Bohol vice governor suspended

CEBU, Philippines - The Office of the Ombudsman-Visayas has ordered a nine-month suspension against Bohol Vice Governor Dionisio Balite over the purchase of P178 million worth of heavy equipment in 2006 and 2009.

Seven former members of the Provincial Board and three former members of the Bids and Awards Committee were also ordered to pay a fine equivalent to their six-month salary payable to the Office of the Ombudsman.

The complaint was filed on November 6, 2014 by the Field Investigation Office of the anti-graft body for the alleged irregularities in the procurement of one unit hydraulic excavator (backhoe) with breaker in 2006 and various heavy equipment in 2009.

The respondents are former vice governor Concepcion Lim, former PB members Balite, Jose Veloso, Felix Uy, Godofreda Tirol, Brigido Imboy, Cesar Tomas Lopez, and Alfonso Damalerio II.

Other respondents were former BAC members – provincial motorpool head Abrahan Clarin, supply officer Laura Saramosing-Boloyos, and administrative officer Felix Mejorada.

On April 25, 2006, BAC declared Civic Merchandising, Inc. (CMI) as the single calculated/rated and responsive bidder for submitting a bid of $183,800 for the supply and delivery of one unit backhoe with breaker.

It was noted that the bid of CMI was accepted even if the payment term is through letters of credit (LC).

On May 5, 2006, a Notice of Award was issued by then governor Erico Aumentado to CMI which indicated the bid price of P9,410,560. Aumentado was among the respondents but the case was not pursued due to his death in December 2012.

On May 8, 2006, Ernesto Lim, vice president for the Visayas Operations of CMI, issued Proforma Invoice to the Province of Bohol stating, among others, that the payment term for said transaction was by confirmed and irrevocable LC at sight in favor of Sydex Limited, CMI’s principal abroad; and that all expenses relative to the opening of the LC shall be borne by the Province of Bohol which was conformed by Aumentado.

On July 10, 2006, the PB authorized Aumentado to open an LC with the Philippine National Bank-Cebu Branch in the amount of P9,410,560 and authorized the bank to debit all charges incidental to the opening and negotiation of the LC against the account of the province.

The anti-graft office said that the 2006 BAC members Saramosing-Boloyos, Mejorada and Clarin and PB members Balite, Veloso, Uy Lim, Tirol and Imboy have violated the Memorandum Order No. 119 issued by the Office of the President for disregarding the prohibition on the use of LC in favor of a Philippine entity or its foreign supplier.

On the procurement of 26 units heavy equipment in the amount of P168 million, BAC declared on March 25, 2009 the CMI, JVF Commercial and RDAK Transport with the lowest calculated and responsive bids and corresponding Notices of Award were issued.

The payment shall be paid also through LC which the PB authorized Aumentado to open with Land Bank of the Philippines in the amount of P147.5 million.

However, the Commission on Audit issued a Notice of Disallowance on December 10, 2011 for failure of the province to impose liquidated damages of P23.4 million against the suppliers who failed to deliver the items within the given period.

The anti-graft office found no substantial evidence to hold 2009 BAC members liable in accepting the bid offers of CMI, RDAK and JVF but held respondents Lopez, Damalerio and Imboy for authorizing LBP to debit all charges incidental to the opening and negotiation of the LC against the standing account of the province. —/FPL (FREEMAN)