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Saturday, August 2, 2014

Ombudsman Charged Lapid with graft over the fertilizer fund scam


MANILA (UPDATED) – Senator Manuel “Lito” Lapid was accused by the Office of the Ombudsman of Anti-Graft and Corrupt Practices Act in joining with the P728 million fertilizer fund scam. The ombudsman said a special panel determined that Lapid, Provincial Accountant Benjamin Yuzon and Provincial Treasurer Vergel Yabut committed several violations of the procurement rules after buying fertilizer, which was ten times higher than its original price.

The Ombudsman panel has showed some records showing the provincial government, under Lapid, acquired 3,880 liters of fertilizer at P1,250 per liter from Macro-Micro Fertilizer in 2004, that time Lapid was the governor of Pampanga. The provincial government paid a total of  P4,761,818.18  for that fertilizer alone. It was shown in the investigation that the same kind of fertilizer cost only P120 per liter.

Ombudsman resolution believed that if the Provincial government of Pampanga assumed the purchase through public bidding, it could have purchased a fertilizer of equal or better quality than Macro-Micro Foliar Fertilizer at a lesser or competitive cost. 

Aside the three, there are some people who are also charged in the graft case included the  incorporators of Malayan Pacific Trading Corporation (MPTC) Ma. Victoria Aquino-Abubakar and Leolita Aquino, and Dexter Alexander Vasquez, Proprietor of D.A. Vazquez Macro-Micro Fertilizer Resources.

It was found out, on  March 18, 2004, the Sangguniang Panlalawigan of Pampanga adopted Resolution No. 72 allowing Lapid to enter on the behalf of the province, into a contract with the Department of Agriculture Regional Field Unit III (DA RFU III) for the operation of the Farm Input/Implement Fund/Program (FIFI) in line with the DA’s Ginintuang Masaganang Ani (GMA) Program.

After 11 days, the Agriculture Undersecretary Jocelyn “Joc-Joc” Bolante issued a Memo requesting for the  approval of Sub-Allotment Advise (SAA) for P5,000,000.00. This was covered by Sub-Allotment Release Order (SARO) No. E-04-00164.

On May 21, 2004, then Governor Lapid issued a Purchase Request covering the procurement of 3,880 bottles of fertilizer at P1,250.00 per liter/bottle.He also issued a certification that "there was no suitable fertilizer substitute with the same quality" and that the mode of procurement would be a straight purchase from MPTC.
Photo credit: interaksyon
The Ombudsman stated Lapid, Yabut and Yuzon collaborated with Vasquez, Aquino and Abubakar for the purchase of the fertilizers "in complete disregard of Republic Act No. 9184 (Government Procurement Reform Act) and its Implementing Rules and Regulations."