Philippine Senate to probe court over loan 'misuse'

Shirley Escalante

Last Updated: Mon, 16 Jan 2012 21:31:00 +1100

The Philippine Senate will investigate allegations the Philippine Supreme Court misused a loan by the World Bank worth almost $US22 million dollars.

Philippines Senator Franklin Drilon has warned that if the alleged loan misappropriation is left unchecked, it could prejudice the reputation and the credit worthiness of the Supreme Court, and the entire Philippines Government.

A review by the World Bank has found the loan's implementation as "unsatisfactory," saying it was used for several procurements without prior agreement and in some cases, were even against the approval of the bank.

The loan was approved in 2003 to enhance the court's efficiency.

A Supreme Court spokesman has deemed the report unfair, and said it was released without having the high court answer the allegations.

Reports on the loan misuse came out on the eve of the impeachment trial of the Supreme Court Chief Justice for alleged graft, violation of the constitution and betrayal of public trust.

Language News