Navy Lieutenant Senior Grade Antonio Trillanes denied government allegations that his group's takeover of Manila's Makati financial district on July 27 was a coup aimed at installing a military junta.

Testifying before an independent inquiry ordered by Arroyo, Trillanes and Army Captain Milo Maestrecampo said the rebels had publicly sought Arroyo's resignation after she refused to listen to their grievances.

But Trillanes denied that they wanted to reinstate detained former president Joseph Estrada -- toppled in a military-backed popular revolt in January 2001 -- or put opposition Senator Gregorio Honasan in power.

A senior Arroyo aide testified before the commission on Tuesday that the rebels planned to assassinate Arroyo in an August 4 coup attempt that would have replaced her with a junta led by Honasan.

The July rebellion collapsed within 24 hours after failing to muster wider support. More than 300 rebels were arrested.

Honasan, a reformed 1980s coup plotter who entered politics after he was pardoned in 1995, has gone into hiding and denies government charges he was involved in the latest rebellion.

Asked if he personally wanted to replace Arroyo, Trillanes said: "Definitely not."

He said the rebels would have respected the "constitutional succession", with the vice president taking over.

Trillanes said the rebels wanted to implement the "National Recovery Program", Honasan's political platform, to rid the military and the government of corruption. It calls for "all brigadier generals upwards relieved".

Trillanes also denied that his group had earlier met with Honasan to plan the mutiny and appeared to be surprised when showed pictures purporting to show himself and the senator clandestine meeting.

"Mr. Trillanes is lying through his teeth," Arroyo's chief of staff Rigoberto Tiglao said, adding that the pictures were provided by an unidentified informant who was "so morally bothered he volunteered the photo."

The pictures would also be used as evidence in civilian court that would hear the case.

Maestrecampo, an eight-year Scout Ranger veteran, meanwhile alleged the government was sponsoring terrorism in an attempt to win more military aid from the United States.

He said he had personally rejected an order from his commander to form a military team to attack a mosque in the southern city of Davao in April, which would then be blamed on Muslim rebels.

Trillanes, who denies the rebellion received civilian funding, said he was summoned to see Arroyo at Malacanang presidential palace on July 13 because he was suspected as the "leader of a group that intended to destabilize the government".

But rather than accept evidence of military corruption, "she went on berating me and ordered me detained and paraded through the media for reasons I cannot really comprehend."

But presidential security group chief Colonel Delfin Bangit said Trillanes was the one who sought the meeting, adding that Arroyo herself spent two hours listening to his complaints.

"There was never an instance the president gave an instruction to detain him," Bangit said.

The commission at one point reprimanded Trillanes for apparently insulting Arroyo in the televised proceedings.

"She just kept on yakking and yakking," the officer said. "I cannot find the words to describe how arrogant our president was."

The commission reminded Trillanes that he remained a military officer and could be court-martialled for unbecoming conduct.

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