The Iloilo City Housing Scam

Hole of Justice

by Peter G. Jimenea

The Iloilo City Housing Scam

We learned recently that the unsold portion of the city government lot in Pavia, the supposed site of the failed low cost housing for poor city hall employees, will soon be in-line for sale by our city officials. As to what purpose, they have yet to say.

The failed project that started in 2001, during the term of now Cong. Jerry Trenas as city mayor, was abandoned by the contractor and had totally deteriorated in 2009. Out of the 413 houses as stipulated in his contract with the city government, not even a unit was completely built by the contractor.

Local media practitioners informed this writer the mayor was riled by my expose' of corruption in his administration. He doesn't know that we are also fed-up by reports of deliberate wastage of taxpayers money. Few honest city hall employees even commented that as to contrition for what he did, apology cannot be accepted!

This Iloilo City Government Employees Low Cost Housing Project at Pavia, Iloilo, was bankrolled by a loan of P120 Million from the Phil. National Bank (PNB). The contract was awarded to Ace Builders, Inc. owned by Mr. Alex Trinidad, a friend of Mayor Trenas.

When the construction started, the P120M loan from the PNB was transferred to the Philippine Veterans Bank (PVB). On why, only God knows. But reports claim that a relative of the mayor has a big role in the transfer of loan which eventually bind the city government to a new account payable of P132M due to expensive documentation.

The problem started when the materials used by the contractor in construction of the supposed 413 units of houses were discovered of substandard quality. Alarmed by the discovery, the city council pass a resolution urging the mayor to rescind the contract with Ace Builders and sue Mr. Trinidad.

It was only a misfortune that Mayor Trenas cannot be intimidated by a resolution. He just ignored it and continued paying the contractor's billing in millions of pesos that despite the residual imperfection their will was done!

The amount paid for that abandoned project could already hold the mayor liable for violation of RA 3019 or the Anti Graft and Corrupt Practices Act. As lawyer, he surely knew the official responsibility and accountability attendant thereto. Yet, the law seems a stranger to him who feels immune from consequences of his act.

For that, the housing Project that started in 2001 during his first term as mayor has ended a “white elephant” in 2009. In street-smart parlance, a "hao shiao" project. The mayor should know that it is only for him and the sharing groups that what he did was good!

Few have the faintest idea that the city government had been paying P17,000 daily interest for that failed housing project including holidays for over a year. The total interest paid for this mess has amounted to P24.7M. This deliberate injustice to the taxpayers' money is a crime that cries to God for vengeance!

Only the intervention of the Ombudsman has stopped the mayor from paying the contractor. Unfortunately, Mr. Trinidad had already pocketed P62.5M.of the city government fund before the public has got wind of it.

Due to this mess, we cannot easily dispel the public impression without affirming the perception that Trenas is the most despised mayor Iloilo City ever had. Yet, he cited his victory last election as a continuing trust of the people towards him, Sad to say, but the people he referred to are today's poll-vendors!

He failed to see the regretting majority who voted for him into office. The same is true with the growing number of middle class who are now convinced that he overtly professed what he covertly undertake. They eventually realized this absurd legacy is now a scroll that forms the basis of his blasphemy!

This story won't easily go away because God knows, lowly employees are the most sorely tempted to steal but don't. Now they have to tolerate brave words to save face. But it is written, que peccat ebrius luat sobrius - he who offends when drunk shall be punished when sober!