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MANILA, Philippines -- President Gloria Macapagal-Arroyo is satisfied with the report of the Department of Interior and Local Government that absolved a South Korean firm from alleged bribery, a senior Malacañang official said Wednesday.

Executive Secretary Eduardo Ermita said the President met with local officials of Misamis Oriental reportedly after Myung Goo Kwon, director of Hanjin Heavy Industries Inc., sent a letter to them expressing the company’s desire to withdraw from the project.

But Ermita said that the DILG had “cleared” Hanjin from allegations that it offered P400 million worth of contracts to local officials in exchange for securing permits for its operations.

Asked if the President's initiative averted the crisis, Ermita said, "The President had averted something that could have been messy if this was not looked into immediately."

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• House raises tax exemption for poor
• More Filipino families count themselves as poor--SWS survey
• Gov’t not budging on ancestral domain issue--DoJ chief
• PNP: Transport strike ‘peaceful’ but ‘hardly felt’
• Church aid group to work with food firms to help poor
• Meralco passed on to consumers cost of power use--exec
• Palace welcomes Libyan ceasefire monitors
• New Armed Forces chief unveils 5-point agenda
• Bishop questions gov’t motives in mutineers’ pardon
• (UPDATE) Arroyo hints at new post for Esperon
• Arroyo to MILF: Make use of gov’t ‘dedication’ to peace
• Esperon thanks Arroyo for mutineers’ pardon
• Arroyo to lead signing of 'historic pact' Tuesday
• (UPDATE 2) Arroyo approves pardon for 9 convicted officers
• Suspension of bid requirements needs Congress OK--Pimentel
• Arroyo lauds Esperon for ‘job superbly done,’ welcomes Yano
• Teodoro: AFP has ‘contingency’ in case of Mindanao violence
• ‘A pleasant surprise’--Esperon on ‘hint’ of new post
• LTFRB chief: Reyes should seek solutions to oil price hikes
• Faeldon: Arroyo needs ‘guard dog’ Esperon ‘to survive’