Press Release
December 22, 2008

Gordon unearths 'modus operandi' among witnesses

The Senate blue ribbon committee is nearly completing the whole picture in the anomalous P728-million fertilizer fund project of the Department of Agriculture, following testimonies from individuals involved in its implementation, Independent Senator Richard J. Gordon today said.

Gordon, committee chair, said the breakthroughs the panel achieved during the Dec. 17 hearing were followed by more revelations in today's investigation with the testimonies of Marites Aytona and Feshan Philippines president Julie Gregorio.

"We achieved breakthroughs in our last hearing when undersecretary (Belinda) Gonzales said Bolante brought her to a meeting with ten people including (Jimmy) Paule at the New World Hotel. That belies Bolante's statement that he does not know Paule," he added.

"Today, I think we had a very good hearing. I think it was a very good casting of the net and we got people to admit the whole nine yards. We are now able to see how all of this happened," he added.

Gordon said that the statements of the witnesses, once collaborated, would reveal the whole scenario in the planning and implementation of the fertilizer fund project.

He explained that it was Jose Barredo, a runner in the said project, who revealed the names of Aytona and Leonicia "Necy" Llarena as part of the project implementation.

Llarena confirmed that she knew both Aytona and Paule and had been giving them loans for their projects with the government, but she denied knowing Bolante.

Aytona, for her part, said that Paule was the one who recruited her to be the consultant of the National Organization for Agricultural Enhancement and Productivity Inc., which was allegedly one of the proponents of the fertilizer project.

She added that Paule had asked her to "package" proposals for the project and was offered a three-percent commission for every proposal that was approved.

Gordon said, while Llarena and Aytona do not know Bolante, their connection with Paule and the information they revealed about him shows that he was a big part of the project.

He added that it is Gonzales who connects Bolante and Paule with her statement that both were present during the meeting at the New World Hotel in late 2002.

"Aytona connects Paule. Paule is connected by Llarena. Bolante is connected to Paule by Gonzales and practically the statements of Llarena and Aytona. If you connect everything, you can see the theory of what's happening," Gordon said.

The senator added that the testimony of Gregorio, president of Feshan, also confirmed that there was irregularity in the implementation of the project.

Gregorio said they only sold P50-million worth of fertilizers but records of the Commission on Audit show that P105-million was paid to them because that was the amount Feshan wrote in their books.

The Feshan executive said it was Aytona who ordered her to record the P105-million amount in their books. Aytona, however, denied the allegation.

"I think we have the whole modus operandi here. Llarena gained one million plus. Aytona gained 300,000. Barredo also got 70,000. Feshan earned P10 million. But the one who biggest earner here is the one who gained from the P105 million," Gordon said.

"All of this will fit into a whole picture. Initially what we only have against Bolante are the testimonies of the regional directors which proved that he was really involved in the implementation of this project. Now we are revealing more irregularities in this project" he added.

Gordon said there are more information yet to be revealed which are expected to be exposed once Paule appears before the Senate panel.

Paule is set to appear at the Senate tomorrow and meet with Gordon to affirm that he would attend and testify in the committee's hearing on Jan. 20 next year.

News Latest News Feed