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19 Cebu officials, 2 others sued over lamppost scam

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Tuesday, April 22, 2008
19 Cebu officials, 2 others sued over lamppost scam

MANILA -- Ombudsman Merceditas Gutierrez ordered Monday the filing of graft charges against nine officials of the Department of Public Works and Highways (DPWH), two mayors and eight city engineers in connection with the alleged P365-million lamppost scam in Cebu province.

Ordered charged before the Sandiganbayan were former DPWH Regional Director for Central Visayas Robert Lala, who is now the regional director for Metro Manila; former assistant regional director Gloria Dindin; assistant regional director and bids and awards committee chairperson Marlina Alvizo; and six other DPWH officials.

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Also ordered charged were Mayors Thadeo Ouano of Mandaue City and Arturo Radaza of Lapu-Lapu City; acting Mandaue City engineer Hidelisa Latonio; assistant city engineer Gregorio Omo; and engineers Mario Gerolaga, Alfredo Sanchez Sr. and Rosalina Denque.

Held liable from the Lapu-Lapu City Engineer’s office were City Engineer Julito Cuizon, Assistant City Engineer Fernando Tagaan Jr. and engineer Rogelio Veloso.

Two traders who bagged the contract -- Isabelo Braza, president and chairman of Fabmik Construction and Equipment Supply Company Inc., and Gerardo Surla, chairman of Gampik Construction and Development, were included in the graft cases.

In a separate decision, Gutierrez also ordered the dismissal of all the accused from government services for grave misconduct, except for Radaza.

The fact-finding team established the alleged overpricing by comparing the costs of lampposts as indicated in the programs of work and detailed estimates prepared by Mandaue City and as reflected in the importation documents.

In the programs of work, both local government units (LGUs) recommended P50,172 as cost of each lamppost, but the importation documents gathered by graft investigators showed that the cost was only P6,737.39.

“To jack up the cost this much is tantamount to undue enrichment at government expense. The contracts, therefore, are manifestly and grossly disadvantageous to the government,” Gutierrez said in her ruling.

The ombudsman also said that of all the respondents who most “obviously appear” to be liable were the DPWH officials for approving all the programs of work, awarding the projects and executing the corresponding contracts with the private contractors.

“Virtually, they administered and supervised the acquisition and installation of the lampposts,” Gutierrez added. (EP/Sunnex)

For more Philippine news, visit Sun.Star Manila.

(April 22, 2008 issue)
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