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		Day 21	January 12, 2001
		------------------------------- 7: 40 p.m. Tatad moves to suspend trial until 2 p.m. on Monday. Motion is granted. Day 21 of the Estrada impeachment trial comes to an end. Trial is in recess until 2 p.m., Monday, Jan. 15. ------------------------------- 7: 39 p.m. Yasay is excused. Tatad moves for approval of Senate journal. Motion is approved. ------------------------------- 7: 37 p.m. Davide says anyway Yasay would continue his testimony on Monday, remarking that next week they would have hearings even on Saturday to follow the schedule. Arroyo then manifests that it is not the prosecution causing the delay. Prosecutor Rep. Sergio Apostol then asks Davide to remind witnesses scheduled to testify today to come back on Monday. ------------------------------- 7: 35 p.m. Arroyo says they could follow the procedure adopted for the first envelope, with the court marking being placed on the documents inside. Mendoza complains that just as they were looking forward to Thank God It’s Friday, the prosecution was filing its motion now and the defense would have to work tomorrow. ------------------------------- 7: 31 p.m. Tatad is about to speak but prosecutor Arroyo is recognized. Arroyo proposes if the second envelope could be opened. Davide says this would be on Monday. Defense counsel Mendoza, however, says they would object to the motion. ------------------------------- 7: 30 p.m. Defense counsel Daza says they would stipulate. The exhibit has been pre-marked Exhibit SSSSSSSSS. Davide says they could now dispense with the oral testimony of the witness, Eleanor Madrid. ------------------------------- 7: 28 p.m. Prosecutor Gonzalez is recognized. He asks about LTO document stating Eleuterio Tan’s license number does not exist. He informs court that LTO officer is here and asks if they could stipulate so that the witness does not have to return with the document. ------------------------------- 7: 26 p.m. Pimentel is recognized. He puts on record the Senate sergeant-at-arms’ compliance with order to investigate the death threat against Cayetano. ------------------------------- 7: 25 p.m. Finally, Davide notes submission of medical record of Raul de Guzman, who is now confined at the Our Lady of Lourdes Hospital. He reads the body of the letter and the diagnosis. The letter concludes that the present condition of De Guzman precludes him from testifying. ------------------------------- 7: 22 p.m. Davide notes document stating that Eleuterio Tan’s license number does not exist in the Land Transportation Office records. ------------------------------- 7: 20 p.m. Davide continues noting documents. He notes motion Coseteng filed against Gonzalez, asking him to respond and say why he should not be cited for contempt. Davide says Gonzalez has five days from today to file a formal response. ------------------------------- 7: 18 p.m. Tatad is recognized. He says there is a not-too-subtle hint for a continuance. Davide then notes documents for the record, including letters from Rosanna Tuason-Pores and Bettina Araneta-Aboitiz, two of the spectators excluded from court. ------------------------------- 7: 16 p.m. Daza informs the court that it would take them about an hour to set up the audiovisual equipment they need for certain documents. He says it is up to the court to decide if they would begin cross-examination on matters that would not require the equipment or defer the cross-examination altogether until Monday. ------------------------------- 7: 15 p.m. Trial resumes. ------------------------------- 6: 49 p.m. Tatad moves for a 30-minute break. Davide asks if prosecution has finished direct testimony. Gonzalez says he would still take about 30 minutes. Trial is in recess for 30 minutes. ------------------------------- 6: 47 p.m. Gonzalez then asks if Yasay knows a certain Eva Lisbo. Yasay says he knows Lisbo because she is member of the church where Yasay worships. Gonzlez says he is asking because of media reports that Tan is claiming he bribed Yasay through Lisbo. Daza objects. Drilon then says he does not recall Tan testifying and adds that it is close to their regular break. Davide sustains objection. ------------------------------- 6: 43 p.m. Yasay explains he had no intention to set them up but says they might feel that way. He says he did not mention this because Tan told him the meeting was instructed by the President. He says he was afraid they would not attend. Enrile then asks if prosecution is impeaching its own witness but Gonzalez says they just want witness to comment on this. Davide notes the defense did not object and Daza says defense was happy questioned was asked. ------------------------------- 6: 42 p.m. He says Almadro then said that they have strong evidence. Yasay says if that was the case then they should proceed. Gonzalez then asks about Yulo's feeling that he was set up because they were not informed Tan would be present. ------------------------------- 6: 40 p.m. Yasay says when Ruben Almadro arrived, he and Yulo talked about pressure being exerted on them to clear Tan. Yasay says Yulo was saying they did not have strong evidence against Tan. He says he then told Yulo that if they did not have strong evidence, then they had no choice but to clear Tan. ------------------------------- 6: 39 p.m. Gonzalez then asks about Ciudad Fernandina meeting. Yasay recounts he told Yulo that Tan would be arriving. ------------------------------- 6: 37 p.m. Yasay says he did not hold exit conference with the media because he had an agreement with the President. He said the President promised that he would no longer talk about pressuring Yasay to resign and about Yasay’s resignation. Yasay said that his decision to resign was voluntary, notwithstanding the pressures. ------------------------------- 6: 35 p.m. Yasay says he asked the President about Trade Secretary Jose Pardo’s statement that “ilalaglag si Dante Tan.” He says the President replied: “No, no, hindi ko ilalaglag si Dante Tan.” ------------------------------- 6: 32 p.m. Daza objects that Gonzalez is asking about non-BW-related matters. Davide reminds prosecution of agreement. Gonzalez asks when Yasay tendered his resignation. Daza objects that this was already answered last night but after lengthy discussion Davide allows question. Yasay says he resigned in the first week of 2000. Gonzalez asks if he spoke to the President when he submitted resignation. ------------------------------- 6: 30 p.m. Prosecutor then asks about time businessman Jaime Dichaves accompanied Yasay to the Palace. Yasay says the President whispered to him within earshot of then Executive Secretary Ronaldo Zamora that any instructions from the President regarding SEC would be coursed through Dichaves. Camera catches Cayetano and Flavier in animated discussion. ------------------------------- 6: 28 p.m. Yasay says Tan stayed in the SEC office for about thirty minutes. He says Tan nodded when Yasay said he should not be afraid if he has nothing to hide. He says, however, Tan remained silent, then stood up and said: “Ipaabot ko na lang ito kay Pangulo.” ------------------------------- 6: 26 p.m. Gonzalez asks about other calls President made. Daza objects. Objection is sustained. Prosecution then proceeds to visit of Dante Tan. ------------------------------- 6: 25 p.m. Yasay says he informed the SEC en banc and they decided to raise the trading band to 15 points up. He says he then wrote new order to the PSE. He says the PSE had no choice but to obey. ------------------------------- 6: 23 p.m. Yasay says he talked to Yulo and Yulo affirmed the talk with the President. He says on the fifth call, the President asked about the trading band reduction. He says the President insisted that the trading band should be raised. ------------------------------- 6: 20 p.m. Yasay says the President then called him up again about thirty minutes later and said: “Kinausap ko na si Mr. Yulo at pumayag siya sa lahat nang sinabi ko. So pakisabi kay Mr. Yulo siya ang magiging kawawa sa akin.” He says the President gave them three days to clear Tan and finish investigation. Yasay then says the President again hung up on him. ------------------------------- 6: 16 p.m. Yasay says he received a third call from the President on Nov. 17. He says the President was very angry and asked: “Ano ang nagyari sa imbestigasyon niyo sa BW?” Yasay says he explained they finished preliminary investigation. The President then asked: “Paano yung mga nasangkot sa BW investigation.” Yasay says he told the President this up to PSE which was conducting investigation. He says the President said: “Aba hindi puwede yan. Di ba sabi ko bilis-bilisan na niyo.” Yasay then says he suggested that the President talk to Yulo. Gonzalez asks what happened next. “Well, the President sort of hung up on me,” Yasay replies. ------------------------------- 6: 15 p.m. Davide explains they would take judicial note of the Senate committee records. Stipulation is accepted. “The court would like to commend both of you for shortening the direct examination,” Davide says. ------------------------------- 6: 12 p.m. Gonzalez asks how Roco reacted and Yasay says Roco told Yasay he was sunder legal compulsion. Camera focuses on Roco. Gonzalez asks if Yasay testified. Witness affirms. Daza says he would take the initiative and proposes to stipulate on the Senate committee hearing. Davide remarks it is a sound offer. Gonzalez says stipulation is acceptable but says he supposes they cannot stipulate on questions and answers given. ------------------------------- 6: 10 p.m. Gonzalez then asks about Yasay’s reaction to the memorandum. Yasay says he believed the President overstepped his bounds. Yasay then says there was a Senate hearing the following day. He says that he decided to go to Senate hearing and told the committee chair, Senator-judge Roco, that he could not testify. ------------------------------- 6: 07 p.m. Gonzalez asks what was Yasay’s feeling when he received the memorandum. Daza objects that there is no materiality, saying Gonzalez is asking about feelings. “You’re asking about the feelings of the witness. The witness is here to give facts, not feelings,” Davide says. He tells prosecution not to ask question in that manner. ------------------------------- 6: 05 p.m. He says later that day the President called him up again in a good mood. Yasay says the President said he talked to Dante Tan and Tan said he lost money. Yasay says this was the first time he heard Tan lost millions in BW. He says the President said that Tan was not at fault and told Yasay: “Bilis-bilisan niyo ang investigation.” ------------------------------- 6: 03 p.m. Yasay says he explained his side. The President then asked why the price drop happened. Yasay says he informed the President that apparently there was stock manipulation. He says the President then asked: “Bakit, sino ang nag-manipulate?” Yasay says he said this is what they would investigate. ------------------------------- 6: 01 p.m. Yasay says the President called him at the SEC office. He says the President lambasted him for stating that BW would be investigated. He says the President said that Yasay’s statement scared off investors and caused BW price to drop. ------------------------------- 6: 00 p.m. Yasay explains that Yulo then said that they were narrowing the trade bandwidth. Gonzalez then asks Yasay if the President talked to him again about his performace as SEC chair. ------------------------------- 5: 57 p.m. Yasay then says Yulo said the obligation was only met on the settlement because the President convinced brokers to return profits. Even then, he says the payment was supposed to be made at 11 a.m. on the settlement date but they were only given the money close to 2 p.m. “So in effect, your honor, there was a technical collapse of the market,” Yasay says. ------------------------------- 5: 54 p.m. Yasay says he then talked to then PSE president Jose Luis Yulo and had a breakfast meeting with him. He says Yulo told him that because of the stock movement, the brokers who bought shares before BW drop now owed P1.2 billion. He says Yulo informed PSE only had P90 million. ------------------------------- 5: 52 p.m. Yasay explains Macau investor Stanley Ho arrived that day and it was announced that he would invest in BW. When nothing happened, the price dropped tremendously. Gonzalez then asks what SEC did. Yasay says it increased investor wariness because there were no disclosures to warrant price increase. ------------------------------- 5: 50 p.m. Yasay says after he received memorandum, a short time later in October 1999 he was informed of certain irregularities involving BW. Defense moves to strike because it is hearsay. Yasay then says on that day, BW shares rose to P107 per share and the next day dropped tremendously. ------------------------------- 5: 48 p.m. Yasay says the SEC investigation proceeded after he refused to implement memorandum order. Perez then asks what was happening to the stock market while memorandum was issued. Daza then reminds prosecutor to refer to the exhibit number instead of just saying memorandum for the benefit of the court. ------------------------------- 5: 45 p.m. Gonzalez asks about thrust of the letter. Yasay says he informed the President that he would not implement the order because he believed it is against the law. He says he informed commission en banc about his decision and that he would take full responsibility if the President gets mad. ------------------------------- 5: 44 p.m. Daza says to save time they would stipulate on documents. Gonzalez gives exhibit numbers and Daza stipulates. ------------------------------- 5: 42 p.m. Yasay says he questioned the legality of the memorandum. Gonzalez then shows him Exhibit SSSSSSS, which he identifies as letter he sent to the President on Sept. 1999. ------------------------------- 5: 40 p.m. Gonzalez then asks if there were ongoing investigations when memorandum was issued. Yasay says there were. Gonzalez then asks if he knew of an SEC investigation on BW and Yasay he believes there was already one at the time. ------------------------------- 5: 37 p.m. Yasay explains that these are related to the SEC investigation. Yasay says this memorandum order had changed the powers of the SEC Prosecution and Enforcement Division to investigate under PD 902-A by saying it cannot proceed unless the SEC convenes en banc as a collegial body. ------------------------------- 5: 36 p.m. Prosecutor Raul Gonzalez asks Yasay to identify Exhibits RRRRRRR-1, RRRRRRR-2 and RRRRRRR-3. Witness affirms he received the President’s Memorandum Order No. 73 and that these are the documents. ------------------------------- 5: 35 p.m. Next witness is Yasay. Yasay takes witness stand. ------------------------------- 5: 33 p.m. Defense counsel Jose Flaminiano asks if witness can be discharged from his duties. Davide says that is precisely what he was about to do. Espiritu is excused. ------------------------------- 5: 32 p.m. Davide points out the answer will not be part of the record. Prosecutor Rep. Joker Arroyo is recognized. He says it is up to the witness if he wants to answer. He points out the security of the witness. He notes this morning the President’s men approached with one witness and turned hostile. ------------------------------- 5: 30 p.m. Roco points out he was not pressing issue but it was the court which said witness should answer. He says he does not understand why they are afraid when they are going against the highest official in the land. Revilla then says if witness wants to answer, he can answer. Davide says witness may refuse. ------------------------------- 5: 28 p.m. Prosecutor Perez then pleads that Drilon withdraw the question. Drilon withdraws. Roco then says his question was independent. He says court is entitled to an answer. “Unfair to the court or to the witness?” Davide asks. “Unfair to me.” Roco replies. ------------------------------- 5: 26 p.m. Jaworski explains that this is not proper forum. Jaworski then tells Revilla: “I hope you will not recall my wife.” Revilla says he insists that Espiritu answer Drilon's question. Defense counsel Estelito Mendoza then objects that this is not part of trial. ------------------------------- 5: 23 p.m. Tatad is recognized. He says he is asking question to be withdrawn. Davide says it is Revilla who asked. Roco then says as a point of order Revilla deserves an answer. Senator-judge Robert Jaworski is recognized and says with respect to his father-in-law Revilla, this is unfair to the witness. “We should not make it a family affair,” Davide says as crowd laughs. ------------------------------- 5: 20 p.m. Witness, looking very uncomfortable, prepares to answer. Santiago says she is concerned over the reluctance of the witness. She says if witness is compelled, then they could vote on it. Davide sys it was Revilla who prevailed upon his nephew. Santiago says he just wants to point out witness has a choice. Camera focuses on witness, looking nervous and holding on to a cross with his left hand. ------------------------------- 5: 19 p.m. Davide asks if Roco would insist. Rocos says he leaves it up to the witness, then says go ahead. Revilla is recognized and says he is asking his nephew to answer. ------------------------------- 5: 17 p.m. Senator-judge Roco is recognized. He says he cannot understand witness’ reluctance to name smuggler when he is going against the President. “Your honor nabanggit ko sa Presidente ‘yan,” Espiritu says. Roco says witness does not have answer because he refused. “Kung gusto niyo po, sasagutin ko,” witness says. ------------------------------- 5: 15 p.m. Senator-judge Anna Dominique Coseteng is recognized. She asks why Espiritu did not do anything if he knew the President was doing something wrong. Witness explains that he advised the President 50 times but there were things beyond his control. He says this is why he resigned, adding that when he joined the Estrada team, he was sincere in belief in the program to help the poor. ------------------------------- 5: 13 p.m. She explains Tagalog is an equivocal language, citing “Bahala na” as an example. She says this could mean several things. She notes that witness was very careful and displayed intellectual honesty, saying that when the President said he made a lot of money out of BW, he said it might have been that the President was a shareholder or someone was buying stocks and giving the President money. Witness affirms. Santiago says she just wanted to call attention to that. ------------------------------- 5: 11 p.m. Senator-judge Santiago is recognized. She begins by saying she is not related to the witness. ------------------------------- 5: 09 p.m. Pimentel asks who owned the safehouse where Espiritu stayed during the presidential campaign when he said he met Dante Tan. “Si Lucio Tan po,” witnesss replies. Pimentel is shown wincing. ------------------------------- 5: 08 p.m. Pimentel is recognized. He notes Espiritu’s reluctance to name the alleged smugglers. Pimentel asks if this means Espiritu is more afraid of this person than he is of the President. Witness explains many die because of these smuggling activities. Pimentel says if this means he is afraid that the smugglers would do him in, but believes the President would not harm him. Witness says he has faith in the impeachment process. ------------------------------- 5: 05 p.m. Enrile then asks who was the SEC chair at the time. Witness replies it was Yasay. Enrile asks why Yasay allowed listing and if the President had anything to do with that. Witness says he would not know since he was not yet Finance Secretary at the time. Enrile asks if witness knows the President’s share in BW. Witness replies no. He also says he would not know Tan’s share. Enrile asks if this means they only his statement that Tan and the President were partners. Witness affirms he has no documents. ------------------------------- 5: 03 p.m. Senator-judge Enrile is recognized. He asks witness if he knows when BW was listed in PSE. Witness says he is not aware of exact date but says it would coincide with the listing of the company BW acquired in a “backroom” arrangement, meaning backdoor listing. ------------------------------- 5: 00 p.m. Senator-judge Ramon Magsaysay Jr. is recognized. He asks about Espiritu’s stint with Metrobank. Magsaysay then says witness talked about fundamentals in banking. He asks if he would have approved P600-million loan to BW if he were PNB president. Witness says he would not have. Magsaysay then asks about PNB loan but defense objects that the witness cannot testify yet on the PNB documents. ------------------------------- 4: 57 p.m. Uncomfortable silence. Davide asks for the answer of the witness. Drilon says he would not ask for the answer anymore. “Mahirap po ‘yan. Buhay po ‘yan,” Espiritu says. Drilon then asks him to name the person EIB caught. Witness again is silent. “Mahirap po rin ba ‘yan?’ Drilon asks. “Mahirap rin po,” witness replies. Davide asks if Drilon would insist on an answer. Drilon says he would not as the witness has already taken a lot of risks. ------------------------------- 4: 54 p.m. Senator-judge Franklin Drilon is recognized. “Kanina po may sinabi kayong kaibigan ng Pangulo na kasama sa listahan ng smuggler. Sino po ‘yan?’ Drilon asks. ------------------------------- 4: 51 p.m. Osmeña then asks about witness’ statement that the President got angry with Mark Jimenez, Wilson Sy and William Ocier. Witness explains the President wanted the three to return their profits to compensate. Osmeña asks what they were supposed to compensate. “Yun pong lugi nila,” Espiritu replies. “Nila? Sino pong ‘nila’?” “Sila pong dalawa. Ni Pangulo at ni Dante Tan,” witness says. ------------------------------- 4: 48 p.m. Senator-judge Sergio Osmeña III is recognized. He asks witness to explain Tan’s statement that he lost money over BW. Witness explains that after BW stocks plummeted, Tan said he spent P2 billion to support drop of shares. Osmeña asks why Tan still bought shares when price was dropping and witness replies he does not know. ------------------------------- 4: 46 p.m. Witness explains that President asked for courtesy resignations of PNB directors and that four were replaced. “Are you saying this is indicative of the power of the President over the PNB directors?” Biazon asks. Witness says yes, saying the President nominates the director. “So you mean the President can influence the grant of these loans?” Biazon asks. “Tama po ‘yun, your honor,” witness replies. ------------------------------- 4: 44 p.m. Senator-judge Rodolfo Biazon is recognized. He asks who approved PNB loan and witness explains it is the 11 board directors. Biazon asks if at the time any of these members were appointed by the President. Witness says all board members were appointed by the President. ------------------------------- 4: 42 p.m. Cayetano asks if it is true that witness is a relative of Senator-judge Revilla. Witness affirms, saying Revilla is the brother of his mother. Camera focuses on Revilla smiling, then going over papers. Witness says he consulted Revilla before testifying. ------------------------------- 4: 40 p.m. Cayetano asks witness to repeat President’s statement about earning a lot from BW. He then asks witness to comment on Maceda’s claim that Espiritu is sour-graping. Witness says he did not make decision lightly. Espiritu says he made the decision to testify for God, country and future generations of Filipinos. ------------------------------- 4: 38 p.m. Witness again talks about visits made to him by government officials, offering to help his son in the Westmont case. Cayetano asks what impression witness got. Espiritu says he got the impression he was being pressured not to testify. ------------------------------- 4: 35 p.m. Cayetano asks about the President’s call during Christmas season, before Espiritu was about to leave country. “Ang impresyon ko po, ‘wag akong mag-testify,” witness replies, adding after a long pause, “Yun po ang pakiusap niya, pero wala pong direct order.” ------------------------------- 4: 34 p.m. Witness again says later events gave him indication that the President was part of BW. Cayetano is recognized. ------------------------------- 4: 31 p.m. She asks if loan was for company or because of falling BW stock price. Daza objects witness is giving opinion and is sustained. “Maiba na po tayo para hindi magalit si defense counsel Daza,” Legarda-Leviste says. “Hindi po ako nagagalit. Alam ko pong meron kayong tungkulin,” Daza says. “I could see you were agitated,” she says. Daza is explaining but Legarda-Leviste cuts him off: “You’re eating into my time.” ------------------------------- 4: 30 p.m. Legarda-Leviste asks if BW was registering net loss at the time of the loan. Witness affirms it was in bad financial shape. She then asks how they were able to get a credit window for a P600-million loan. ------------------------------- 4: 28 p.m. Guingona asks if PNB loan is connected to rise in BW stock. Witness says he cannot say because loan was granted in July. Senator-judge Loren Legarda-Leviste is recognized. She asks who was head of the PNB during this time. “Si Benjie (Benjamin) Palma po, your honor,” witness replies. Daza objects but is overruled. ------------------------------- 4: 25 p.m. Guingona is recognized. He asks if Constitution prohibits the President from being business partner. Witness says Constitution is very clear about this prohibition. Guingona then asks if the President is also prohibited from making calls to the Philippine Stock Exchange defending Tan, because this is self-interest. Witness affirms. Witness connects this scandal to near-collapse of stock market. ------------------------------- 4: 21 p.m. Tatad then asks if the President was joking when he said “Ed, Malaki na ang kinita ko sa BW.” Espiritu says he did not want to believe it at first. Tatad says it is possible the President just played in the stock market. “May mga senador pong kumita dahil nagbenta,” Tatad says. Tatad ask if witness has any other proof the President was Dante Tan's partner. Witness says he heard it from the President. Tatad asks if President should not play in stocks. Espiritu affirms and says he also did not. Tatad then asks if senators can. Witness affirms. ------------------------------- 4: 17 p.m. He says he is not aware of bank run Maceda is talking about. He says that the bank run was in 1997, when the Ramos administration accused Allied Bank, Westmont and Security Bank of economic sabotage because they were charging highest interest rates. He says it is also not true his family owns Westmont. He says his original holdings do not go beyond 10% and the Commission of Appointments knows he divested shares. To the charge that he transferred shares to his son, he says it was just 1% so his son would qualify as director. ------------------------------- 4: 15 p.m. Espiritu talks about his PNB record that during his time the PNB had more money than San Miguel. He then talks about Westmont Bank, of which he was president. He talks about the restucturing of the bank. ------------------------------- 4: 12 p.m. Tatad is recognized. He asks about Espiritu’s resignation. Witness says that Maceda said that he was supposed to be removed from office in November. He talks about PNB’s privatization and Lucio Tan's wish to merge it with Allied Bank. He says that when he registered opposition to the merger, the President told him: “Kung gusto merger, Ed, kung ano ang gusto ni Lucio, yun ang gawin mo.” ------------------------------- 4: 11 p.m. Witness then talks about offer of help in the his son's case with Westmont. He says Executive Secretary Edgardo Angara offered help, but Espiritu declined. He says last Wednesday, also said Carmelo Santiago went to his house. He cites other instances and says together with presidential spokesman Ernesto Maceda’s statement these seem to be connected. “Thank you for your material and relevant reply,” Flavier says. ------------------------------- 4: 07 p.m. Espiritu talks about rampant smuggling at Customs. He adds that apparently the Economic Intelligence and Investigation Bureau was abolished because the person it caught was a friend of the President. Flavier then asks about pressure the President supposedly exerted on witness not to testify. ------------------------------- 4: 04 p.m. Flavier asks Espiritu to explain the "grave reasons" for his resignation. He says that the President’s relatives and friends were appointed to government positions, such as in the Bureau of Internal Revenue and Bureau of Customs (BOC). He said what is even more sad is that the appointments were coming to him straight from Malacañang. ------------------------------- 4: 01 p.m. “I made a note to the Chief Justice that I would make my questions in writing, because oftentimes he cannot see me when I raise my hand,” Flavier quips. Crowd laughs. ------------------------------- 4: 00 p.m. Davide says Senator-judge Juan Flavier made a reservation earlier. “Since the honorable Senator-judge Flavier is not around… oh, you’re on time. You’re just on time,” Davide says as Flavier arrives. ------------------------------- 3: 59 p.m. Trial resumes. Prosecution requests for two minutes so Perez can return. Daza says they would not cross-examine. ------------------------------- 3: 26 p.m. Daza says before beginning cross-examination he would ask for 10-minute break to confer with his colleagues. Tatad says it is close to the regular break and moves to suspend trial until 4 p.m. Trial is in recess until 4 p.m. ------------------------------- 3: 24 p.m. Perez says in comparative documents of BW’s financial condition, BW’s capital was P43 million. Davide asks if document was prepared by witness. Perez says he has no further questions. Daza moves to strike. Davide says it is stricken. ------------------------------- 3: 22 p.m. Espiritu says he asked how loan was granted when BW is not qualified for loan and that they could not say how they would pay for the loan. He says PNB president could not explain why loan was approved. Daza moves to strike because it calls for an opinion. He also says it is conjectural. Davide says second ground is sustained. He says it would be stricken off the record and that it is opinion, not evidence. ------------------------------- 3: 20 p.m. Davide rules that what is proven is the utterance of the statement but not the assertion of the third party. Enrile says he submits. Perez says he would move to another point. ------------------------------- 3: 17 p.m. Santiago concludes by saying testimony should be shown to be among exceptions to hearsay rule to be introduced, even if they are part of the narrative. She says prosecution must show it proves tenor of what witness is talking about. Perez cites Philippine Supreme Court hearing. “This is not a colloquy but an inquiry. What year was it made?” Santiago asks. Perez says it is SCRA Vol. 212, which Davide says it is recent, around 1998 or 1999. ------------------------------- 3: 15 p.m. Santiago then cites exceptions to the hearsay rule, reading from a US Supreme Court ruling. ------------------------------- 3: 13 p.m. “Judicial notice has to be invoked,” Daza says. “I think the matter has been sufficiently discussed,” Davide says. “Except by this representation who has been raising his hand,” Perez says. Davide then says he can have last word after Senator-judge Miriam Defensor-Santiago is recognized. ------------------------------- 3: 11 p.m. Daza then reads from his copy of the pre-marked memorandum and says there is no mention of loans having to exceed P50 million. Roco then says he sees “light at the end of the tunnel” and says they could just take judicial notice of these documents. ------------------------------- 3: 09 p.m. Roco points out that what the two are arguing about is not yet the point. He says the ruling is on what the witness testified to as being told him and that they have no concern yet with whether the President approved loan. “Ang dalawa ko pong kaibigan, medyo ahead. Mas mabilis pong mag-isip sila,” Roco remarks, and says he just wants court to know he is supporting Davide’s ruling. Cayetano says he is also supporting the ruling, saying the answer was an independently relevant fact. ------------------------------- 3: 07 p.m. Senator-judge Teofisto Guingona is recognized. He says that he heard that witness say all loans above P50 million must be reported to the President and obviously he extends this authority to the Finance Secretary. Enrile then says that starting point of proof is that the President approved the loan. “Eto ang…” Roco begins, but Davide says “For a while” as Enrile continues. ------------------------------- 3: 05 p.m. Daza moves to strike saying this is hearsay but is overruled. Enrile is recognized. He says this is obviously hearsay and warns against relaxing rule on hearsay. ------------------------------- 3: 03 p.m. Perez asks what PNB president said when Espiritu asked if the PNB submitted report about the loan to President Estrada. Witness says that PNB president replied: “Hindi lang po report. Ang loan po na ito ay na-grant sa initiative ng President of the Republic.” ------------------------------- 3: 01 p.m. Perez says answering question would show link. Davide asks if witness already knows answer. Perez affirms. Daza then again explains their concern. Davide then says that following agreement that evidentiary testimony must precede introduction of evidence, then he has no choice but to allow question. ------------------------------- 2: 58 p.m. Perez asks about value of collateral BW offered for loan. Witness sites 51 hectares in Tagaytay, which he said has no value because of lack of right of way. Perez then asks for further explanation on value of BW collateral. Daza says that the prosecution, “through some way of asking” is bringing the content of the report into the record. ------------------------------- 2: 55 p.m. Perez asks witness to say what the report on BW found. Daza objects that best evidence is the document itself. Objection is sustained. Perez explains their predicament that defense doesn’t want them to produce documents but prosecution has to ask about it. “Sino ba ang nauna ‘yung itlog o ‘yung manok?” he asks. ------------------------------- 2: 53 p.m. Perez asks what was Espiritu’s participation in the PNB loan BW requested. He explains the memorandum and says the PNB president reported that this P600-million was “medyo iba sa ibang transaksyon.” Perez asks why it was different. Daza objects that it was the PNB president who made statement and also objects it is hearsay. Objection is overruled. ------------------------------- 2: 51 p.m. Witness instructed to answer question. He says apart from coordinating activity, a memorandum from the President requires GFIs to report any loan for P50 million and above, with the Department of Finance being given a copy of these reports. He names these GFIs as GSIS, SSS, Development Bank of the Philippines, Land Bank and PNB. ------------------------------- 2: 49 p.m. Daza respectfully submits not to allow prosecution to present something that ruling seeks to prevent. Davide explains ruling, saying “WB” again instead of BW. ------------------------------- 2: 47 p.m. Trial resumes. Perez asks this PNB loan was extended to BW. Daza objects for lack of basis. He adds that it has not been shown witness is competent to testify on this. He reminds court of ruling to first connect loan to BW stock manipulation. ------------------------------- 2: 19 p.m. Daza asks for 5 minutes. Davide gives him 10 minutes. Trial is in recess for 10 minutes. ------------------------------- 2: 18 p.m. Espiritu says BW approached PNB for a P600-million loan, saying he knows this because of coordinating role with government financial institutions (GFIs). Defense counsel Raul Daza requests for time for him and prosecutor to approach the bench so as to discuss matters, in order to save time. ------------------------------- 2: 17 p.m. Espiritu says at the time BW applied for PNB loan, they showed “negative net worth.” Perez asks him to explain what this means. “Well, your honor, it does not show any balance in its capital accounts,” witness says. ------------------------------- 2: 15 p.m. Tatad says the prosecution would now call on Espiritu to continue testimony. Perez is lead counsel for the prosecution. Espiritu takes his seat at the witness stand. Davide reminds Perez of agreement during the caucus. ------------------------------- 2: 12 p.m. Enrile says this places burden on him as a judge evaluating the evidence. Davide reminds prosecution and defense counsel as well as members of the court of advisory on talking about the merits of the case to the media. Senator Rodolfo Biazon is recognized and asks that the advisory should also be given to people who have been subpoenaed as witnesses. Davide says that they are not yet under the jurisdiction of the court. ------------------------------- 2: 10 p.m. Senate President Aquilino Pimentel Jr. says that the Senate sergeant-at-arms would investigate the matter. Senator-judge Juan Ponce Enrile is recognized. He requests the prosecution not to discuss evidence they would present to the media before it is presented before the court. He says he would not mention the prosecutor’s name so as not to embarrass him. Camera focuses on private prosecutor former Rep. Hernani Perez. ------------------------------- 2: 07 p.m. “This morning, I received a letter threatening death on my part through a bullet,” Cayetano says, showing a copy of the letter sent through LBC and the thick bullet contained in the envelope. He asks the court to put on record his request for Senate sergeant-at-arms to visit his office to show that he and his staff did not contrive this. He says he does not mind receiving death threats, but says they should not include his family. ------------------------------- 2: 05 p.m. The documents are for Article 2-B. Davide says the compromise agreement would be adopted and says they can proceed to trial proper. Senator-judge Renato Cayetano is recognized. ------------------------------- 2: 00 p.m. Davide then adds that, as agreed upon by the prosecution and defense, the testimony on the PNB documents would be given after the link is established to the impeachment complaint. He says they would proceed first with testimony of Yasay, who first took the witness stand yesterday. Defense counsel Estelito Mendoza asks for time to file reply to the subpoena duces tecum for bank documents. Prosecutor Rep. Joker Arroyo explains they want the documents for pre-marking. ------------------------------- 1: 56 p.m. Davide tells court that when they suspended the session, there was a pending issue regarding testimony of former Securities and Exchange Commission chair Perfecto Yasay Jr. He also cites the opposition to the subpoena duces tecum for the Philippine National Bank documents that former Finance Secretary Edgardo Espiritu is supposed to bring. This is regarding the alleged P 500-million PNB loans made under instruction of the President. Davide notes the agreement is that Yasay should limit testimony on pressure related to the “WB” stocks. He corrects himself, saying BW. Yesterday, he said “BMW” several times. “I’m sorry I’m always confusing these words. These are all foreign to me,” Davide remarks. ------------------------------- 1: 54 p.m. Articles of impeachment against President Estrada are read. Senate Majority Leader Francisco Tatad says Senate journal for Tuesday is not yet ready for approval. Same appearances for prosecution and defense. ------------------------------- 1: 51 p.m. Trial resumes. Presiding judge Chief Justice Hilario Davide Jr. makes a mistake by calling on Senator-judge Ramon Revilla to lead invocation. Revilla led the invocation yesterday. Davide corrects himself and calls on Senator-judge Raul Roco to lead the opening prayer.