CEBU CITY — Progressive people’s organizations and community-based groups in Cebu demanded that the Philippine government drop terrorist financing charges against a Cebu-based consortium of non-governmental organizations.

Supporting people’s organizations in Visayas since 2001, the Community Empowerment Resource Network, Inc. (CERNET) has paused their services towards partnered organizations due to the terrorist financing charges filed in 2023.

CERNET was composed of nine NGOs in the Visayas regions. Registered with Securities and Exchange Commission (SEC) in 2001, it supported over 200 project partners in Leyte, Bohol, Cebu, and Negros Oriental.

According to a Bulatlat report two years ago, CERNET received a subpoena from the Department of Justice on August 13, 2023 accusing 27 former members, staff, and partner organizations (also called CERNET 27) of violating Republic Act No. 10168 (Terrorism Financing Prevention and Suppression Act of 2012). In the same report, Brig. Gen Joey Escanillas, commanding officer of 302nd Infantry Brigade, accused CERNET of engaging in a 60-40 scheme as 60 percent of the funds are allegedly diverted to the communist movement and only 40 percent reach the intended beneficiaries.

The subpoena was based on the criminal complaint Escanillas filed in May 2023 where he accused the CERNET 27 of delivering PhP135,000 (US$2,300) to the South Eastern Front (SEF) group of the New People’s Army (NPA). The initial complaint included three deceased persons and two residing outside the Philippines. In 2012, the SEF was officially designated as a terrorist organization in Dumaguete City.

Despite filing their counter-affidavits during the preliminary investigation in Cebu City on September 28, 2023, the DOJ filed the charges against CERNET 27 based on the initial complaint citing that CERNET made “available any property or funds, or financial services to a designated and/or identified person, organization, association, or group of persons as outlined in Section8 (ii) in relation to the Section 9 of the Terrorism Financing Prevention and Suppression Act (2012).”

Even before the complaint, members, partner organizations, and communities affiliated with CERNET were red-tagged. The red-tagging incidents became worse after the charges were filed. 

Cultural artist and spokesperson of Assert Development Initiatives (ADI) Armand Dayoha, in a May 2025 press conference, said that the “…growing attacks against developmental organizations and individuals results in the shrinking of civic spaces in Cebu.” ADI was organized in 2024 in response to the attacks experienced by CERNET.

Case like no other

International organizations were on high-alert after the filing of terrorist financing charges against CERNET. 

On November 15, 2024, United Nations (UN) Mandate holders published the letter they wrote addressed to the Philippine government regarding the case of CERNET 27. The letter was a joint communication from Mary Lawlor, Special Rapporteur on the situation of human rights defenders; Gina Romero, Special Rapporteur on the rights to freedom of peaceful assembly and of association; Ben Saul, Special Rapporteur on the promotion and protection of human rights and fundamental freedoms while countering terrorism; Reem Alsalem, Special Rapporteur on violence against women and girls, its causes and consequences; and Laura Nyirinkindi, Chair-Rapporteur of the Working Group on discrimination against women and girls. It was published after the Philippine government did not respond within the 60-day period indicated by the UN Mandate holders.

The communication outlined the allegations against CERNET 27 and the series of red-tagging incidents the accused continues to experience. The communication also expressed concerns about the dangers of red-tagging citing the Supreme Court (SC) July 2023 ruling that red-tagging is a threat “to life, liberty, and security.”

“The ‘red-tagging’ of human rights defenders by labelling them as ‘communists” or ‘terrorists’ and the portrayal of them and their work as a threat to national security, including through statements by police forces, both online and offline, is an issue of serious concern… [T]his practice seeks to delegitimise their activities, create misunderstandings about their work, and increase the risk of reputational harm, threats, and attacks against them,” the letter stated.

On May 18, 2025, Cebu City police office claimed that Ms. Estrella F. Catarata, one of the defendants, was “Top 1 Most Wanted Person in the Central Visayas,” as posted on its official Facebook page. This was not the first time Catarata was red-tagged. On 30 April 2024, during a press conference held by the Philippine Information Agency (PIA) in Dumaguete City, Negros Oriental province, Escanillas red-tagged CERNET and its member organisations, and labelled Catarata as leader of a communist terrorist group.

After the first hearing on February 04, 2025, SEC documents proved CERNET’s legitimacy. In a report by SunStar Cebu, legal counsel Susan Echavez said that the “SEC representative presented: one, Cernet’s article of incorporation; second, the bylaws; third, the general information sheets (GIS), from years 2011 to 2022 and then the audited financial statement.” In the same report, Echavez claimed that those legal documents do not support the alleged terrorist financing claims. 

In October 2023, CERNET received a “freeze order” of their Banco de Oro (BDO) bank account issued by the Anti-Money Laundering Council (AMLC). As a result, the operations of the consortium have been paralyzed. On May 20, 2025, SunStar Cebu reported that an AMLC witness failed to present documentary evidence to support the prior oral testimony linking CERNET 27 to terrorist groups for alleged financing.

The case of CERNET 27 is set for its second hearing this July 31, 2025. 

Partnered communities bear witness

Fisher Giovanni Gabuli said that the charges against CERNET are fabricated. Gabuli is chair of the Bacay Fisherfolk Association (BAFA) and environmental group Pundok Sagop Kalikopan (PSK) which used to be CERNET’s partner-organizations in supporting local communities in Minglanilla. “CERNET helped us fisherfolk in many ways. They helped us build projects like rice business, communal garden, fishpond, and more. They helped us stand on our own feet.”

The community suffers from the effect of reclamation projects in their coastal area due to commercial housing developments. But aside from their shoreline being affected by reclamation, natural disasters pose threats to fisherfolk’s livelihood like Gabuli. “In times of calamities like typhoons, us fisherfolk have a communal garden, fishpond, and rice business to go back to when we can’t sail the seas,” Gabuli said.

Being affiliated with CERNET as partner-organizations, Gabuli experienced threats. In an exclusive interview with Bulatlat on April 25, 2025, Gabuli expressed fears for his life as he was told he is on the NTF-ELCAC ‘watchlist’. He learned of this during a WASAR (Water Search and Rescue) Training which turned into interrogation led by the Philippine Navy personnel identified in a report by Aninaw Productions as Xerxes Mercadal Tablate, Jeric Canta, Neil Bryan Lerma, and Kent Stephen Liwag. On the night of March 10, Gabuli and his wife were informed by his family that nine uniformed Philippine Navy personnel arrived in front of their house allegedly tasked to clear his name from the ‘watchlist.” But to clear his name, he must sign legal documents. He did not agree.

Like Gabuli, Ursina Torregosa was also red-tagged for being a community leader associated with CERNET. Torregosa is chairperson of the Tipolo Residents Association, a local community organization in Mandaue City, Cebu. “When I declined the offer to convince me to disassociate with CERNET, he red-tagged me. I said I’m too old for that. That’s why we’re calling for the army to leave our community,” Torregosa said.

Tipolo Residents Association used to be CERNET’s project partners supporting community income-generating projects. “Most of the husbands of the women in the organization are construction workers. When in need, they borrow rice from us on credit and pay for it once they get their wages. It has been a big help,” Torregosa said. 

Belinda Allere, chairperson of Cebu Urban Poor Women’s League and representative of Gabriela Partylist Cebu, is one of the community leaders active in the campaign against Carbon Market Privatization and demolitions in the Cebu province. “During demolitions in Carbon, some of us were electrocuted and sprayed with water by the police. That’s why I speak up for basic human rights because it’s not easy when your home is taken away from you,” Allere said.

For Allere, CERNET volunteers empower the urban poor communities in Cebu. “We learned people’s management, finance management, basic human rights, and more. No one worked harder to teach us than volunteer doctors, professionals, and social workers who keep on servicing the poor, especially us women,” Allere said. “We will never stop telling people how CERNET helped us.” (RTS, DAA)