Iloilo ‘narco mayor’ sacked

Ombudsman fires Mabilog over wealth

ILOILO CITY, Philippines — On leave and said to be out of the country after being linked to drugs by President Duterte, Mayor Jed Patrick Mabilog has been ordered dismissed by the Office of the Ombudsman for “serious dishonesty” in connection with his “unlawful acquisition of wealth.”

Mabilog filed a leave of absence from Sept. 11 to 30 purportedly for health reasons. He later filed for a 30-day extension of his “sick leave.”

On Wednesday, Duterte concluded his remarks about the killing of alleged narco-politicians as well as Mabilog’s own drug links with the words, “You’re next.” The President did not say what he meant exactly.

In a 13-page decision, the ombudsman also ordered the cancellation of Mabilog’s civil service eligibility, forfeiture of retirement benefits and perpetual disqualification from public office.

His spokesman Mark Piad said the mayor “has yet to reply” to the ombudsman’s order as Mabilog has not yet received a copy of the document signed by ombudsman prosecution officer Rachel Cariaga-Favila on Aug. 29 and approved by overall Deputy Ombudsman Melchor Arthur Carandang on Oct. 6.

“We didn’t expect that the ombudsman would not appreciate the evidences we presented,” Piad said.

It was former Iloilo provincial administrator Manuel Mejorada who filed the charges against Mabilog.

Mejorada accused

Mabilog of hiding the true sources of his income, in violation of the law on the filing of statement of assets, liabilities and net worth (SALN).

The former provincial administrator based his complaint against Mabilog on the latter’s SALN.

The complainant alleged that the almost P9-million increase in the respondent’s net worth was “manifestly disproportionate” to his income as a public official and constitutes unexplained wealth.

In his 2013 SALN, Mabilog reported the purchase of a residential lot for P6 million, unspecified investments of P2.6 million and ownership of cash and cash equivalents amounting to over P6 million. Mabilog’s 2013 SALN showed a net worth of over P68 million.

In his 2012 SALN, he reported a net worth of P59.3 million. This means that within a year, Mabilog’s net worth increased by P8.9 million, Mejorada added.

Even with his businesses and investments, Mabilog could not have raised enough cash to purchase 664 square meters residential property and acquire new investments.

“No businessman can generate a net income of almost one-half of equity investments as in respondent’s case where his net worth amounted to 45 percent of his declared stock equities and investments,” he added.

Mejorada also noted that Mabilog did not state in his SALN his wife’s work as a comptroller in Canada. The mayor’s wife, Mejorada claimed, could not have amassed such huge amount of money from her job in Canada where taxes are high, “unless respondent can present proof that his wife’s income is sufficient to accumulate wealth.”

In his 2012 SALN, Mejorada noted that Mabilog reported a bank loan in Canada for P21,587,615, listed as P21,183,600 in his 2013 SALN.

The decrease, the complainant noted, “defies financial logic,” especially since such loan was incurred way back in 2007.

Mejorada believed that the loan was meant to make it appear respondent’s net worth was smaller than it really was.

He also noted that Mabilog has financial interests in Mega Pacific Food Services Inc., One Esplanade Realty, Iloilo Happy Haus Donuts and Globe Jami Motors Corp.

Based on Securities and Exchange Commission (SEC) records, Mabilog owns 30 percent share in the capital stock of Iloilo One Esplanade.

Counter affidavit

In a counter-affidavit, Mabilog dismissed the charges as malicious and conjectural with no solid basis.

He explained his family was already considered well off prior to his joining public office.

Mabilog insisted it was his business acumen that helped him spearhead the development of Iloilo City into a bustling center.

His wife’s salary alone – at Cad$200,000 – would allow them to live a comfortable and even opulent life, the mayor said.

Mabilog said his and his wife’s property holdings and investments were all properly enumerated in his SALN.

He stressed an increase in net worth does not necessarily mean an increase in income.

But the ombudsman said the burden of proving that Mabilog’s wealth was not ill-gotten was on the mayor himself.

“At the outset, let it be emphasized that when there is a presumption that the properties owned by respondent are considered unlawfully acquired, the burden of overcoming such presumption lies upon him,” the ombudsman said.

The ombudsman noted that Mabilog justified the increase in his net worth by citing his several businesses as well as his wife’s huge income as a comptroller in Canada.

“Despite opportunities given to respondent to rebut complainant’s assertion of unlawful wealth, he still fails to sufficiently explain/answer how he was able to acquire properties the amount of which are manifestly out of proportion to the salaries and other lawful income; thus there is a prima facie evidence of unexplained wealth,” the ombudsman pointed out.

The ombudsman also noted that Mabilog failed to present proof of income from the business interests disclosed in his SALNs.

“Simply, his failure to properly account or explain his sources of income establishes the presence of malicious intent to conceal the truth causing grave prejudice to the government in the amount of P8,981,082.52,” the ombudsman prosecutor said.

Mabilog hogged the headlines in September after President Duterte repeatedly named him in public as a drug protector, with links to slain suspected drug lord Melvin Odicta Sr.

An assassin killed Odicta and his wife at Caticlan port in August last year.

On Wednesday before a gathering of Southeast Asian lawyers and diplomats, Duterte again accused Mabilog of involvement in the drug trade, even telling him “you’re next.”

It was apparently an ominous reminder to Mabilog of the fate that befell Odicta and Albuera, Leyte mayor Rolando Espinosa Sr.

Mabilog’s spokesman Piad said Duterte’s continued threats were aggravating the mayor’s health condition. But he admitted Mabilog’s extension of his leave was now more of a security precaution than a medical initiative.

Piad said they would exhaust all legal remedies to counter the dismissal order, including filing a petition for a temporary restraining order (TRO).

He added he is arranging a meeting with the mayor’s brother Jay Victor or with other close relatives to discuss the ombudsman’s order.

“We believe that all is not lost for Mayor Mabilog,” Piad said.

When asked about Mabilog’s whereabouts, Piad could only say he is out of the country. “As to his exact location, we could not tell,” he said.

Meanwhile, the ombudsman has dismissed for want of sufficient evidence the charge of grave misconduct against Mabilog in connection with his appointment of business partner Patrick Allan Sy as his “executive assistant for dengue concerns” as well as his alleged use of his position to secure favors for Iloilo One Esplanade, of which he is an incorporator and stockholder.