Press Release - Senator Risa Hontiveros on Confidential and Intelligence Fund, and Maharlika Investment Fund during the plenary debates of the 2024 General Appropriations Bill

TRANSCRIPT OF INTERPELLATION

Senator Risa Hontiveros (SRH): First on the withdrawal of the P75 billion LandBank and DBP Capital.

The good sponsor himself introduced a provision in the Maharlika Bill stating that the contributions of LBP and DBP to the equity and to the projects of the Maharlika Corporation should not exceed 25 percent of the net worth of these banks. Do we know if we might need to infuse equity into DBP and LandBank because of the possibility that this 25 percent limitation might already have been breached when DBP and LandBank wrote P75 billion worth of checks for the Maharlika Corporation?

Senator Sonny Angara (SAA): I'm told the answer is no because the contribution in percentage terms of the two terms is 3 and 4 percent, respectively, still far from the 25% threshold that we... thank you for reminding us about that.

SRH: Yes, nasa batas mismo. Thank you, Mr. Chair, of course you're very welcome so the answer is we need not to infuse equity because allegedly, we are way below the 25% limit. We would like to impose the burden of proof not on the Sponsor but on the DoF, the Land Bank and the DBP. Could we ask LBP, DBP and the DoF Secretary to submit a report demonstrating their compliance with this 25 percent limitation, even after they have conveyed their P75 billion equity to the Maharlika Corporation?

SSA: They will do that.

SRH: Thank you. I wonder, Mr Chair, ang batas po ba at yung IRRs noon pinapayagan ba yung infusion nitong total na P75 billion papasok sa Maharlika Corporation na gawin on an installment basis para halimbawa ang Kongreso hindi kailangang mag-infuse ng capital talaga sa LBP and DBP sa 2024 at para talaga yung 25 % rule hindi malalabag which we will assess based on the report at para yung mga impirtanteng kliyente ng Landbank at DBP ay maseserve talaga?

SSA: The P75 billion is the initial funding so according to treasurer Lea, now with the monetary board, that the law provides that must be provided immediately

SRH: So hindi, therefore, hindi po siya pwedeng iinfuse on installment basis.

SSA: I've been told it's not possible because the law is clear.

SRH: So and since it is not possible at ito ang premise ko kasi dito sa