Press Release
January 20, 2009

Gordon: "We have overwhelming evidence vs Paule"

Independent Senator Richard J. Gordon today said the Senate blue ribbon committee he chairs has gathered strong evidence linking businessman Jaime Paule to the P728-million fertilizer fund scam purportedly engineered by former agriculture undersecretary Jocelyn Bolante.

Gordon made the assessment despite Paule's testimony denying all accusations hurled against him by the other witnesses that he had orchestrated the scam.

"There are overwhelming pieces of evidence that he (Paule) had a hand in this project," Gordon said at the conclusion of the 7th public hearing which started at 10 am and ended at almost 7 pm yesterday at the Senate.

At the hearing, Paule denied he had ever entered into a contract with the Department of Agriculture (DA) even as he belied he knew Bolante and undersecretary Belinda Gonzales.

He also denied Marites Aytona's claim that it was Paule who introduced her to the National Organization for Agriculture Enhancement and Productivity, Inc., the foundation used as proponent in the DA's Farm Input-Farm Implement (FIFI) project.

Paule also refuted Leonicia Llarena's allegation that he tried to borrow money from her for a DA project that he was able to acquire.

Gordon, however, pointed out that Paule's denial of his involvement in the fertilizer fund scam is very weak as the testimonies of Aytona, Llanera and Jose Barredo all point to him as the central link between them and Bolante.

He added Paule's denial was further undermined by the testimonies of the three new witnesses, Marilyn Araos, Natalio Castillo Jr., and Joselito Flordeliza, who further implicated him to the fund scam.

Araos testified that Paule ordered her to open a bank account for Feshan Phils. at Land Bank - Elliptical Branch, while Castillo disclosed that the businessman approached him to finance the project for said the GMA program.

For his part, Flordeliza said Castillo referred him to Paule for the use of his foundation as proponent and subsequently recommended Aytona as consultant.

"We knew Paule would continue to hide the truth just as tenaciously as he tried to avoid showing up at the Senate. This committee will see to it that the rule of law will prevail, that the truth will come out and that those who stole from the government are charged, convicted and put in jail," said Gordon.

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