Heavy equipment 'anomaly': Ombuds upgrades case to criminal, admin probe

The Ombudsman-Visayas has upgraded its fact-finding inquiry into a full-blown criminal and administrative investigation against Pinamungajan town officials, including a Provincial Board member, over an allegedly anomalous purchase of heavy equipment ten years ago.

Acting deputy ombudsman for the Visayas, Virginia Santiago, has approved the upgrading of the case as recommended by associate graft investigation officer Marites Soon.

The case stemmed from a complaint filed in 1998 by Oscar Cerna, a resident of Pinamungajan, against then mayor Estrella Yapha and her son Jeffrey, then the vice-mayor. Also accused were town councilors Francisco Bellones (who was elected vice mayor since 1998), Precioso San Juan, Ismael Soberano, Valentin Adolfo, Romulo Enario, Sharon Benetiz, Jose Intong, Marino De Gracia and Crisostomo Plarizan

The others were former councilor Edgar Reyes, municipal treasurer Gloria Managaytay, municipal accountant Aileen Bonghanoy, budget officer Cirila del Pilar, and municipal engineer Cecilio Tulang.

Cerna alleged that, sometime in 1996, the municipal council approved a resolution authorizing the mayor to obtain a loan from the Philippine National Bank for the purchase of heavy equipment from South Korea.

As such, the then mayor Yapha applied for a loan and bought from Mine Company Philippines several heavy equipment -a bulldozer, a payloader, a road grader, and two dump trucks- costing P5.346-million.

The problem however was that Mine Co. Phils. was found allegedly not registered with the proper government agency thus making it disqualified to enter into any contract with the Pinamungajan government.

Cerna alleged that the equipment purchased were already dilapidated when delivered, adding that the P1.6-million bulldozer could not be located anymore and that the transaction was grossly disadvantageous to the government.

Cerna said 6R Mercantile tendered a bid of P550,000 each dump truck but the winning bidder has a tender of P702,000 per truck. He said 6R also quoted P1-million for the road grader but the award went to Mine Co., which quoted P1.296-million. - Fred P. Languido