Graft charges set vs Quedancor execs over favored suppliers

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Graft charges set vs Quedancor execs over favored suppliers
The Ombudsman says the 5 accused acted in a concerted conspiracy to have 4 private suppliers corner contracts despite their questionable track record

MANILA, Philippines – Graft charges are set to be filed against 4 officials of a government-run lending facility, the Quedan and Rural Credit Guarantee Corporation (Quedancor).

In a September 26 resolution announced Thursday, October 16, the Office of the Ombudsman approved the indictment of the following officials for approving 4 ineligible private firms as swine and feed suppliers in 7 provinces a decade ago.

  • Mario Molin, Quedancor assistant vice president for Region VI 
  • Jose Antonio Muyuela, Quedancor Iloilo district supervisor 
  • Niño Tabuena, Quedancor Iloilo Credit Assessment Group unit head 
  • Luisito Perez, Quedancor acting assistant vice president for Region III 

Found fit to stand trial by the Ombudsman, the 4 were instrumental in the accreditation of BIRKS Agri-Livestock Corporation (BIRKS), Silver Stock Resources Corporation (SSRC), Metro Livestock Incorporated (MLI), and Farmerstrust Service Consortium Incorporated (FSCI).

The above companies were allowed to corner most of the supply contracts for the corruption-mired Quedancor Swine Program (QSP) in Iloilo, Aklan, Capiz, Bataan, Pampanga, Tarlac and Zambales last 2004. 

SSRC incorporator Excel Salazar will also be charged alongside the 4 Quedancor officials.

The 5 respondents can still appeal the Ombudsman’s findings. The cases will head to the anti-graft court Sandiganbayan in the absence of their appeal within the prescribed period or upon the junking by the Ombudsman of their respective motions for reconsideration.

Corruption-mired

The QSP was a credit program introduced in 2004, which allowed swine raisers to apply for a government loan to be released to them in the form of their needed supplies like hogs, gilts, medicines, and feeds.

Quedancor regional and district offices were responsible for accrediting input suppliers of these items.

Proceeds from the QSP were allegedly used by then President (now Pampanga Representative) Gloria Macapagal Arroyo for her 2004 presidential campaign.

Former Agriculture Secretary Luis Ramon “Cito” Lorenzo Jr was also charged but later on acquitted over an allegedly irregular deal between Quedancor and MLI. In his case, MLI allegedly failed to deliver P47,465,614 ($1.05 million) in supplies to the state firm.

Findings 

Ombudsman Conchita Carpio Morales said the 5 accused acted in a concerted conspiracy favoring the 4 private suppliers despite their questionable track record.

In the 51-page consolidated resolution, the Ombudsman noted that the 4 suppliers had “meager capital” and was lacking in technical capability required for accreditation.

Despite this, a 2005 Commission on Audit (COA) report shows, BIRKS was paid by government a total of P583,273,545 ($12.99 million) for supplies, SSRC for P480,891,030 ($10.68 million), MLI for P382,835,272 ($8.50 million), and FSCI for P28,852,090 ($196,743). 

The Ombudsman found no merit in the complaints against the following officers and officials: Roberto Pagdanganan, Alberto Reyes, Arthur Yap, Rodolfo del Rosario, Rene Villa, Gregorio Tan, Erico Aumentado, Senen Glorioso, Luis Carillo, Luz Cleta Bakunawa, Domingo Panganiban, Lecira Juarez, Nasser Pangandaman, William Hotchkiss III, Francis Ganzon, and 74 others. – Rappler.com

*US$1 = P44.88

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