Arroyo officials to be probed over illegal fund withdrawals

June 28, 2011
TWO officials under Arroyo administration will be summoned in connection with alleged anomalous withdrawal of more than P400 million from the funds of Civil Aviation Authority of the Philippines (Caap) last year.
House Resolution 1162, authored by brother-lawmakers Rufus (Cagayan de Oro) and Maximo Rodriguez (Abante Mindanao party-list), prompted the congressional inquiry, which will investigate the participation of former Caap Director General Ruben Ciron and his chief of staff, Ronaldo Manlapig, over the fund withdrawals.
Ciron, “assisted” by Manlapig, withdrew more than P400 million from the agency’s accounts in United Coconut Planters Bank (UCPB) and Land Bank of the Philippines (LBP) from January to March 2010, the lawmakers said, citing data furnished by the Caap Employees Union.
Rodriguez said the Caap’s passbook with the UCPB showed that Ciron and Manlapig withdrew P150 million and P80 million on January 7 and March 2, 2010, respectively.
Ciron and Manlapig also withdrew $1 million on February 23, $1 million on February 26 and $2 million on March 2 from Caap’s dollar account with the LBP, the legislators added.
What made these huge bank withdrawals highly questionable, according to Rodriguez, were the dates of transactions since Ciron and Manlapig were already on their way out of the agency by March.
Ciron was replaced by Alfonso Cusi on March 10, 2010, or eight days after he and Manlapig made the last two withdrawals.
Quoting officials of the Caap-EU, Rodriguez said Ciron was booted out as Caap head because of the issuance of the significance safety concerns findings on Philippine civil aviation by the International Civil Aviation Organization (ICAO) in December 2009, and the Category II downgrade of the Philippines by the United States Federal Aviation Authority.
Rodriguez said another anomaly in the Caap involving Ciron and Manlapig involves the illegal disbursement of fund from ICAO, a specialized agency of the UN on international civil aviation matters, a transaction that seems similar to the Armed Forces of the Philippines conversion of a United Nations fund.
According to the Commission on Audit, the $12 million ICAO trust fund under Caap in 1996 was reduced to only $3 million in 2009.
“There is a need to look into the situation, which is highly anomalous in order to prevent public funds from being further disbursed and to improve the performance of the Caap,” the legislators said. (Kathrina Alvarez/Sunnex)

Source: http://www.sunstar.com.ph/manila/local-news/2011/06/27/arroyo-officials-be-probed-over-illegal-fund-withdrawals-163560

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