PAGCOR’s P435-M ‘pabaon’ for Arroyo bared

The Philippine Amusement and Gaming Corporation (PAGCOR) transferred P435 million from its funds to the Presidential Social Fund (PSF) — commonly known as the “president’s pork"— a month before Gloria Macapagal-Arroyo’s term as president ended last year. On Thursday, Bayan Muna party-list Rep. Neri Colmenares showed the media copies of letters dated May 24 and 28, 2010 authorizing the transfer of more than P435 million to the PSF, which he described as a form of “midnight pork barrel." The letters were signed by then-PAGCOR chair Efraim Genuino, who has been named respondent in a plunder complaint lodged with the Department of Justice (DOJ). “Genuino has no business giving pabaons to outgoing public officials especially since there is a huge budget deficit and the people are reeling from poverty and lack of government services," Colmenares said in a statement. Some P345 million of the said amount were disbursed by PAGCOR to the PSF on a single day, May 28, one of the letters said. One of the letters also stated that the agency transferred P225 million as “subsidy to the Office of the President" for April 2010, or a month before last year’s elections. GMA News Online has tried to reach the Arroyo camp for comment but has received no reply as of posting time. Colmenares said that while PAGCOR is required to transfer its net income to the PSF, the amount transferred to Arroyo’s pork is “inordinately" large. He pointed out how PAGCOR only earned P95 million in April last year, way lower than the amount supposedly transferred to the PSF during the same period. “We need to look at the intent of the transfer of such large amounts of funds, which for me violates the law and government accounting rules," he said in a text message. The PAGCOR confirmed at a hearing earlier this week the transfer of P185 million from its funds to the PSF after vouchers intended for two congressional districts governed by Arroyo’s sons — Diosdado and Juan Miguel — were cancelled by the previous board. In the same hearing, Colmenares requested current PAGCOR chief Cristino Naguiat Jr. to check with the Presidential Management Staff (PMS) – which currently handles the social fund — how the funds were used. According to a report from the Philippine Center for Investigative Journalism, the PSF was created during the time of former dictator Ferdinand Marcos to require the PAGCOR to remit a portion of its earnings to support the president’s development projects. — KBK, GMA News