Graft raps filed vs two ex-governors for alleged mishandling of gov't funds

Graft charges had been filed with the Sandiganbayan against two former governors for alleged fraudulent transactions involving millions of pesos in government funds. Former governor Benjamin T. Loong of Sulu was indicted for eight counts of violation of the Anti-Graft and Corrupt Practices Act (RA 3019), while ex-Antique governor Salvacion Z. Perez was charged on two counts for violating the same law. Based on the information prepared by Graft Investigation and Prosecution Officer II Judy Anne Doctor-Escalona, Loong was accused of pressuring Provincial Treasurer Jesus S. Cabelin to release P41.5 million as cash advances in three installments (March 27, April 2 and April 10, 2007) for the construction of cold storage facilities in Maimbung Sulu. Loong was also held liable for allegedly using his own firm, BJ Coco Oil Mill Inc., to run and manage a provincial government livelihood project – the Cassava Production/Post Harvest Facility in Indanan, Sulu – which received a P4.2-million grant from the government on March 15, 2007. Escalona said Loong tried to cover up this operation by using the Bawisan Multi-Purpose Cooperative (BMPC) as a front in conspiracy with its chairman. However, investigators found that the cooperative was already non-existent when it was awarded, also on March 15, 2007, an P8.2-million contract for the construction of a cold storage facility in Indanan. Graft investigators found that the actual recipient of the contract was BJ Coco Oil Mill Inc. wherein Loong was listed as company president. The prosecution noted that both the ice plant and the post harvest facility were erected inside the BJ Compound in Indanan, located in a private land owned by Loong’s oil mill. Loong was also accused of using his position as governor to corner four road contracts on March 6, 2007 when he approved the resolution of the Bids and Awards Committee declaring (ZC) BJ Construction and Material Supply as the winning bidder for the concreting projects of the Alu-Layag-Sialngkan Road, the Alu-Pangkoh Road, Alu-Layag Road and Indanan-Parang Road. According to Escalona, Loong had unlawful financial interest in the road projects because he is one of BJ Construction's owners and was even holding a seat in the firm's board of directors. Prosecutor Escalona recommended that the graft court set Loong’s bail bond at P240,000, or the sum of the P30,000 bond for each count of graft case. Meanwhile, ex-Antique Gov. Perez was accused of giving undue preference to a private enterprise, Antique Development Foundation, by endorsing the latter to receive P5 million from the Department of Agriculture-Regional Field Unit No. 6 out of the Farm Inputs/Farm Implements Program which later became known as the Fertilizer Fund. Escalona noted that Perez may also be held liable for having financial interest in the said foundation because records showed she was holding the position of “honorary chairman" of the said non-government organization in 2004 when the funds were released. The prosecution asked the Sandiganbayan to set bail bond for Perez at P30,000 for each count of graft. The information for the graft charges prepared by Escalona was approved last May 16 by Acting Ombudsman Orlando C. Casimiro. — LBG/KBK, GMA News