THE lawyer of First Gentleman Jose Mi-guel Arroyo yesterday said his client is not bothered by the allegations by ZTE witness Rodolfo Noel Lozada Jr. that he was involved in the deal, but was annoyed by the lies being peddled to the public and the media.

"He has no reason to react since there was no direct accusation or evidence against him," Ruy Alberto Rondain said in a press conference at the LTA building in Makati.

Rondain said he requested a short meeting with the First Gentleman, who had just arrived from Europe, to discuss the issue but the latter said he did not want to get involved in politics.

Arroyo arrived at 6:34 p.m. Wednesday.

Rondain said Lozada should have filed a case if he really has the goods on Arroyo instead of engaging in propaganda.

"He (Arroyo) has already made it clear that he would not get involved in politics, not now, not tomorrow or in the near future," Rondain said.

Rondain said the presidential spouse has no plans to file a libel case against Lozada.

Former Elections chair Benjamin Abalos, in a phone interview, said he is puzzled by Lozada's claims that he wanted a $130 million "commission" in the ZTE deal.

"Don't you find it fantastic? I mean $130 million! That's P5.2 billion! My goodness! Who am I to warrant such a high price?" he said.

"Sinasabi niya (Lozada) na ginagawa niya ito para sa bayan pero why did it take him so long to come out?" he added.

Abalos refused comment on the other claims of Lozada until he gets a complete transcript of Lozada's statement.

"I don't want to give a piecemeal comment on the issue pagkatapos tatanungin na naman ako afterwards. Mas mabuti pang hintayin na lang natin," he said.

In his statement, Lozada said that trouble in the project negotiations began when Abalos insisted on his share of the "commission" from the project.

Acting Higher Education chair Romulo Neri refused to answer questions involving Lozada's claims, particularly those on the supposed overpricing and commissions.

"Di ko alam yan, these are all haka-haka lang," he said.

He said he respect's Lozada's decision and that Lozada is his own man. "As a friend my concern is his safety. I always advice him to just make sure he is safe."

Deputy presidential spokesman Anthony Golez branded the statement of Lozada as lies.

Golez denied that the government forced Lozada to come up with an affidavit about what he knows on the ZTE deal in preparation for his appearance before the Senate.

He said it was Lozada, through his lawyer which he did not name, who informed them, particularly Executive Secretary Eduardo Ermita, that he was safe, under the police protective custody, and preparing an affidavit.

He said the lawyer also informed them that Lozada was hesitant to testify in the Senate.

But Ermita informed the lawyer that the administration was not sure if Lozada could be covered by executive privilege because they at the Palace do not know the question that would be asked and what his possible answer would be.

Lozada yesterday resigned as president of the Philippine Forest Corp., a government-owned company under the environment department.

Press Secretary Ignacio Bunye said President Arroyo ordered the DOJ to conduct a preliminary investigation "against those who maybe liable" of violations of procurement and anti-graft and corruption laws in connection with ZTE deal.

He said Arroyo also directed the PNP and NBI to work with Congress for a possible "memorandum of agreement on the service of warrants of Congress."

Bunye said it was unfortunate that the name of the First Gentleman was again dragged into the issue "without proof". - Ashzel Hachero, Gerard Naval and Jocelyn Montemayor