CA affirms Lung Center exec’s suspension

MANILA, Philippines - The Court of Appeals (CA) has upheld a suspension order against a Lung Center of the Philippines (LCP) official accused of involvement in the allegedly anomalous purchase of 98 hospital beds worth P2.4 million.

The nine-page resolution, released last week and penned by Associate Justice Nina Antonio-Valenzuela of the CA’s Special 10th Division, denied a petition filed by Arsenio Bautista of the LCP’s procurement property and supply division questioning the Office of the Ombudsman’s decision to place him under six-month preventive suspension without pay.

The ombudsman’s decision was handed down on May 7, 2007 and was ordered implemented by the Department of Health on March 28, 2011. 

Bautista said the ombudsman committed grave abuse of discretion for placing him under preventive suspension because the beds were not overpriced and his actions leading to the procurement were merely recommendatory. 

He also said that the pre-arranged participation of suppliers or splitting of contracts is a valid alternative mode of procurement.

The allegations against Bautista were brought up by then LCP deputy director Jose Pepito Amores, who claimed that on Nov. 9, 2001, a requisition to purchase was issued for the procurement of 98 hospital beds with side rails for the hospital.

Amores alleged that Bautista and two other LCP officials issued a certification of canvass, which listed the unit, price quotations of the hospital beds submitted by four different suppliers. 

On the same day, the purchase order was signed by LCP executive director Fernando Melendres allocating P2.4 million in favor of the lowest priced supplier, the Philippine Medical Dental Specialties.

Amores said the procurement was irregular because it violated the LCP’s previous order directing that purchases exceeding P1 million should be subjected to public bidding while purchases below P1 million should be through alternative modes of procurement. 

Amores also named Albilio Cano, administrative and ancillary department head; Angeline Rojas, budget and accounting division chief; and Ma. Nicolas Torres, billing and collection division chief, in his complaint.

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