The Sandiganbayan has convicted former Cagayan de Oro City Rep. Constantino G. Jaraula, businesswoman Janet Lim Napoles and three others of three counts each of graft and malversation involving P28.8 in Priority Development Assistance Fund (PDAF) they misused in 2007.
Jaraula, Napoles, Technology Resource Center (TRC) Group Manager Ma. Rosalinda Masongsong Lacsamana, Legislative Liaison Officer and Sales and Promotion Officer V Belina A. Concepcion, and private individual Mylene T. Encarnacion were found guilty of violating three counts of Section 3(e) of Republic Act No. 3019, the Anti-Graft and Corrupt Practices Act, and another three counts of Article 217 of the Revised Penal Code or malversation of public funds.
They were all sentenced to a prison term ranging from six to 10 years in each of their graft cases, and imprisonment for each for each count of malversation ranging from 12 years and one day to 18 years, eight months, and one day.
They were also ordered to pay as a group P28.8 million by way of civil liability in their graft conviction, and another P28.8 milion as fine for the amount they malversed.
They were also barred permanently from holding public office.
In the case of Jaraula, he, alone, was found guilty of violating three counts of Article 210 of the Revised Penal Code or Direct Bribery. He was sentenced to a prison term ranging from four years, two months and one day to nine years, four months and one day.
He was also ordered to pay a fine of P6 million, which is thrice the amount of P2 million he received in the form of rebates.
In the same 103-page decision written by Associate Justice Edgardo M. Caldona and concurred by Associate Justices Efren N. Dela Cruz and Geraldine Faith A. Econg, the Sandiganbayan acquitted TRC Group Manager Francisco B. Figura, Chief Accountant Marivic V. Jover, and Internal Auditor V and Division Chief Maurine E. Dimaranan of the graft and malversation charges filed against them.
But the Sandiganbayan said that since their acquittal is based on reasonable doubt, civil liability may still be assessed against them.
Department of Budget and Management (DBM) officials Rosalinda Salamida Nunez, Lalaine Narag Paule, and Marilou Dialino Bare are acquitted of all charges for failure of the prosecution to prove their guilt beyond reasonable doubt.
The charges stemmed from the endorsement of Countrywide Agri and Rural Economic Development Foundation Inc. (CARED) as a partner in the implementation of Jaraula's PDAF amounting to P28,800,000.
However, the prosecution was able to prove that they concealed the fictitious nature of their transactions and Jaraula even received kickbacks from Napoles.
The Sandiganbayan said that flags should have been raised before CARED was chosen as the implementer of Jaraula's supposed PDAF projects because it is an unqualified and unaccredited non-government organization (NGO).
"The court is convinced that accused Jaraula, Concepcion, Lacsamana, Napoles, and Encarnacion acted with unity of purpose and gave unwarranted benefits to accused Napoles and Encarnacion through their evident bad faith and manifest partiality," the anti-graft court said.
It pointed out that “through their willful disregard of applicable laws, they allowed a fake NGO to get hold of public funds."
Whistleblower Benhur Luy testified that he knew Jaraula since 2002 and has interacted with him regarding his PDAF transactions.
Luy's testimonies were not "bare assertions," the Sandiganbayan said, because he backed these up with his Daily Disbursement Report (DDR), which recorded the day-to-day transactions of JLN Corporation.
It also pointed out to the Anti-Money Laundering Council’s (AMLC) report which showed that on the same day or just a few days later, the entire amount constituting the PDAF deposited to CARED's account was withdrawn together with other deposits.
"All things considered, the court is of the firm view that accused Jaraula is guilty of direct bribery. Accused Jaraula, in his capacity as Congressman of the lone district of Cagayan de Oro City, accepted and received kickbacks in the amount of P2 million from accused Napoles, a private individual, in accordance with a scheme aimed at funneling out public funds for their personal gain and benefit through accused Jaraula's endorsement of CARED," the Sandiganbayan said.