House
Committee on Housing and Urban Development Chairman Prospero Nograles today said
President Arroyo did the right thing when she axed Manuel Crisostomo, president
of the Home Mutual
Development Fund, which is more popularly known as the Pag-Ibig Fund.
Nograles
said that instead of helping President Arroyo, Crisostomo’s vocal opposition
to the proposed Department of Housing and Urban Development could become a
serious impediment in the government’s target of creating at least 300,000
housing per year for the poor.
The
Davao City solon said Crisostomo have unduly created panic among Pag-Ibig Fund
members when he issued several
statements claiming that their contributions are in danger of being wasted by
the government once the Department
of Housing is created.
Nograles
added that he had received reports that Crisostomo is behind the disinformation
campaign against the proposed measure particularly reports that the creation of
the Department of Housing would give the government full access to Pag-Ibig
contributions.
“
I have received verified reports that it was Crisostomo who is spreading stories
that the Pag-Ibig contributions are in danger of becoming a government fund once
the Department of Housing is created. He is also reportedly claiming that
Pag-Ibig Fund would be merged with the new department,” Nograles said adding
that a week before President Arroyo axed Crisostomo, he had received a barrage
of complaints regarding the alleged merger.
This prompted him to immediately issue a clarification stressing that
the government can never touch the Pag-Ibig contributions of its 4.9 million
members because the fund is considered a private trust fund.
“
It seems to me that Crisostomo himself does not have a full understanding of the
mandate of his own agency. With this, I am equally convinced that he no longer
deserves the post as the chief administrator of Pag-Ibig Fund,” Nograles
pointed out.
Nograles
stressed that the sole purpose of the proposed Department of Housing is to put
various government agencies involved in the government’s housing program into
one administrative umbrella. This is to rationalize and accelerate coordination
in the government’s effort to provide housing to at least 300,000 families per
year.
He
said mounting concerns that Pag-ibig funds could be appropriated by the
government for public use once the Department of Housing is created is
completely baseless because contributions are considered as private trust funds.
“
It will be illegal for the government to touch Pag-Ibig contributions because
those funds are considered private,” Nograles explained.
Nograles
also assured that Pag-Ibig Fund would maintain its own charter and its funds
would be independently administered by the agency’s board of trustees. He said
the only role, which the proposed Department of Housing would be playing in
relation to Pag-Ibig fund, is the processing of housing loans by its members.
“
I can assure you that Pag-ibig fund will be amply protected. It will not be used
as a collateral of government,” Nograles assured.