By Victor Manhit, Director, StratBase (Manila)

The United States will sell a Hamilton class cutter to Manila. USCG photo in the public domain.

Despite allegations and congressional inquiries into massive corruption in the Philippine military, the administration of Philippine President Benigno Aquino has announced that it will allocate over $250 million to the Armed Forces of the Philippines (AFP) for the purchase of modern military equipment. The new funds will be used to acquire ships and other watercraft for the Navy, and helicopters for the Air Force, to deploy in Palawan and Sulu. The Philippine Army will acquire rifles, while the Navy may add more multipurpose attack craft. The Navy is also expecting a Hamilton class cutter from the U.S. Coast Guard.

Though the AFP is faced with controversies involving its highest ranking leaders, the Aquino administration believes that national security demands require both immediate investments and new levels of transparency to rid corruption from its ranks. In this sense, the Aquino administration has decided to approach culture change and AFP modernization as separate issues.

The military situation in the Philippines has reached a critical stage wherein modernization can no longer be delayed. Domestically, the AFP faces secessionist groups and communist rebels (PDF) who have been waging war in some parts of the archipelago for almost half a century. It is imperative that the Army be professionalized and both the Navy and Air Force developed to enhance national security.

Regionally, the AFP confronts the realities of possible military conflict in the South China Sea over territorial claims around the Spratly Islands. The territory is also claimed by a determined China and other neighboring countries.  Chinese naval vessels recently confronted commercial oil and gas exploration ships in territory being explored by Forum Energy (a United Kingdom – Philippine joint venture). The capability of the AFP to protect the coastline and the skies is country’s most urgent military need.  President Aquino recognizes this fact and is moving to meet the requirement.

Meanwhile, Aquino recently voiced his concern with corruption in the military during the Balikatan military exercises. President Aquino said that his administration was working double time to stop corruption in government. The corruption controversy began when General Carlos Garcia was charged with stealing hundreds of millions of pesos in AFP funds. The alleged crime was highlighted late last year, when the country’s Ombudsman Merceditas Gutierrez agreed to a plea bargain wherein General Garcia would only be required to return half of what he allegedly stole and then be set free.

The Aquino administration strongly opposed the plea bargain offered to Garcia and the Congress began an investigation into the alleged AFP corruption. Further corruption in the military was later exposed by former Lt. Col. George Rabusa, who blew the whistle on a “tradition” of corruption permeating Philippine military culture.

There is an ongoing impeachment proceeding against Ombudsman Merceditas Gutierrez. She is being charged for her office’s underperformance and failure to act on several corruption cases during the previous administration of Gloria Macapagal-Arroyo, who appointed Gutierrez and was widely perceived to have appeased the military to protect herself and her regime from threats of coups.

The controversy has taken its toll on the public perception of the military and of corruption. In a recent Survey conducted by Pulse Asia, an independent polling institution, corruption in the government was rated as one of the top social issues that needed immediate attention, and in a separate survey, the AFP was perceived to be the most corrupt government agency, an ignominious honor traditionally held by the Bureau of Internal Revenue (BIR).

The government’s challenge will be to establish and institutionalize transparency in its military procurement process.  To do so, it must ensure the accountability of the Bids and Awards Committees (BAC), and secure the commitment and cooperation of officials that handle these processes. These processes must be put in place to ensure the country can procure effective equipment at the best price.

President Aquino faces the dual challenge of reestablishing the Philippines national security while reforming the corruption that has become endemic in the military. Having been virtually conscripted to run for president by the people of the Philippines with a mandate to fight corruption, President Aquino may be the best hope for achieving these two fundamentally important objectives.