Catbalogan, Samar, Philippines

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Ombudsman files graft charges against Samar Governor, 6 others for anomalous purchase of medicines

Press Release
By Office of the Ombudsman
September 7, 2006


Governor Mila Tan

Ombudsman Ma. Merceditas N. Gutierrez yesterday ordered the filing of graft charges against the Governor of Western Samar and six others for the alleged anomalous  purchases of medicines and other goods worth P16.1M without public bidding for the period Dec. , 2001 – Dec. 2002.

In a 36-page Resolution, Ombudsman Gutierrez found probable cause and hence ordered the filing of eight informations for Violation of RA 3019 ( Anti-graft and Corrupt Practices Act) against Gov. Milagrosa Tee Tan; Treasurer Damiano Zerda Conde Jr.; Budget Officer Maximo Darunday Sison; Administrative Officer Rolando Bolastig Montejo; Gen. Services Officer (GSO) Aurelio Bardaje Jr.; GSO Record Officer and Inspector Numeriano Legaspi; Accountant Romeo Chan Reales; and several John and Jane Does.

The said officials were charged by the Isog Han Samar Movement of Catbalogan, Samar represented by Fr. Noel Labendia of the Diocese of Calbayog, Catbalogan, Samar, based on investigation conducted by the Commission on Audit (COA) on selected transactions of the Province of Western Samar from Jan. 1, 2001 – April, 2003.

Among the transactions audited were for the purchase of medicines worth  P3.9M;assorted goods and rice – P10.6M; and electric fans – P1.6M for a total of P16.1M.

Investigations also reveal that no competitive public bidding took place for the purchase of electric fans as the delivery of the same were made even before the conduct of public bidding.

Based on records, the respondents also used the occurrence of typhoon “KIdang” on Dec. 4-5, 2001 to justify their action to dispense with the public bidding and instead resort to an emergency purchase of various medicines and goods.

However, it was found out that while the emergency purchases for various medicines and goods were intended for victims of typhoon “KIdang”, “the Sangguniang Panlalawigan Resolution No. 88-2001 attached to the Disbursement Vouchers refers to typhoon “Nanang” which hit the province of Samar on Nov. 6, 2001.”

At the same time, one emergency purchase of assorted medicines was anchored on a request made by the Local Health Board of Gandara dated Oct. 22, 2001, two months prior to the occurrence of typhoon “Kidang”.

The other purchase was based on a letter-request of the Tarangnan Municipal Mayor dated Dec. 3, 2001, a day before the locality was hit by the typhoon.

On the other hand, it describes as “absurd” the emergency purchase of rice and goods from Wilmart’s Mini Mart seven days after the typhoon. Also, the canvass, issuance of Purchase Order, the delivery of the merchandise and the inspection took place in just one day. The Office of the Ombudsman said the transaction is highly suspect as Wilmart’s Mini Mart only has a capitalization of P100,000 and is not even registered as a rice supplier. It is also 107 kms. away from Samar which makes it improbable to deliver several hundreds of sacks of rice in just one day.

As a result, Ombudsman Gutierrez ordered the filing of eight Informations for Violation of Sec. 3(e) of RA 3019 before the Sandiganbayan against the said respondents. All respondents were likewise found guilty of Grave Misconduct, Dishonesty and Conduct Prejudicial to the Best Interest of the Service and were meted the penalty of dismissal from the service.

However, since Tan was re-elected during the May 2004 elections, the said penalty cannot be imposed on her.

Assistant Ombudsman Mark E. Jalandoni then directed Gov. Tan and the Dept. of Finance to immediately implement and report the implementation of the Decision to the Office of the Ombudsman within five days from receipt of the same.