Subic proxy fights

SPYBIZ By S.A. Maguire
The Philippine Star

Insiders reported that the rivalry between the SBMA chair and administrator has allegedly extended to getting control of big income earner Freeport Service Corp., an SBMA subsidiary.

SBMA chair Feliciano Salonga, who reportedly tells people at every opportunity that he is the father of Lea Salonga, is backed by the Magsaysay clan while SBMA administrator Armand Arreza was allegedly appointed on the strength of a recommendation from Sen. Dick Gordon. FSC is 95 percent owned by the SBMA, and Salonga is claiming chairmanship of the nine-man FSC board as well as the right to appoint directors. On the other hand, Arreza has reportedly indicated that he will ask the SMBA board to appoint him as its nominee to the FSC board. Meanwhile, FSC head Gen. Jose Calimlim could not be nudged from his position because he reportedly has the nod of First Gentleman Mike Arroyo.

It looks like the fight to control FSC is more like a proxy war between the two political clans in an anticipated showdown for the 2007 elections, because the subsidiary is said to be the biggest employment "agency" in the Freeport Zone.