Can President Arroyo explain her wealth?

In 2000, the Philippine Center for Investigative Journalism (PCIJ) exposed the unexplained wealth, the mansions, and other assets of then President Joseph Estrada and that of his mistresses and children.

The PCIJ stories and documents collected after an exhaustive research were cited among the evidence in the impeachment complaint against, and eventual trial for plunder and perjury of, Estrada. We had hoped then that we would never have to burden ourselves again with such tedious, difficult work.

Yet nine years hence, the story of Estrada seems to haunt us in the still unfolding story of President Gloria Macapagal Arroyo.

Over the last three months, our research into the wealth, business interests, and financial connections of President Arroyo yields very intriguing results.

For this series of reports, the PCIJ analyzed the statements of assets and liabilities and net worth (SALNs) that President Arroyo filed over the last 17 years, as well as the SALNs submitted by her two sons, Rep. Juan Miguel ‘Mikey’ Arroyo (Pampanga) and Rep. Diosdado ‘Dato’ Arroyo (Camarines Sur), and her other relatives in public office.

Next, the PCIJ corroborated the SALNs with corporate and other official records in the name of the Arroyos filed with the Securities and Exchange Commission and other relevant government agencies.

To validate the findings of its research, the PCIJ sought the expert assistance of lawyers, fund managers, and tax analysts.

To secure the side of Arroyo and members of her family, the PCIJ requested interviews with her key officials, including Presidential Legal Counsel Raul Gonzalez, Executive Secretary Eduardo Ermita, Press Secretary Cerge Remonde, and Presidential Deputy Spokesperson Lorelei Fajardo.

The PCIJ also filed interview requests with Ombudsman Ma. Merceditas Gutierrez, Chairperson Ricardo Saludo of the Civil Service Commission, the lawyer and spokesperson of the First Gentleman, and Arroyo’s former presidential legal counsel Avelino Cruz and former Ombudsman Simeon Marcelo.

The first part of our report reveals how the declared wealth of President Arroyo has increased the fastest, and by amounts much bigger, than the combined net growth in the declared wealth of three presidents before her – Corazon Aquino, Fidel Ramos, and Estrada. Of course, Extrada was later exposed to have more mansions and millions. Part 1 also lists the companies, according to SEC records, in which the Arroyos are incorporators, stockholders or beneficial owners. These business interests were not declared in the president’s SALNs because she has apparently opted for token compliance with the law. Former Armed Forces comptroller, retired Maj. Gen. Carlos F. Garcia, was sentenced to two years in jail for filing defective or non-compliant SALNs – he failed to disclose the companies in the name of his wife and children.