NBI to probe charge Erap asked beauty queen to launder funds

The government will investigate money laundering by deposed President Joseph Estrada and his close associates as alleged by a former beauty queen, but the former leader’s spokesman dismissed the charge as mere speculation. Justice Secretary Raul Gonzalez on Monday ordered the National Bureau of Investigation [NBI] to look into the alleged “large-scale money laundering" conducted by Estrada and his close associates even prior to his impeachment trial in 2000. The Manila Standard Today newspaper quoted Joelle Marie Henson Pelaez, 29, that she was used as a dummy for P2.07 billion worth of securities, bonds, and other debt instruments by Estrada, several of his cronies and bank officials. "There was no direct link to him," Estrada’s spokesman Didagen Dilangalen said, adding the former president would issue a statement on the allegations once the rest of the four-part story is published, of which the first part was published Monday. Pelaez was second runner-up in the Binibining Pilipinas beauty contest in 1999. She is now based in California, USA. "Parang di kayo sanay sa mga diyaryo. It's a feature article. The Standard called me today for reaction, I said that is unfair! Ang headline, news, bakit binitin ninyo," the Estrada spokesman told GMA’s DZBB radio on Monday. (It's as if we haven't gotten used to newspapers. It's a feature article. When the Standard called me today for reaction, I told the editors what they did was unfair. The headline smacked of a big news story but why did they make it a multi-part thing)?" Pelaez claimed her signature was forged to open bank accounts and trade government securities worth billions of pesos. Gonzalez tasked NBI acting Director Nestor Mantaring to coordinate with the Anti-Money Laundering Council [AMLC] and check the veracity of Pelaez' allegations. "I am ordering you to investigate these allegations, starting with all those names mentioned in the [newspaper] article, in coordination with the [AMLC] and to submit your regular update on your investigation to this office," the DOJ chief said in his one-page memorandum to Mantaring. The former beauty queen named Estrada's purported "cohorts" as San Miguel Corp. president Ramon Ang; UCPB officials Lorenzo Tan (bank president at the time the transactions allegedly took place), chief executive Jeronimo Kilayko and vice presidents Alfredo Bautista and Rafael Bueno Jr.; and alleged Estrada cronies Jaime Dichavez, Jimmy Borromeo, and Robert Sobrepeña into the alleged "large-scale" laundering. Gonzalez said Pelaez' allegations could be used in the plunder and perjury cases filed by the government against Estrada. “It is firsthand story, it’s very detailed. We cannot just brush it aside," he said. Pelaez’ lead counsel, Dennis Funa, has asked the Philippine government to investigate the alleged laundering of government bonds and commercial papers. Pelaez also said she has filed a P500 million lawsuit against Estrada and his alleged cohorts who used her as a dummy and forged her signatures tolaunder billions of pesos through the United Coconut Planters Bank [UCPB] when Estrada was still president. Palace Spokesman Ignacio Bunye said Malacanang would await the results of the NBI investigation before commenting on the issue.-GMANews.TV