Owner of Ongpin 'dummy' firm begs off from Senate probe

Citing health reasons, the majority owner of a firm that allegedly fronted for controversial businessman Roberto Ongpin in a multimillion loan from the Development Bank of the Philippines (DBP) in 2009 begged off from the Senate inquiry on the issue on Monday. In 2009, the DBP granted P660 million in loans to Delta Venture Resources Inc. (DVRI), which was initially thought to have been Ongpin's company because it acquired the loan for the stock purchase which benefitted the businessman. But Solicitor General Jose Anselmo Cadiz earlier said that Ongpin was not a stockholder of DVRI. He said DVRI was almost like a single proprietorship of Josephine Manalo, who owned 24,996 shares out of the firm's 25,000 shares. Cadiz also said Manalo was a long-time executive secretary of Ongpin. In 2009, the DVRI had asked DBP to register the 50 million shares of Philex Mining Corporation bought using the DBP loan to Golden Media, Ongpin's firm which eventually sold the shares at a higher price to Two Rivers, a firm affiliated with business mogul Manny Pangilinan. Because of this, Senate President Juan Ponce Enrile asked the Senate to summon Manalo. But in a letter to Senate blue ribbon committee chair Sen. Teofisto Guingona, Manalo's lawyers Alexander Poblador, Dino Vivencio Tamayo, and Justin Mendoza said their client would not be able to attend the probe because she is "a sickly 68-year-old widow with a host of illnesses." They explained that Manalo's attending phyisician, Dr. Lourdes Dorion-Diaz, had diagnosed Manalo with hypertensive artherosclerotic cardiovascular disease and diabetes mellitus. "She was therefore strongly advised...not to engage in any strenuous activity much more so engage herself in a stressfuls ituation as this might make her blood pressure uncontrolled and suffer its complications," they said. "Dr. Dorion-Diaz thus specifically inhibited her from attending the Senate hearing as this stressful situation might cause undue increase in her blood pressure and blood sugar which might lead to grievous consequence to her health," they added. The lawyers likewise said that Ongpin, not Manalo, was the DVRI officer who has personal knowledge of the transaction that is subject of the Senate probe. "We respectfully request that this honorable committee give due consideration to the compelling interest to protect Ms. Manalo's health, which outweighs the need to secure her attendance at the...hearing," they said. Guingona has asked the Senate doctor to verify the "veracity" of Manalo's condition. Cadiz had earlier said that Manalo never denied that she contracted the loan for Ongpin. Former DBP president Reynaldo David likewise explained that the shareholders of DVRI and Golden Media were the same. He added that there were deeds of trust issued to Ongpin. On Monday, Ongpin added that he never denied that he was the "beneficial owner" of the companies. But he also reiterated his denial that there were irregularities in the DBP loans. He also said that he was not fronting for anyone powerful, especially his friend former First Gentlemen Mike Arroyo. — RSJ, GMA News