Ombudsman indicts Olongapo Mayor, others
Published Jun 30, 2020 04:03 pm
By Czarina Nicole Ong
The Office of the Ombudsman has found probable cause to indict Olongapo City Mayor Rolen Calixto Paulino and several other local officials with graft due to the anomalous lease of public property to SM Prime Holdings, Inc. (SMPHI).
(MANILA BULLETIN)
Paulino will face charges for violation of Section 3(e) of R.A. 3019 or the Anti-Graft and Corrupt Practices Act alongside Vice Mayor Aquilino Cortez Jr., councilors Elena Dabu, Benjamin Cajudo II, Eduardo Guerrero, Noel Atienza, Alruela Bundang-Ortiz, Edna Elane, Emerito Bacay, Randy Sionzon, and Egmidio Gonzales Jr.
City Planning and Development Coordinator Tony-Kar Balde III, City Accountant Cristiflor Buduhan, City Legal Officer Anna Sison, and City Administrator Mamerto Malabute, City Budget Officer Joy Cahilig will likewise be charged.
On January 7, 2014, SMPHI proposed to lease the Olongapo City Civic Center or the KBG Complex owned by the Olongapo City Government.
Paulino created the special bids and awards committee (SBAC) for that purpose and directed the city councilors to pass legislative measures in connection with the lease.
In response, the councilors passed Ordinance No. 24 series of 2015, accepting the Unsolicited Proposal of SMPHI for long-term lease over the KGB Complex through Swiss Competitive Challenge.
The Swiss Challenge is described as a process in procurement when a public official has received an unsolicited bid for a project, and therefore publishes details of the bid and invites third parties to either match or exceed it.
The lease was awarded to SMPHI on December 16, 2014. It was for 25 years, renewable for another 25 years. The lease rental is P30 per square per month, and it was intended for the construction of mall, hotel tower, call center buildings, parking slots for vehicles, and multi-modal transport terminal.
However, the complaint filed before the Ombudsman stated that the lease agreement reeked with anomalies. First, the KGB Complex is protected by Proclamation Nos. 936 series of 1997 and 683 series of 2004 and should not have been subjected to a lease agreement.
The complaint added that the respondents accepted and approved the Swiss Challenge Method proposed by SMPHI despite the absence of open public bidding.
As a result, they caused undue injury to prospective interested public bidders and gave unwarranted advantage to SMPHI.
For its part, the Office of the Ombudsman believes the respondents should be held liable for graft.
"While it is true that there is no restriction on the use of the seven lots subject to the lease contract and the adoption of Swiss Challenge Method is recognized under the law, the records, however, show that there was no compliance with the required procedure in the grant and award of the lease contract," the Ombudsman resolution read.
On the other hand, the charges for violation of Section 3(a) and (g) of R.A. 3019, R.A. 9184 or the Government Procurement Reform Act, R.A. 3571 or Act to Prohibit the Cutting, Destroying. Or Injuring Of Planted or Growing Trees, and P.D. 1096 or the National Building Code against the local officials have been ordered dismissed.
Officer-in-Charge City Engineering Office Eduardo Santos, Executive Assistant V Angelito Layug, Barangay East Tapinac Chairman Remegio Rodriguez Buenafe,
barangay kagawads Michael Alop, Abraham Ebalo Jr., Jojo De Leon, Florencia Abad, Oswaldo Espinosa Jr., and Arnel Gonzales Jr., and private individual Principe Dizon have also been cleared of the charges.
(MANILA BULLETIN)
Paulino will face charges for violation of Section 3(e) of R.A. 3019 or the Anti-Graft and Corrupt Practices Act alongside Vice Mayor Aquilino Cortez Jr., councilors Elena Dabu, Benjamin Cajudo II, Eduardo Guerrero, Noel Atienza, Alruela Bundang-Ortiz, Edna Elane, Emerito Bacay, Randy Sionzon, and Egmidio Gonzales Jr.
City Planning and Development Coordinator Tony-Kar Balde III, City Accountant Cristiflor Buduhan, City Legal Officer Anna Sison, and City Administrator Mamerto Malabute, City Budget Officer Joy Cahilig will likewise be charged.
On January 7, 2014, SMPHI proposed to lease the Olongapo City Civic Center or the KBG Complex owned by the Olongapo City Government.
Paulino created the special bids and awards committee (SBAC) for that purpose and directed the city councilors to pass legislative measures in connection with the lease.
In response, the councilors passed Ordinance No. 24 series of 2015, accepting the Unsolicited Proposal of SMPHI for long-term lease over the KGB Complex through Swiss Competitive Challenge.
The Swiss Challenge is described as a process in procurement when a public official has received an unsolicited bid for a project, and therefore publishes details of the bid and invites third parties to either match or exceed it.
The lease was awarded to SMPHI on December 16, 2014. It was for 25 years, renewable for another 25 years. The lease rental is P30 per square per month, and it was intended for the construction of mall, hotel tower, call center buildings, parking slots for vehicles, and multi-modal transport terminal.
However, the complaint filed before the Ombudsman stated that the lease agreement reeked with anomalies. First, the KGB Complex is protected by Proclamation Nos. 936 series of 1997 and 683 series of 2004 and should not have been subjected to a lease agreement.
The complaint added that the respondents accepted and approved the Swiss Challenge Method proposed by SMPHI despite the absence of open public bidding.
As a result, they caused undue injury to prospective interested public bidders and gave unwarranted advantage to SMPHI.
For its part, the Office of the Ombudsman believes the respondents should be held liable for graft.
"While it is true that there is no restriction on the use of the seven lots subject to the lease contract and the adoption of Swiss Challenge Method is recognized under the law, the records, however, show that there was no compliance with the required procedure in the grant and award of the lease contract," the Ombudsman resolution read.
On the other hand, the charges for violation of Section 3(a) and (g) of R.A. 3019, R.A. 9184 or the Government Procurement Reform Act, R.A. 3571 or Act to Prohibit the Cutting, Destroying. Or Injuring Of Planted or Growing Trees, and P.D. 1096 or the National Building Code against the local officials have been ordered dismissed.
Officer-in-Charge City Engineering Office Eduardo Santos, Executive Assistant V Angelito Layug, Barangay East Tapinac Chairman Remegio Rodriguez Buenafe,
barangay kagawads Michael Alop, Abraham Ebalo Jr., Jojo De Leon, Florencia Abad, Oswaldo Espinosa Jr., and Arnel Gonzales Jr., and private individual Principe Dizon have also been cleared of the charges.