Tuesday, September 18, 2007

Pandora's Box

And so the ZTE deal is turning out to be one big can of worms. Testifying before the Senate, Joe de Venecia's son claimed First Gentleman Mike Arroyo tried to dissuade him from pursuing the broadband deal to pave the way for ZTE to snatch the deal. The personalities involved are a virtual who's who in Philippine politics: Chairman Benjamin Abalos of the COMELEC, Secretary Leandro Mendoza of the DOTC and now, the President's own husband.

It's becoming more explosive. With Mike Arroyo's involvement, even a half-wit can figure out that Gloria probably knows about this anomalous deal from the start as well. After all, this contract was sealed and well-timed to coincide with her visit to China early this year, right? In fact, in a speech, she remains adamant about pushing the deal claiming that Executive Agreements between governments should be honored "despite media attacks."

The pieces of the puzzle are starting to fall into place.

The useless broadband project is valued at PhP16 billion, or US$329.4 million. The original contract price was placed in the vicinity of US$200 million plus, which means these government officials expected to divide among themselves a multi-million bonanza valued at more than US$100 million.

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