and the written justice system or law are manipulated by those who like to preserved their money and power.

  6. Raoul says:

    Corruption in the Philippines can never be put under credible control until the culture of “pakiusap,” “pahingi” (or “pabaon”) and “paano yan – anong atin dyan” disappears. But this culture is already endemic in the whole system, and it seems to be based on the nature of the Filipino who insists on talking to a person, preferably the boss, in order to solve his problems (rather than rely on written, objective rules) and who insists on sharing in the good fortune of others even if, unlike him, that good fortune had been won by hard work. This culture increases the cost of doing business and everyday transacting, and in the end adversely affects even the immediate beneficiaries of corruption themselves.

    What we need in the Philippines in a disciplinarian but concerned kind of governance in the mold of the milieu in which all Filipinos grew up, which is the milieu of “tigas ni itay, pagmamahal ni inay.” This means a leader should constantly push for the welfare of his people, but warns them that to do monkey business shall be dealt with severely. Early on he must convince the people to submit to his authority because he means to do them good. This will allow him to bypass structural difficulties in governing, difficulties that are now sources of bottlenecks in good governance and thwart any attempt to reform Philippine society.

    By the way, if you and your readers will permit me a private thought, the country has lost a good public servant in the person of Merceditas Gutierrez but it is not aware of it. Indeed prophets are not recognized in their homeland. The good in what had happened to her is that history will vindicate her – and it has started to, with the decision of the Sandigabayan which effectively condemned the weak information filed by former Ombudsman Simeon Marcelo – and she will be known as one of the best Ombudsmen ever, who thought of the common good above everything else. In one of her reflective moments, she told me, “Since I was appointed to the position of Ombudsman, I have tried hard to forget who appointed me, but the media kept reminding me.”

  7. Romeo Sirate says:

    I guess the best approach in eliminating corruption in our country is to start with the breeding ground, and that’s none other than our own government. Just about everyone that are being charged with corruption lately are all government officials, not just ordinary government officials mind you, almost everyone of them are in a very important positions. When you have a government that does’nt seem to care where its money are being spent and no way to account for them, what do you really expect to happen? I’ve said it often enough that corruption is a way of life in our country, it’s been around for quite some time and it’s likely to stay that way for a long time to come. Is’nt it strange that everyone one else in the world knows how terrible our situation is except us.

  8. Galore says:

    suggest ko lang, bakit hindi gumawa ng survey sa lahat ng mga goverment employees from top to bottom at itanong kung bakit sila nagtratrabaho sa pamahalaan. alam ba nila ang pagtratrabaho sa pamahalaan ay public service? handa ba silang i-sacrifice ang pansariling kapakanan para sa pinaglilingkurang pamahalaan? at kung ano man ang magiging sagot nila, huling tanong handa ba silang isa-buhay kung anoman ang kanilang mga naging sagot sa mga tanong? kung ang sagot nila ay magnakaw at isipin muna ang sariling kapanan, tanggaling agad sa serbisiyo. at iyong mga sasagot na handa silang isakripisiyo ang kanilang sariling kapanan at uunahin ang paglilingkod sa bayan ang mananatili sa serbisyo at buwan buwan ay titingnan ng mamayan kung isinasabuhay nga nila ang kanilang mga sagot sa tanong. ang gagawa ng survey should be independent and trusted agency, puwede na rin ang SWS at Pulse Asia ang i-commision ng pamahalaan na guma wa survey.

  9. Lito Sarmiento says:

    Hay naku, Galore. That won’t work. Ang magnanakaw magaling magsinungaling. So they will just tell you what you want to hear. As for Pacman vs P-N0Y, Pacman can do whatever he wants with his money. He earned it. He can afford to do so. And why is it a surprise that he bought his mom an expensive bag? Everyone has his own way of honoring his mom. Plus, Pacman is not selfish to his constituents. I have read in many articles that people go to Manny’s house in GenSan almost everyday to ask for help and it is said that no one walks away from his house empty handed. He also has a charity foundation, I believe. You only have to use Google to get to know some of his charitable work. Pacman is just a congressman. P-N0Y is the president. People will talk if he does something out of the ordinary. The president is funded by the people’s money. He has the power to control where the government money goes to. So if he spends a large sum of money like when he purchased that Porsche, people get suspicious. There will always be some who would say that he took the money from the public coffers although there are no evidence of that. Some would also say that it was given to him as a gift by someone or some group who wants to get favor from him. Ang lagay eh….He is high-profile. Although Pacman is a high-profile celebrity too, people expect it from him if he buys a home in the US and in all parts of the Philippines because of the tons of money he is gets from his winnings. Our people believe he deserves the money because he works hard for it and he is dedicated. It is pretty clear where his earnings came from…not from corruption, not from oppressing farmers who live in his farms, not from using slave labor, etc. Well, with P-N0Y, ummm….he…ummm….is…ummm….I think I should just keep my opinions to myself about the prez. I don’t want some of you, fans of the prez to get your BP elevated.

    Romeo Sirate, I think the breeding ground of corruption does not start in the government. It starts within our own families.

    Fernando Habito, I totally agree with all the points you raised. If I may borrow a phrase from Hillary Clinton, it takes a village for corruption to prosper. I also think that the government needs to hire an independent auditing company to look into the expenses of each government agency. I also blame the legislative branch of the government (the Senate and House of Reps) for not coming up with better laws to keep corruption in check.

Join the discussion

Your email address will not be published. Required fields are marked *