He said the government remains heavily indebted to the veterans with unpaid disability benefits amounting to R20 billion.

In a statement, Pimentel asked the Arroyoa dministration to give priority to the welfare of aging veterans by paying them their accrued benefits the government owes them for many years.

"It’s about time the government settle its more than R20-billion arrears in disability benefits to the veterans, either fully or partially, and do justice to those who risked their lives in defending the nation against foreign invaders," Pimentel said, referring to the World War II veterans.

He made this appeal amid complaints by WWII veterans that the government has yet to settle its commitments to them.

Pimentel stressed that since the Palace is claiming multi-billion pesos in savings last year, it has the cash to distribute tog veterans to ease theirworriesg when the government will fulfill its promises.

"The government should not run away from its legal obligations," he said.

Republic Act 6984 or the Veterans Disability Comprehensive Act of 1994 gave veterans additional cash benefits on top of their regular, though paltry, monthly pensions. Since the law was passed, 12 years ago, the government has yet to honor the additional P,700 monthly pension of veterans reaching 70.

Pimentel also urged President Arroyo to set aside funds to retiring teachers,among the country’s poorly-paid professionals.

The Department of Finance, however, disputed Malacañang’s statement that it has P35 billion in savings saying that the government’s money on hand is only P10 billion.

Poverty remains high among people, Jinggoy says

Despite the administration’s glowing claims of economic recovery during the past year, opposition Sen. Jinggoy Estrada remains unconvinced, saying "poverty remains high among the people."

Estrada criticized Malacañang for boasting of "improvements" in the economy while a survey indicates a rise in the number of citizens having no adequate food on their tables.

The senator cited a recent survey of the Social Weather Stations (SWS) during the past three months, which found that 17 percent of the people said they had experienced hunger in the past months. "The latest record surpassed the highest rate of hungry people recorded at 16.1 percent in March 2001," Estrada said in a press statement released yesterday.

The same SWS hunger survey also found out that the rate of hungry Filipinos has been in double digits since the second quarter of 2004.

Estrada said this report belies claims made by Malacañang that its economic-recovery programs have been largely successful, especially last year, when President Arroyo announced that her administration was responsible for the strong showing of the peso against its foreign counterparts.

In an earlier interview, Estrada said remittances from Overseas Filipino Workers (OFWs) are really responsible for the strong showing of the peso, not the President’s efforts.

"The claim of the Arroyo administration that the economy is improving is a hoax because many Filipinos are still hungry, and poverty is worsening," Estrada stressed.

He also criticized Palace officials for issuing official statements that Malacañang has earned P35 billion in savings out of its austerity measures because the Department of Finance, under Secretary Margarito Teves corrected this amount, saying the government has only P10 billion, not P35 billion, in its coffers.

"The administration should stop making press releases and instead implement programs to eradicate hunger and emancipate the masses from poverty," Estrada said. (Jude Galford)