Integrity in Peril

Hole of Justice

by Peter G. Jimenea

 
Integrity in Peril

The Iloilo City Government Housing Project for 413 houses of city employees was signed by then Mayor Mansueto Malabor in2001. A P120M bond flotation to bankroll the project was approved by city officials and was cornered by the Philippine National Bank (PNB) for an interest of P5M.

When Jerry Trenas became a new mayor on the same year, it was turned over to him by Mayor Malabor for implementation. The Ace Builders owned by Alex Trinidad undertook the construction of the 413 units of houses.

As the construction started the loan of the city government with PNB (P125M plus interest) was transferred to Philippine Veterans Bank (PVB) on a P12M expense for documentation alone. On why only God knows, but this raised the city government’s accountability to a new P137M.

But few months later, it was discovered that the materials used by the contractor to build the houses were substandard. Thus, the city council issued resolutions urging the mayor to rescind the contract and sue the contractor.

Unfortunately, Mayor Trenas ignored them and continued paying the contractor’s billing in millions. For that two councilors, Atty. Antonio Pesina, Atty. Raul Gonzalez, Jr. with a lawyer, Atty. Romeo Gerochi, filed  different cases against the mayor and company with the Office of the Ombudsman in 2004.

On May 9, 2005, the cases were resolved by Graft Investigation and Prosecution Officer I, Pio Dargante. And after review by Dir. Edgardo Canton they were recommended for approval by Deputy Ombudsman for the Visayas Primo Miro, on May 23, 2005.

They resolved to indict former Mayor Malabor and recommended the filing of information against Mayor Trenas. But the case slept there and seem to die there at the Office of Monalisa, ehe, este Merceditas Gutierrez, for reasons solely known to her.

After five years, on August 10, 2010, Overall Deputy Ombudsman Orlando Casimiro, presented the Resolution of the case indicting Malabor and group but give more time for further investigation of Mayor Trenas’ involvement in this housing mess.

If we may suggest to Ombudsman Conchita Carpio Morales, please scrutinize the last five (5)pages of the Resolution whether there are changes that has affected the course of the resolution without its investigators getting wind of it.

The above is just a suggestion for I have been lambasting the poor Deputy Ombudsman for the Visayas Pelagio Apostol who now seems badly beaten by his looks. It is widely believed that somebody from the Head Office has a hand in twisting this housing case.

I would place my integrity as a writer in this growing widespread public perception that if there is nothing wrong with that original resolution, I will quit as a columnist. As to contrition of the culprit in this mess, apology not accepted!  

A Weak Defense

Hole of Justice
by Peter G. Jimenea

A Weak Defense

In 2001, the Iloilo City Government loaned a P125M from the PNB for the construction of 413 low-cost houses of city employees. When the construction started, the loan was transferred to the Philippine Veterans Bank (PVB). Cost of documentation was P12M raising our accountability to P137M.

The P12M cost for documentation alone can surely drive an honest bank accountant to the brink of insanity. It is widely believed this could only be done by collusion of bank officials and government crooks who cannot resist the temptation of greed!

Worse, the Ace Builders Enterprise was caught using substandard materials that forced the city council to issue a unanimous resolution urging the city mayor to rescind the contract and sue the contractor. But Mayor Jerry Trenas, now a congressman, ignored them and continued paying the contractor’s billing.

The pressured contractor abandoned the project but not until he pocketed over P64M. The housing project that started in 2001, ended in 2009 without even a unit completed. Yet, no case was filed by the mayor against the contractor. On why only God knows!

In 2004, a case against the mayor and others involved was filed by two city councilors at the Office of the Ombudsman then headed by Merceditas Gutierrez. But the case folder only changed hands from one deputy to another until we heard nothing about it.

Eventually, on May 9, 2005, the case was resolved by Graft Investigation and Prosecution Officer I, Pio Dargante. It was reviewed by Dir. Edgardo Canton and recommended for approval On May 23, 2005, by then Deputy Ombudsman for the Visayas Primo Miro.

Surprisingly, it took five years for Overall Deputy Ombudsman Orlando Casimiro to approve the Consolidated Resolution. Worse, he indicted former mayor Mansueto Malabor who signed the contract but spared now Cong. Trenas who spent the money on the premise of further probing about his involvement

Deliberate or not, Ombudsman Casimiro has stepped over-the-line of pardonable behavior in this decision. A student of law surely knew the unauthorized payment of Mayor Trenas to the contractor is embraced in RA 3019 or the Anti Graft and Corrupt Practices Act.

On August 10, 2010, Casimiro tasked Deputy Ombudsman for the Visayas Pelagio Apostol to conduct a further investigation on Trenas involvement in the housing project anomaly. But next month would be three years already, yet, nothing was heard about this case in the office of Apostol at CAP Building, Gen. Luna St., Iloilo City.


Apostol's stone-walling and blame-tossing to get out from his official accountability and responsibility in this case would do no good. He will only make a clown of himself if he says there’s no probable cause to indict former Trenas because if he does, liar he could only be!

He blamed Dir. Virginia Palanca Santiago in the delay of this case as what he did in his presscon at Bacolod City. But he failed to see that this is now in his hand to decide and alibi is a weak defense. "Jurisprudence borne from experience tells us that perfect testimonies cannot be expected from imperfect senses!" (Pp vs. Sahagun, 274 SCRA 208).

Lowly employees of the Office of the Ombudsman Visayas are most sorely tempted to accept bribe but don’t. I hope the widespread misperception about Deputy Ombudsman Apostol is a mere perception, otherwise, the law will recent it - the abuse of right is the greatest possible wrong. (Arlegui vs. CA, 378 SCRA 322).

Hole of Justice: The Helpless

Hole of Justice: The Helpless: Hole of Justice By Peter G. Jimenea Helpless “The local franchise taxes levied by the local governments and remitted by the power...

Hole of Justice: The Helpless

Hole of Justice: The Helpless: Hole of Justice By Peter G. Jimenea Helpless “The local franchise taxes levied by the local governments and remitted by the power...

The Helpless

Hole of Justice

By Peter G. Jimenea

Helpless

“The local franchise taxes levied by the local governments and remitted by the power company are legitimate expenses which the law allows to be recovered from customers as these charges are considered a pass-through cost.”

This is what Energy Regulatory Commission (ERC) Executive Director Francis Saturnino Juan said about the rate increases of power companies approved by ERC officials as in the case of Meralco.

A pass-through cost charged to customers for repair and rehabilitation of the transmission lines and other expenses of the power companies is giving us an impression that stockholders investments are immune from losses.

The compounding problem is the reaction of Presidential spokesperson Abigail Valle about the snowballing complaint of consumers regarding ERC’s approval of the petition for the continuing rate increases by power companies.

She said Malacanang can do nothing to stop the ERC as it is an “independent body” not under sanction by the Department of Energy (DoE). Palace can only monitor but as to rate increase, it is beyond their control. I’m sure you know what that means!

Malacanang has been muttering its administration must gird for war against corruption, na “walang mahirap kung walang corrupt.” But the president thus far, has shown they can do nothing, hinting a grim possibility of helping the poor in this case.

The National Grid Corporation of the Philippines (NGCP) had been asking ERC a P0.82 rate increase to recoup the P80.2M allegedly spent for the rehabilitation, repair and restoration of transmission line facilities damaged by typhoon Bayang and Juan in 2010.

Meralco also wants to recover its losses from maintenance and repair which should be charged to customers in the amount of P2.3B. Other companies have also their respective petition filed with the ERC on rates increase.

In fact, Panay Energy Development Corporation (PEDC) that managed the coal-fired power plant owned by the Global Business Corporation (GBC) in Barangay Ingore, La paz, Iloilo City, has already effectively charged the P692M losses to customers.

Surprisingly, the palace spokesperson, perhaps, hoping to ease the tension, said they will monitor prices and provide these information to update the public. But prices on basic goods, fuel and medicines only, as to power rate increase none!

Mind you, but every power company has its own term for this racket. The PEDC has the “Under Recovery Program” for the P692M chargeable to customers. And know what? The ERC called it tax recovery adjustment cost.

Adjustment cost? The amount was due to the PEDC’s testing of the plant and other business related costs. This gives us erroneous suspicions that ERC officials are heartless people who easily yield to temptation of greed.

It pains me to imagine that the ERC office has been overrun by thieves. But the trend speaks of the same tone. What’s more, with absolute freedom to decide on their own, the ERC officials had made Pres. Aquino looked like a kid in school uniform!

This is not what we think ERC business is all about. But its approval of PEDC’s rate increase is a concept of justice at odds with due process – to punish us consumers for its wrong committed.  And oh my God, while ERC officials are heartless, Pres. Aquino is….. see the title!

Hole of Justice: Helpless

Hole of Justice: Helpless: Hole of Justice By Peter G. Jimenea The flyover Iloilo City has two flyovers constructed during the tenure of Mayor (now Cong.) J...

Helpless

Hole of Justice

By Peter G. Jimenea

The flyover

Iloilo City has two flyovers constructed during the tenure of Mayor (now Cong.) Jerry Trenas. One in front of UPV-Iloilo and the other one between PNP Station 1 and the University of San Agustin (USA).

If one noticed, the foundation or supporting posts of these flyovers were made of pre fabricated materials. In short, these materials are cheaper and we expect a big savings of the government from these projects.

The one in UPV-Iloilo has a length of 250 meters but cost P420M. While the 300 meters flyover between the PNP Precinct 1 and the USA cost P330M. According to DPWH Regional Director 6, Rolando Asis, a one kilometer concrete road cost only P20M to P22M.

Therefore, the P750M spent for the two flyovers can construct a concrete road of thirty seven and a half (37.5) kilometers, a distance from the City of Iloilo to the Municipality of Miag-ao in the Southern part of Panay Island.

It is widely believed that no government project like flyovers can be constructed in places like the highly urbanized Iloilo City without prior approval from local chief executive. Knowing about standard operating procedure (SOP) in projects, the nod of the mayor is widely believed in exchange for - you know what!

Now look at the highly controversial flyover in Baguio General Hospital. It is 271 meters long with initial budget of P88M but it was only completed in 2008 after an additional P84.2M or for a total cost of P172.2M.

The added amount to finish the flyover earned a much publicized controversy. Baguio Cong. Mauricio Domogan jumped to the rescue by saying the added cost was due to the delay in the construction. The people, however, would not easily believe with this justification.

Had the Baguio congressman learned about the two flyovers in Iloilo City, he could have easily convince his constituents that there was no taint of corruption in their project flyover despite the delay in construction.

The 271 meters Baguio flyover is longer than our 250 meters flyover at the front of UPV Iloilo City, yet it cost only P172.2M. But our 250 meters long flyover at the front of UPV-Iloilo cost P420M or three times the price of Baguio flyover!

Funny indeed. The 300 meters flyover between the Police Precinct 1 and USA is longer by 50 meters than the one in UPV-Iloilo but cost only P330M. But the 250 m. in UPV-Iloilo cost P420M. Its true, whom the gods wish to destroy they make them first insane!

These corruption tainted projects of the government has made a lot of public officials outright-millionaires. Worse, after having tasted the simulated thrill of easy money, they began asking compensation for what they never lost!

The two flyovers constructed in the City of Iloilo during the tenure of now Cong. Trenas as mayor and the Pavia Housing Scam are the most despised projects this city ever had. But God knows, quails vita, finis ita –the way you live determines the way you die!

The Flyover

Hole of Justice

By Peter G. Jimenea

The flyover

Iloilo City has two flyovers constructed during the tenure of Mayor (now Cong.) Jerry Trenas. One in front of UPV-Iloilo and the other one between PNP Station 1 and the University of San Agustin (USA).

If one noticed, the foundation or supporting posts of these flyovers were made of pre fabricated materials. In short, these materials are cheaper and we expect a big savings of the government from these projects.

The one in UPV-Iloilo has a length of 250 meters but cost P420M. While the 300 meters flyover between the PNP Precinct 1 and the USA cost P330M. According to DPWH Regional Director 6, Rolando Asis, a one kilometer concrete road cost only P20M to P22M.

Therefore, the P750M spent for the two flyovers can construct a concrete road of thirty seven and a half (37.5) kilometers, a distance from the City of Iloilo to the Municipality of Miag-ao in the Southern part of Panay Island.

It is widely believed that no government project like flyovers can be constructed in places like the highly urbanized Iloilo City without prior approval from local chief executive. Knowing about standard operating procedure (SOP) in projects, the nod of the mayor is widely believed in exchange for - you know what!

Now look at the highly controversial flyover in Baguio General Hospital. It is 271 meters long with initial budget of P88M but it was only completed in 2008 after an additional P84.2M or for a total cost of P172.2M.

The added amount to finish the flyover earned a much publicized controversy. Baguio Cong. Mauricio Domogan jumped to the rescue by saying the added cost was due to the delay in the construction. The people, however, would not easily believe with this justification.

Had the Baguio congressman learned about the two flyovers in Iloilo City, he could have easily convince his constituents that there was no taint of corruption in their project flyover despite the delay in construction.

The 271 meters Baguio flyover is longer than our 250 meters flyover at the front of UPV Iloilo City, yet it cost only P172.2M. But our 250 meters long flyover at the front of UPV-Iloilo cost P420M or three times the price of Baguio flyover!

Funny indeed. The 300 meters flyover between the Police Precinct 1 and USA is longer by 50 meters than the one in UPV-Iloilo but cost only P330M. But the 250 m. in UPV-Iloilo cost P420M. Its true, whom the gods wish to destroy they make them first insane!

These corruption tainted projects of the government has made a lot of public officials outright-millionaires. Worse, after having tasted the simulated thrill of easy money, they began asking compensation for what they never lost!

The two flyovers constructed in the City of Iloilo during the tenure of now Cong. Trenas as mayor and the Pavia Housing Scam are the most despised projects this city ever had. But God knows, quails vita, finis ita –the way you live determines the way you die!

Unpardonable Selfishness

Hole of Justice

By Peter G. Jimenea

Unpardonable Selfishness!

I am one of those who favor the putting up of a coal-fired power plant in Iloilo City. I was enticed by the promise of the management that once it becomes operational, the price of electricity will be reduced by P2 per kwh.

The Global Business Corporation (GBC), owner of the Coal-Fired Power Plant and the Panay Energy Development Corporation (PEDC) that manage the full operation of the business have attested to this pledge.

But after a year, PEDC officials filed a petition for Under Recovery Collection of the P698.2M alleged losses with the Energy Regulatory Commission (ERC). This is  to be charged against the consumers account without the public getting wind of it.

The alleged P698.2M losses has incurred during the emission and other testing operation of the coal-fired power plant. The petition seeks that this amount will be gradually added as increase to the Panay Electric Company’s (PECO) billing to consumers. The ERC granted the petition and the P698.2M is now a consumers’ headache for the next five years!

This is not what we think the ERC business is all about. Energy officials approved the rate increase so hastily as if passengers catching the last plane out. It creates an impression without affirming the perception that the approval of the petition is in exchange for - you know what!

The ERC officials should know that it is only for them, the greedy stockholders and government crooks that what they did is good. Losses in the operation are part of the risks in a business venture that should be charged from the capital of investors, not from consumers’ pocket!

If the losses are true as PEDC officials claimed to have incurred, the consumers have nothing to do with it. So why charged them that P698.2M when they have not even used that energy? Profit and Loss are parts of the business venture of the investors, not of consumers!

What’s more, PEDC petition was approved by ERC since December 2011, then what caused the delay to send a copy to the city government which it received only in June this month? Why did PEDC officials fail to send a copy of the ERC approved petition to our city officials on time?

Again, the increase in our electric bills for the past three months is suspicious. Is the Under Recovery Collection of PEDC already start without the public getting wind of it? It surprised us , but the law says;  nemu punitor pro alieno delicto – no one is punished for the crime of another!

A promised cheap power by GBC has lasted only for about three months. Now officials are rebounding back pounding the consumers’ pocket for every chance they get. Falsus in uno, falsus in omnibus – he who has lied about one thing is most likely to lie about everything. (Ramos vs. CA, 188 SCRA 450).

ERC officials are widely believed to have succumbed to temptation of greed in this case. We had been treated before by companies with selfish stockholders and officers colluding with government officials at the expense of the public. What is somewhat missing in the empty lives of these people is to die with dignity!

It is written though, qui peccat ebrius luat sobrius – he who offends when drunk shall be punished when sober. Deliberate charging of the P698.2M company’s losses to the poor consumers is injustice that cries to God for punishment. As to contrition for this misdeed, apology not accepted!

The Coal-Fired Power Plant

Hole of Justice

by Peter G. Jimenea

The Coal-Fired Power Plant!

Sen. Franklin Drilon is disgusted by the decision of the Energy Regulatory Commission (ERC) granting the request of Panay Energy Development Corp. (PEDC)  to collect from city power consumers the losses it incurred during the initial stage of its operation amounting to P692 million.

This is a 360 degrees turn-around by PEDC and the Global Business Corporation (GBC) from their promised power reduction of P2 per kwh to consumers once its plant starts operation. As it turned out, liars they could only be!

The alleged P692M losses of the power plant during emission and other testing operation will be charged to consumers. This rate increase approved by the ERC will be slowly charged to the consumers which shall appear in the Panay Electric Company’s (PECO) monthly billings.

This is not what we think the ERC business is all about. Its decision is anti-poor. The approval of PEDC’s petition to collect its losses from power consumers is a clear injustice. We have nothing to do with that loss that rightfully belonged to them. Oh my, what is somewhat missing in the empty lives of these people is to die with dignity!

ERC officials should know that it is only for them and the stockholders of the coal-fired power plant that the petition was good. In business venture, losses are part of the risks that should be shouldered by the investors. It should be deducted from their paid-up capital invested, not from consumers’ pocket!

If losses as PEDC officials claimed are true, the consumers have nothing to do with it. We are only obliged to pay our monthly billings to PECO. So why charge us the P692M when we have never used that energy? Company’s profit and loss are parts of the ventures of investors, not of consumers!

The public perceived a collusion between PEDC and the ERC officials due to the delayed delivery of copy of the approved petition to the city government when it was already a done deal since December 2011. This reinforced the widespread belief that millions played a big role in this corruption tainted ERC decision.

Pragmatism tells us that no business venture is free from losses. Stockholders of GBC and their stooges understand this. But love-of-money propelled them to bleed more the poor with that petition reeking with domino theory. Yes, P.32 centavos increase today, another increase tomorrow and so on and so forth!

GBC and PEDC officials are overtly professing their covert undertaking. Lowly employees of the coal-fired power plant are most sorely tempted to cheat but don’t, what a shame. Falsus in uno, falsus in omnibus – he who has lied about one thing is most likely to lie about everything. (Ramos vs. CA, 188 SCRA 450).

It was only our misfortune that ERC officials have succumbed to temptation of greed. They approved that Under Recovery Collection of PEDC charging the poor consumers with electricity they have never used. This act is contra bonos mores - against good morals or contrary to sound established practice!

We have the right to oppose this unjust power charges approved by ERC crooks. Ubi jus ibi remedium – where there is right, there is remedy. (Gabita vs. Perez, 169 SCRA 517). If people are stripped naked of their rights as human beings, democracy cannot survive and government becomes meaningless. I’m sure Sen. Drilon subscribes to this!  

 Charging the P692M to the poor consumers is injustice that cries to God for punishment. ERC crooks should know, their tragedy is not to die but having no one to cry. Remember, for a good public servant, he is better missed than damned. I hope there is now a signature campaign against this unjust PEDC charges!

The Coal-Fired Power Plant

Hole of Justice

by Peter G. Jimenea

The Coal-Fired Power Plant!

Sen. Franklin Drilon is disgusted by the decision of the Energy Regulatory Commission (ERC) granting the request of Panay Energy Development Corp. (PEDC)  to collect from city power consumers the losses it incurred during the initial stage of its operation amounting to P692 million.

This is a 360 degrees turn-around by PEDC and the Global Business Corporation (GBC) from their promised power reduction of P2 per kwh to consumers once its plant starts operation. As it turned out, liars they could only be!

The alleged P692M losses of the power plant during emission and other testing operation will be charged to consumers. This rate increase approved by the ERC will be slowly charged to the consumers which shall appear in the Panay Electric Company’s (PECO) monthly billings.

This is not what we think the ERC business is all about. Its decision is anti-poor. The approval of PEDC’s petition to collect its losses from power consumers is a clear injustice. We have nothing to do with that loss that rightfully belonged to them. Oh my, what is somewhat missing in the empty lives of these people is to die with dignity!

ERC officials should know that it is only for them and the stockholders of the coal-fired power plant that the petition was good. In business venture, losses are part of the risks that should be shouldered by the investors. It should be deducted from their paid-up capital invested, not from consumers’ pocket!

If losses as PEDC officials claimed are true, the consumers have nothing to do with it. We are only obliged to pay our monthly billings to PECO. So why charge us the P692M when we have never used that energy? Company’s profit and loss are parts of the ventures of investors, not of consumers!

The public perceived a collusion between PEDC and the ERC officials due to the delayed delivery of copy of the approved petition to the city government when it was already a done deal since December 2011. This reinforced the widespread belief that millions played a big role in this corruption tainted ERC decision.

Pragmatism tells us that no business venture is free from losses. Stockholders of GBC and their stooges understand this. But love-of-money propelled them to bleed more the poor with that petition reeking with domino theory. Yes, P.32 centavos increase today, another increase tomorrow and so on and so forth!

GBC and PEDC officials are overtly professing their covert undertaking. Lowly employees of the coal-fired power plant are most sorely tempted to cheat but don’t, what a shame. Falsus in uno, falsus in omnibus – he who has lied about one thing is most likely to lie about everything. (Ramos vs. CA, 188 SCRA 450).

It was only our misfortune that ERC officials have succumbed to temptation of greed. They approved that Under Recovery Collection of PEDC charging the poor consumers with electricity they have never used. This act is contra bonos mores - against good morals or contrary to sound established practice!

We have the right to oppose this unjust power charges approved by ERC crooks. Ubi jus ibi remedium – where there is right, there is remedy. (Gabita vs. Perez, 169 SCRA 517). If people are stripped naked of their rights as human beings, democracy cannot survive and government becomes meaningless. I’m sure Sen. Drilon subscribes to this!  

 Charging the P692M to the poor consumers is injustice that cries to God for punishment. ERC crooks should know, their tragedy is not to die but having no one to cry. Remember, for a good public servant, he is better missed than damned. I hope there is now a signature campaign against this unjust PEDC charges!