Mayors in Hanjin extortion case not yet cleared

Local officials allegedly involved in extortion cases on a Misamis Oriental shipyard project are not yet off the hook insofar as the Philippine National Police (PNP) is concerned.

PNP officials yesterday told a joint Senate hearing that they are still looking into whether Tagoloan Mayor Paulino Y. Emano and Villanueva Mayor Juliette T. Uy have benefited from the shipbuilding project of Hanjin Heavy Industries Construction Philippines, Inc.

Both mayors were implicated in an extortion case involving Hanjin officials in the construction of the $2-billion shipbuilding facility in Phividec Industrial Estate.

PNP Director Jefferson P. Soriano, chief of the Directorate for Investigation and Detective Management and head of Task Force TAGOVILL (Tagoloan-Villanueva), told the committees on accountability of public officers and investigations (Blue Ribbon), and environment and natural resources, "We have not concluded [our probe] on extortion on the part of the mayors and investigators will have to go back [to Mindanao]."

On the other hand, Mr. Soriano said they have cleared Hanjin of bribery based on testimonies of its officials.

Mr. Emano earlier claimed he was offered a P400-million contract by Hanjin Project Manager Guk Hyun Choi, but he later on recanted and said the amount was the cost to extract aggregates from the Tagoloan riverbed.

Both mayors snubbed yesterday’s hearing, saying the issue was deemed "moot and academic" since they have denied claims of extortion.

"It follows that if the alleged bribery and extortion did not happen, there is nothing more to investigate," said Mr. Uy in a letter to the Blue Ribbon committee dated May 12.

Meanwhile, Senior Superintendent Joel Napoleon M. Coronel of the Criminal Investigation and Detection Group and member of TAGOVILL said records would show that Hanjin did not have an environment compliance certificate before the project started in February. The permit was only applied for in May 5, thus "there might be a possible case to be filed against [Hanjin]."

Senator Alan Peter S. Cayetano, chairman of the Blue Ribbon committee, said the findings of the task force were "inconclusive" since these were based only on interviews and denials by Hanjin officials and the mayors.

"You have to show us that there are other factors that there was no bribe," Mr. Cayetano told Mr. Soriano.

Environment committee chairman Senator Pilar Juliana S. Cayetano said the investigation was "shallow" and "prematurely closed, especially" since the police admitted Mr. Choi was not investigated.

Hanjin President Jeong Sup Shim said in his letter that his company "has been and will be standing firm on its commitment to do things for the betterment of all concerned within the bounds of laws and international ethical standards."

Hanjin was also involved in a questioned project in Subic Bay, Zambales for allegedly violating environmental laws and failing to secure environmental compliance certificates before its residential condominium buildings that will house employees were constructed within a reservation. - BusinessWorld