Press Release
December 22, 2008

Senate blue ribbon panel to subpoena Araos

The Senate blue ribbon committee will issue a subpoena against Ms. Mallyn Araos to explain her alleged involvement in the P728-million fertilizer fund project, especially on the bank account she reportedly opened for Feshan Philippines Inc.

Independent Senator Richard J. Gordon, committee chair, today ordered that Araos and the manager of Landbank Elliptical Circle branch be subpoenaed for the next hearing to provide information on the bank account where the payment for fertilizers bought from Feshan was deposited.

"We are going to subpoena Ms. Mallyn Araos, who is said to be the sole signatory of the account. And we're also going to subpoena the Landbank manager of Elliptical Circle branch to hear from them the details of this bank account," he said.

Gordon said Araos' testimony is important for the panel to find out where specifically the P105-million, which was supposedly the payment for fertilizers supplied by Feshan, went.

Marites Aytona, another witness in the fertilizer project, said Araos was her former employee and that the account was opened in March 2004 but she is not aware if it is still active.

The Commission on Audit's record shows that the government paid P105-million to Feshan, but Feshan president Julie Gregorio said they got only P50-million out of it.

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