Solon, 4 others cleared of graft by Ombudsman

By Dexter A. See 

BAGUIO CITY – The Office of the Ombudsman dismissed criminal and administrative charges filed by the Public Assistance and Corruption Prevention Office (PACPO) against Rep. Bernardo M. Vergara, who was the former city mayor of the Summer Capital, and four  ranking officials of the city government of Baguio in relation to the alleged misuse of around P9.5 million donations and government funds for the staging of the 203 and 2004 Panagbenga or Baguio flower festival for insufficiency of pieces of evidence.

In a 17-page decision penned by Zamita T. Mationg, Graft Investigation and Prosecution Officer I and approved by Ombudsman ConchitaCarpio-Morales, Vergara, together with retired city treasurer Thelma Manaois, incumbent city budget officer Leticia O. Clemente, current city accountant Antonio Tabin and Rosita de Vera, local treasury operations officer IV were cleared of graft charges on the alleged misuse of the donations for the Panagbenga which was handled by the city government for two years and neglect of duty for failing to protect the interest of the government in the conduct of the said activity.

The decision affirmed the defense of the lawmaker, who was then the chairman of the Baguio Flower Festival Foundation, Inc.(BFFFI) and city mayor as well, and the other respondents, who were members of the BFFFI ways and means committee, that all the questioned funds amounting to P9.5 million that were used by the foundation in running the festival for two years were duly accounted for and not a single centavo was missing or spent for something not intended for the festival.

According to the decision, it cannot be considered that the involvement and participation of Vergara and his four companions in the Panagbenga festival as conflict of interest since they acted for the successful conduct of the festival which will also result to the benefit of the city government.

“The BFFFI is a non-profit, non-stock corporation devoted solely to the management of the Panagbenga festival, a task that is totally in line, and not in conflict, with the objectives of the city government,” the decision stated, adding that “there can be no conflicts of interest in the holding of positions as members of the BFFFI by Vergara and his companions since the city government and the foundation share a common purpose, the successful conduct of the festival.”

“We likewise find nothing abhorrent in the use of city government of city government resources for the benefit of the BFFFI. Let it be recalled that the BFFFI was created to serve as an organization that will run the yearly Panagbenga festival for the purpose of boosting the city’s tourism industry,” the decision added, citing “it is, ultimately, the city government which will benefit from the success of the festival in terms of revenue.’

Furthermore, it cited the use of city resources for the specific government purpose does not violate the provisions of Presidential Decree (PD) No. 1445 or the audit law since it allows the use of government funds and properties if it is intended for a public purpose.

On the administrative offense of neglect of duty against the city officials, the Ombudsman pointed out they acted simply in the discharge of their role as members of the ways and means committee of the BFFFI pursuant to City Resolution No. 138 and the subsequent administrative order relative thereto.

“The donations made by the John Hay Management Committee (JHMC) in the amount of P1.5 million were intended to aid the holding of the Panagbenga festival. Also, we find nothing irregular in the amount of P1 million to the BFFFI from the Priority Development Assistance Fund (PDAF) of Rep. Domogan,” the decision said.

However, “while we find insufficient basis to hold the respondents criminally and administratively liable for the acts complained of, we agree with the audit team that respondents may have disregarded some fundamental rules in the handling of the donations made to the city for the Panagbenga festival. Accordingly, we find it appropriate to admonish the respondents to be more prudent and vigilant in their future handling of the financial matters of the city.”

The case stemmed from the findings of the Commission on Audit (COA) that donations made to the city for the conduct of the 2003 and 2004 Panagbenga festival were not duly receipted, the donations totaling to over P9.5 million did not comply with accounting guidelines, there was conflict of interest among the respondents since they sat as members of the BFFFI ways and means committee while holding their respective positions in the city government, and city government resources were provided to and utilized by the BFFFI without complying with pertinent laws, rules and regulations in violation of the Audit Code of the Philippines.