Ex-DOTr chief Tugade denies diverting P13B for country's air traffic system

Former Transportation secretary Arthur Tugade on Thursday answered the alleged diversion of P13 billion funds in 2018 which was supposedly for the communications, navigation, surveillance/air traffic management (CNS/ATM) system.

Facing the Senate public services committee investigation into the airspace shutdown last January 1, Tugade refuted a news report which claimed that there was P13 billion funds under the 2018 national budget which was supposedly for the CNS/ATM but was used for other purposes such as  the installation of electronic billboards and the concreting of parking spaces outside the Ninoy Aquino International Airport terminals.

"Ang sabi po nila may diversion of P13 billion. Una ho nag-isip ako. Saan nanggaling ang figure na P13 billion? Eh pagkaka-alam, kung proyekto at proyekto lang ang pag-uusapan, ang amount involved is around P10.3 billion. Nasan ang 2.7B? Hindi ko alam," Tugade told the Senate panel.

He added that the CNS/ATM project was funded by the Japan International Cooperation Agency (JICA).

"Wala ho sa amin ang pera. May proseso ho d'yan. Kung kailan ire-release whether ire-release ba ang pera sa DOTr, hindi po. Nire-release 'yan sa mga contractor. Sa ganoong pamaraan at 'yun naman ang panukala at pamaraan dito sa proyektong ito, wala pong pagkakataon o oportunidad man lang na mag-divert ka. Diretso 'yan napupunta sa mga contractor," he explained.

Tugade also denied the claim that the supposed P13 billion fund was from the 2018 General Appropriations Act, saying the Civil Aviation Authority of the Philippines (CAAP) is a government-owned and controlled corporation (GOCC) that has a separate budget.

"Ngayon ho, kung sasabihin mo na dinivert 'yung GAA, budgeted project, isipin ho natin na 'yung CAAP is an autonomous, independent body. GOCC may sariling budget ho 'yan na hindi ka pwedeng magpalipat-lipat dyan," he said.

"Criminal ho 'yan. Eh abogado rin ho naman tayo. Hindi naman tayo gagawa ng ganyan kalokohan," he went on.

The former Transportation chief recalled that there was around P120 or P180 million allocated for the CNS/ATM in 2018 but it was "precisely for maintenance, administration, security and operations."

Under the 2018 national budget posted on the Department of Budget and Management's website, the new CNS/ATM systems development project was allocated with 122.273 million.

It is the first time that Tugade appeared publicly to answer the allegations raised against him in relation to the CNS/ATM's shutdown which happened on New Year's Day.

He said he knew about the allegations through news reports and social media posts and the report "woke" him up in his "retirement moments."

"Alam ninyo 'yung salitang 'diversion' mayroong unsavory connotation 'yan para kang may ginawang ililipat mo 'yung pera at ginawa mong pondo para sa ibang mga project na dapat gastusin mo sa mga proyektong kinauukulan. 'Yun ho ang di magandang tema d'yan," he lamented.

Earlier, one of Tugade's lawyers, former DOTr undersecretary for administration services Artemio Tuazon Jr., spoke on behalf of the former to deny the allegations.

Tuazon said Tugade's legal team had already recommended filing charges over the allegations made in the report.

The Senate public services committee on Thursday launched an investigation into the fiasco that happened in the country's main gateway last January 1.

Philippine airspace effectively closed on New Year's Day due to technical issues at the CAAP's Philippine Air Traffic Management Center (ATMC).

At least 282 flights were canceled, diverted, or delayed, and some 56,000 passengers at NAIA were affected.

Tugade also recommended several improvements in the CAAP after its recent operations failed.

He said the civil aviation should limit its functions to regulation, while the airport operations must be left to the private sector.

The former DOTr chief also said that the CAAP personnel should be given higher compensation.

Tugade also advised to sign for a second service agreement.

Meanwhile, the CAAP budget approvals should be strictly looked over by the Congress.

He added that CAAP officials should also have a “holistic approach." —AOL/NB, GMA Integrated News