ON THE heels of complaints against a manager, Benguet Electric Cooperative (Beneco) board member Benny Bomogao also faces accusations of serious misconduct, grave abuse of authority and acts detrimental to the cooperative and member consumers.
Lawyer Emiliano Gayo said Bomogao committed “acts grossly inimical to the interest of Beneco and its members-consumers and causing great damages and prejudice to them, in connection with the purchase by Beneco of the lots situated in South Drive.”
Gayo pointed to the sale of the South Drive lot as being undervalued, undeclared and understated, causing harm to the reputation of the cooperative as well as consumers.
“Damages to the goodwill of Beneco who has been subjected to public ridicule [because of] the purchase of the South Drive property claimed to have been made under scandalous circumstances,” Gayo said in his affidavit.
Gayo, in his complaint submitted to the Beneco board as well as the administrator of the National Electrification Administration in Quezon City dated October 23, is asking for the dismissal of Bomogao as well as the return of P11,924,920 to the cooperative.
He said “the actual purchase price of the [South Drive] property approved and paid by Beneco is P183,448,200, the price in the Deed of Absolute Sale executed and signed for Beneco by then Beneco vice president Bomogao, was undervalued and undeclared/understated at P85,000,000 without the prior knowledge and consent of the Beneco Management and/or Board of Directors.”
Gayo asked Beneco for a prompt, judicious investigation be conducted in accordance with policy and procedure, as well as for him to be placed under preventive suspension from acting as director.
“In view of the seriousness and gravity of the charges supported by unassailable documentary evidence and to prevent him from committing further and other misrepresentation and/or unauthorized, fraudulent representations which would cause additional damages and prejudices to the Beneco and its members-consumers,” Gayo said.
Bomogao personally furnished Sun.Star Baguio his formal answer to the Gayo’s complaint, saying: “In all honesty and good faith, I had discharged my authority within the limits conferred by the Beneco board and the contractual obligations which Beneco entered into, taking into consideration the best interest of Beneco and our constituents.”
But Gayo said a Beneco board resolution provides the purchase price is inclusive of capital gains tax, notarial fees, realty tax up to the date of sale, transfer tax, documentary stamps tax and registration fees from the Registry of Deeds.
“However, Bomogao, in complete disregard of these instruction and provision, and without Beneco’s knowledge and consent, executed and signed the Deed of Absolute Sale with undervalued/underdeclared/understated purchase price and a containing contrary provision charging the CWT and documentary stamp tax, etc. to Beneco,” he said.
Gayo also said that the electric cooperative “actually paid the full purchase price of P183,448,200 under and through the Escrow Agreement ‘inclusive’ of all taxes and fees. But, because of the unauthorized “undervalued/underdeclared/understated purchase price in the Deed of Sale, Beneco has been assessed by the BIR deficiency taxes, interests and penalties of P11,924,920 which the BIR ordered Beneco to pay, and Beneco actually paid the amount, albeit under protest, to the great damage and prejudice of Beneco and its cooperative members-consumers.”
Gayo accused Bomogao of an “unauthorized execution and signing by Atty. Benny O. Bomogao of the Deed of Absolute Sale for Beneco with the ‘undervalued’ purchase price was knowingly and intentionally done by him considering he is a lawyer who is supposed to know his actions would subject Beneco to be assessed and required to pay deficiency taxes, interests and penalties, and be sued for tax evasion and compelled to spend for attorney’s fees and litigation expenses.”
In effect, Gayo explained circumstances causing “the BIR assessing Beneco of deficiency taxes, interest and penalties in the amount of P11,924,920 per its letter-assessment dated October 5, 2010, which Beneco paid as stated above, thereby depriving Beneco of the use of said amount for its operation and maintenance of power facilities and consequently denying the members-consumers of better services, to the great damage and prejudice of Beneco and its more than 110,700 members-consumers.”
Another point raised by Gayo was that “BIR filing [a] criminal complaint against Beneco and its then directors officers with the Department of Justice for tax evasion which subjected and is continually subjecting Beneco to incur litigation expenses for itself and for the respondents-directors, including Bomo-gao, to the great damage and prejudice of Beneco who has to shoulder such expenses and who is being deprived of the time of the respondents-directors in attending to the case instead of devoting their time to serve their functions as directors of Beneco, and, consequently, causing great damage and prejudice to the Beneco and its members-consumers.”
He said the undervaluation/underdeclared/understatement of the actual price of P183,448,200 to P85,000,000 was very obviously done for personal gains of “those who undervalued/underdeclared/understated the purchase price in the Deed of Sale who are presumed under the facts to have benefited from the ‘tax saved’ P7,383,615.”
Gayo said the acts of Bomogao should not bind as they are not binding to Beneco.
He also asked for the dismissal of Bomogao as a Beneco director, after due process has been.
Gayo is asking Bomogao to reimburse P11,924,920, representing deficiency taxes, interests and penalties assessed against Beneco. This amount, he said, should be paid to the BIR.
He also wanted Bomogao to reimburse Beneco all the expenses incurred and to be incurred by Beneco in the ongoing tax case filed against it and the directors-respondents.
“The acts of Atty. Bomogao may warrant the filing of a criminal complaint against him for estafa through falsification of public documents causing Beneco to suffer damages in the amount of P7,383,615 ‘tax saved’,” he said.
He added that Bomogao may be charged with unbecoming of a lawyer, as it could be a violation of his oath and code of professional responsibility of lawyers.