The former CEO of the Legacy Group on Monday said a top official of the Securities and Exchange Commission gave protection to the Legacy Group of financial services companies, which is accused of swindling thousands of depositors and plan holders.

Former Legacy Consolidated CEO Carolina Hinola identified the official as SEC Commissioner Jesus Martinez whom she identified as a close friend of Legacy owner Celso delos Angeles.

Hinola said delos Angeles often boasted of his friendship with Martinez and that she had communicated with the SEC Commissioner several times upon the instructions of delos Angeles.

"From my interactions with both Mr. delos Angeles and Commissioner Martinez, I can say with reasonable certainty that Commissioner Martinez is a close friend of Mr. delos Angeles and he helped Legacy when the company had problems with renewing its dealership license in 2008 due to some deficiencies," she said in her Senate testimony.

She said that at one time, Martinez even called her up to follow-up on Legacy's payment to a certain Michael Lirio who was selling a house and lot in Parañaque, which he said "was a gift to his son." She said Legacy paid for the house but ownership was transferred to delos Angeles' son and later to Martinez's son.

She said she also gave P1,475,000 in cash to Martinez on November 9, 2007 upon the instructions of delos Angeles. She said the money was payment for a Ford Expedition acquired by the Rural Bank of San Jose but is now being used personally by delos Angeles.

At the start of the hearing, Hinola and Legacy vice president for finance Namnama Santos said they were summoned by Delos Angeles last December 26, 2008 in a resort in Bicol to discuss moves on how to go about the cases filed against them.

During that meeting, Hinola added that business plans were discussed to prove that Legacy have businesses.

The two female officials claimed they have nothing to hide and that they sought the help of the president of the Parents Enabling Parents Coalition (PEP).

Last week, the two Legacy officials faced the local media and showed documents that traced funds from the Legacy group making its way to the bank accounts of allies of several politicians.

The Bangko Sentral ng Pilipinas has filed two cases of syndicated estafa against Celso de los Angeles and top management of the Legacy Group and allied companies for allegedly siphoning P487 million of depositors and government money.