Philippines Multi-Billion Peso Fertilizer Fund Scam of Gloria Arroyo
By Danny O. Calleja
A member of the Sorsogon provincial legislative board has asked the banks to shelve the P350-million loan being worked out by Governor Raul Lee amidst the graft charge the governor is facing with the Sandiganbayan involving the multi-million peso fertilizer fund scam.
In recent letters, Board Member Vladimir Frivaldo appealed to the Philippine National Bank (PNB) and the Development Bank of the Philippines (DBP) to defer approval of the loan being negotiated by Lee pending resolution of the case filed by the Office of the Ombudsman last month but was made public only on April 13.
Lee, along with his chief accountant Raul Hernandez and provincial treasurer Ofelia Velasco, was charged based on his participation in the alleged diversion to former president Gloria Macapagal-Arroyo’s campaign fund in 2004 of P728-million intended for farmers’ assistance through the Department of Agriculture (DA).
The province got P5 million of that fund from the DA shortly before the 2004 elections and Lee was accused of using over P3 million of it in allegedly buying overpriced liquid fertilizer from Feshan Philippines Inc. which was represented by Eunique Galang, a sister-in-law of the governor’s son, now this city’s vice mayor Roberto Rodrigueza.
“By deferring the loan application of the Province of Sorsogon until Gov. Raul Lee is vindicated and cleared by the Sandiganbayan, we will eliminate doubts and increase people’s trust in the government. These banks should also discontinue any further negotiations with the provincial government to avoid further controversy,” Frivaldo said in the letters.