Scandal Involving Estrada Funds Roils UP

It involves a very large sum of money (P15 million) from Malacaņang. It allegedly involves Raul de Guzman, former President Estrada's brother-in-law. It involves a foundation put up by a former student regent in the mold of the Erap Muslim Youth Foundation.

By IRIS CECILIA GONZALES

The scandal involves a very large sum of money (P15 million) from Malacaņang. It allegedly involves Raul de Guzman, former President Estrada's brother-in-law. It involves a seemingly dummy foundation put up a la Erap Muslim Youth Foundation.

Hannah Eunice Serana, the former student representative to the University of the Philippines Board of Regents, is now in hot water for allegedly embezzling P15 million from former President Estrada's Social Fund during her term. The money was intended for the renovation of a student-run building in the UP Diliman campus.

Well-placed sources in the university revealed to Bulatlat.com that Serana was able to get the nod of Estrada to release the solicited P15-million after approaching Raul De Guzman, Estrada's brother-in-law, a UP alumni and a fraternity brother of former Executive Secretary Edgardo Angara at the UP Sigma Rho Fraternity. 

To sweeten the deal with the vain Estrada, Serana had intended to rename the renovated annex of the Vinzon's Hall into the President Joseph Estrada Student Hall.

Charges

The UP community was shocked that the scandal involves the student representative, raising concerns that while the university breeds the best and the brightest, it also breeds the worst among its student population.

Graft charges were to be filed last Tuesday against the 22-year-old senior political science student of UP Cebu before the Ombudsman. The complainants are the incumbent Student Regent Katherine Bugayong, a 24-year-old Women's Studies graduate, and incumbent student councilor Jill de Guzman. They are represented by Marichu Lambino of the Public Interest Law Center.

Bugayong confirmed in an interview that charges were readied against her predecessor but refused to divulge details of the case. She hinted though that the charges would be for violation of the Anti-Graft and Corrupt Practices Act governing public officials. Being a member of the Board of Regents and duly appointed by President Estrada, Serana was considered a public official. If found guilty, Serana could be imprisoned for
not less than six years but not more than 15 years.

UP President Francisco Nemenzo has tasked a two-member panel composed of law professor Marvic Leonen, the university's general counsel, and Prof. Martin Gregorio, vice-president for administration, to investigate the culpability of Serana.

According to sources in UP, Serana received a P15-million fund from President Estrada intended for the renovation of the Vinzon's Hall, which houses the offices of various student organizations including the Philippine Collegian, the University Student Council and the Office of the Student Regent. Four months after the money was released, however, no renovation had been done in any part of the building.

Bugayong said they only discovered the financial mess when the Presidential Management Staff called the Office of the Student Regent to inquire about the project. 

Bugayong also revealed that, under a memorandum of agreement, the renovation project, with a total cost of P38 million, was supposed to be awarded to A.M Oreta, the construction company owned by the family of Sen. Tessie Aquino-Oreta, one of Estrada's staunchest supporters during the impeachment trial.

Documents show that the money was released on October 24, 2000. A disbursement
voucher and an acknowledgement receipt bearing Serana's signature indicate that she received the check from the Office of the President.

The Land Bank of the Philippines check was made out to a private foundation called Student Welfare and Programs Foundation headed by Serana and was encashed at the bank's Malacanang branch the day after it was released. Curiously, the incorporators of the foundation, which was originally called the Office of the Student Regent Foundation, were allegedly members of Serana's family.

The de Guzman connection

Two years ago, de Guzman intensely lobbied for Estrada to appoint one of his fraternity brothers, law student John Pineda, as student regent. However, the student regent at the time, Dennis Longid, discovered the plot and immediately informed the UP administration as well as the students about it. The deal was junked after the students launched a series of protest actions.

De Guzman is the same person tagged as behind, along with Estrada, the formation of the Erap Muslim Youth Foundation, which, according to the prosecutors of the Senate impeachment trial, was used to launder jueteng and other illegally acquired money. De Guzman was the foundation's chairman while its incorporators and officers are known to be his or the President's friends.

De Guzman, as well as Sen. Oreta, are members of the Board of Regents. Under the law, the heads of the House and the Senate committee on education automatically become members of the board.

Serana has yet to surface to explain her role in the scandal. Friends said she has not been seen for a while. Her family in Cebu told Bugayong that Serana was in Manila.

The student regent is the representative of UP's 50,000 students. She or he is involved in formulating the university's policy and is expected to promote and protect the students' welfare at UP's highest policy making body. #