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Senate to start new probe on Spratlys exploration


MANILA, Philippines - The Senate's investigation into the alleged anomalous deal for a joint exploration of the contested Spratly Islands will start on April 28 when Congress resumes session from its Holy Week break. The 2005 Joint Marine Seismic Undertaking (JMSU) with China and Vietnam was entered into allegedly in exchange for supposed anomalous Chinese contracts and the release of the Senate committee report on the Japan-Philippines Economic Partnership Agreement (JPEPA). Senator Miriam Defensor-Santiago, chairman of the committee on foreign relations, said in a statement that the probe will likely be assigned to two committees: foreign relations for the constitutional and legal aspects, and accountability of public officers and investigations (Blue Ribbon) for the criminal issue. Congress is set to adjourn session this week for a month-long break. In a statement on Sunday, former Philippine National Oil Co. president Eduardo V. Mañalac, for his part branded as "total falsehood" a report from a major daily (not the BusinessWorld) identifying him as the surprise Senate witness on the probe. He claimed ignorance of the ZTE deal except from the things printed in the papers. The issue was hyped after the Far Eastern Economic Review in its January-February 2008 issue published an article written by Barry Wain of the Institute of Southeast Asian Studies, which claimed that the 2005 agreement between China and the Philippines to conduct seismic studies in the Spratlys and explore for oil and natural gas "was a sellout on the part of the Philippines." The bilateral agreement was signed by state-owned firms China National Offshore Oil Corp. and the Philippine National Oil Co. Vietnam, which is also among the seven claimants of the disputed Spratly islands off of Palawan, objected to the bilateral pact that prompted China and the Philippines to forge a tripartite agreement with Vietnam for the JMSU. Brunei, Indonesia, Malaysia and Taiwan also claim ownership of the Spratlys that are believed to contain significant reserves of oil and natural gas. Mr. Wain quoted Mark Valencia, an independent expert on the South China Sea, as saying that a portion of the 142,000-square meter area was undisputed Philippine territory, and that the area "thrusts into the Spratlys and abuts Malampaya, a Philippine producing gas field. About one-sixth of the entire area, closest to the Philippine coastline, is outside the claims by China and Vietnam." This prompted Senators Antonio F. Trillanes IV and Ma. Ana Consuelo A. Madrigal to file separate resolutions to conduct a probe into the agreement "that seemed to be a precondition to the bilateral loans granted by China to the government." Ms. Santiago said that while the JMSU raises the issue of possible violation of the Constitutional on sovereignty or jurisdiction over defined national territory, "a mere scientific or technical cooperation agreement, which does not diminish or threaten Philippine sovereignty or jurisdiction, is constitutional." But the senator, an administration ally, noted a "curious question of timing" as the agreement was signed three years ago. "Why is it only now that it is being assailed as an alleged presidential misconduct? What is the basis for the charge by a foreign writer that it is an alleged sellout?" Ms. Santiago said Philippine-China relations should not be dragged into the political fray, adding that "the anti-Arroyo campaign should not be turned into an anti-China campaign. We should consign power plays to the domestic arena." She noted that China has extended preferential loans for various development programs in the country and is considered the main financial provider for Southeast Asia, ahead of the World Bank, the Asian Development Bank and aid programs from the US and Japan. In a related development, the so-called Spratlys deal could not be a basis to impeach President Gloria Macapagal-Arroyo. Justice Secretary Raul M. Gonzalez told reporters at the weekend there is "no culpable violation" in the signing of the deal. Last week, former senator Franklin M. Drilon claimed then Speaker Jose C. de Venecia, Jr. pressured then presidential legal counsel Merceditas N. Gutierrez to give her approval on the trilateral agreement. He alleged that the deal was a "treacherous sellout" of the Philippine interests in exchange for overpriced loans for projects such as the ZTE Corp.-backed National Broadband Network. JPEPA report Meanwhile, Ms. Santiago said she will release a "full committee report" on the controversial JPEPA that will be a "bound volume" since it is an "extraordinary treaty." She said she will recommend a resolution for conditional concurrence on the treaty. She warned that if the Senate will not take "scrupulous care" and if the court deemed it unconstitutional, "such declaration will not be a valid defense" if Japan later sues the country for "non-performance of contract obligation" under the Vienna Convention on the Law of Treaties. — Bernard U. Allauigan and Ira P. Pedrasa, BusinessWorld
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