Gov faces raps over calamity fund misuse

The Office of the Ombudsman has ordered the filing of charges against Negros Oriental Gov. Roel Degamo in connection with the alleged misuse of calamity funds.

Degamo, provincial treasurer Danilo Mendez, accountant Teodorico Reyes and engineer Franco Alpuerto will be indicted for 11 counts of violation of Section 3 (e) of Republic Act 3019 or the AntiGraft and Corrupt Practices Act, according to a resolution signed by Ombudsman Conchita Carpio-Morales and released recently.

Mendez and Reyes will also be charged with 11 counts of falsification of public documents.

Alejandro Lim Jr. of Lim General Contractor Corp., Mark Anthony Clemente of CTC Builders and Supplies Inc., Danny Chan of AJAN Jeada Inc., Wilfredo Chu of Bigfoot Construction and Supply, Farouk Macarambon of Fiat Construction Services, Maribel Ranola of Legazpi Premium Development Corp. and Ricardo Santos of Richmark Construction and Supply were included in the charge sheet.

Investigation showed the Department of Budget and Management (DBM) issued a Special Allotment and Release Order ( SARO) amounting to P961.5 million to Negros Oriental in 2012 after it was hit by Typhoon Sendong and a 6.9-magnitude earthquake.

However, the DBM recalled the SARO after the provincial government failed to comply with the guidelines on infrastructure projects.

Graft probers said Degamo proceeded with the award of 11 contracts amounting to P143.2 million, representing 15 percent advance payment to contractors despite the recall order.

“If respondents had reservations on the legality of the withdrawal of the… SARO, they could have asked a higher...authority or secured a judicial directive allowing them to retain control of the funds,” the ombudsman ruling stated.

The Commission on Audit issued 11 notices of disallowance after the funds were certified as “available” despite the withdrawal of the SARO, the anti-graft court added.