Philippines Web Activists Show Power of Internet Campaigns

MANILA – Philippine President Benigno Aquino III's move to abolish lawmakers' discretionary-spending budgets amid a growing corruption scandal points to how Internet campaigns can help root out graft allegations and, business groups here hope, strengthen the country's economy.

Mr. Aquino said Friday he would abolish so-called pork-barrel funds after a monthlong groundswell of anger stirred by reports in the Philippine Daily Inquirer newspaper and across social media about how millions of dollars had allegedly been allocated to dubious or fictitious development projects.

About $140 million allocated to several legislators was diverted over three years to questionable groups and projects – many of them allegedly linked to businesswoman Janet Lim Nopales, the government's Commission on Audit said on Aug. 16. A court has issued a warrant for her arrest. Her attorney couldn't be reached for comment, but she has previously denied wrongdoing.

Mr. Aquino initially had been cautious about taking action to overhaul the so-called pork-barrel fund. Philippine presidents previously have used these discretionary local spending budgets to ensure the support of lawmakers for national government programs.

But as pressure for him to take action rose and activists took to the Internet to plan a large demonstration at a central Manila park Monday, Mr. Aquino intervened, describing the revelations as "shocking" and vowing to eliminate the fund, formally known as the Priority Development Assistance Fund.

Mr. Aquino said funding for local projects next year will come from the national budget, and added that his government would soon begin negotiations with congressional leaders on opening legislative spending to competitive tenders and posting bids online before he signs the new system into law.

The Philippine government's willingness to improve transparency in response to Internet-based campaigns is in contrast to the situation in some neighboring countries, where governments in many instances are cracking down on the way activists can use the Web to organize and focus dissent.

In Communist-run Vietnam, new rules take effect Sept. 1 prohibiting Internet users from posting news articles on blogs – a move that authorities say will protect intellectual property but that Internet companies such as Google Inc. fear will stifle a growing Web culture. Thai authorities have questioned Internet users for politically related Facebook posts.

In the Philippines, though, campaigners last year thwarted parts of a proposed new law that could have limited Internet freedoms. Activists again used the Web to build support for Monday's march, which, after Mr. Aquino's move to abolish the alleged pork-barrel spending, will keep up the pressure on prosecutors to bring alleged perpetrators to justice.

Business groups in the country quickly applauded Mr. Aquino's move, arguing that it would likely buttress his efforts to tamp down corruption and bolster the Philippines' economy.

Mr. Aquino has made fighting corruption the cornerstone of his presidency, introducing transparent bidding procedures for government contracts and adopting measures to rebuild business confidence in the country that was once notorious for graft. His initiatives appear to have paid off, reviving business sentiment and helping the Philippine economy expand an annualized 9.1% in the first quarter of the year.

Business leaders also pointed out that without a free Internet and press, the pork-barrel scandal might not have come to light.

"Taking into account the crucial role of the press in bringing this issue into the national spotlight, as well as facilitating public discourse and involvement, the PDAF controversy illustrates to us the power of information as a check on abuses in government," said a statement Friday from the country's largest business groups, including the Makati Business Club and Employers Confederation of the Philippines.

The groups also urged the Aquino administration to take a further step by backing proposals in Congress to introduce a freedom of information law to make it easier for the public to get access to government data and other information.

"We believe that this piece of legislation, complemented by ongoing reforms in the management of public funds, will indeed institutionalize the highest standards of transparency and accountability that should bind current and succeeding administrations," the statement said.