The Office of the Ombudsman has recommended the prosecution of former Agrarian Reform Secretary Nasser Pangandaman, four of his department’s officials and 36 others for allegedly diverting P200 million in funds meant for farmers to nongovernment organizations (NGOs) controlled by Janet Lim-Napoles.
The charges that the 41 officials face are violation of the Antigraft and Corrupt Practices Act and estafa through falsification of public documents, according to the case filed by prosecution officer Ryan Medrano and approved on Sept. 11 by Maria Olivia Elena A. Roxas, director of the General Investigation Bureau.
Named in the charge sheet aside from Pangandaman were his aides in the Department of Agrarian Reform (DAR)—Undersecretary Narciso Nieto, Director Teresita Panlilio, Budget Officer Ronald Venancio and Cashier Nilda Baui. The four are still with the department.
Also recommended for prosecution were Angelita Cacanta, former DAR chief accountant, lawyer Editha Talaboc, Delfin Agcaoili Jr., Mark Oliveros, Lucita Solomon, Wilberto de Guzman, Mercedes Lindo, Margarita Guadinez, Gina Pascual, Noel Macha, Nemesio Pablo, Jun Damasco, Lorenz Suñas, Jocelyn Piorato, Hernanie Ditchon, Wanny Plaza, Aljerome Benito, Jeff Afuang, Jojo Flores, Ireneo Perrater, Mae-anne Kilapkilap, Jose Flores, Rose Guinto, Renato Ornopia, Theresita Samson, Mylene Encarnacion, Roman Briones and John Raymond Asis.
Former Napoles employees Benhur Luy, Merlina Suñas and Marina Sula were among those recommended for prosecution, obviously to be released later to turn state witnesses. They were the principal whistle-blowers against Napoles in her plunder cases involving the P10-billion pork barrel scam and the P900-million heist involving the Malampaya Fund.
A respondent in the Malampaya Fund case, in which Napoles allegedly hijacked funds meant for victims of Tropical Storms “Ondoy” and “Pepeng,” is former President Gloria Macapagal-Arroyo, now a Pampanga representative who is under hospital arrest.
Most of the accused in the P200-million DAR racket uncovered from 2007 and 2008 were likewise named in the plunder charges filed on Oct. 3 in connection with the Malampaya case.
The Ombudsman’s investigators said in the charge sheet that it was “beyond dispute that the falsified documents were extensively employed to fully substantiate the release, disbursement and utilization of the funds” channeled through NGOs controlled by Napoles.
“The DAR officials in conspiracy with the NGO officers, the external accountant, notary public, took advantage of the situation and forged the signatures of the sitting mayors to show that the latter had assisted and facilitated in the implementation of the fictitious DAR project,” they said.
“Their well-organized scheme clearly illustrates their fraudulent intent and motive to obtain gain from a deceitful and anomalous undertaking to the prejudice and damage of the beneficiaries.”
The P200-million fund, covered by a special allotment release order (Saro), dated Dec. 4, 2007, was released to the DAR as implementing agency under Pangandaman.
Ghost deliveries
Apart from the statements of mayors who were supposed to receive the fund, whistle-blowers led by Luy also said the signatures of the mayors were forged to make it appear that they had requested financial assistance from the DAR and that the projects were implemented in support of agribusiness development in cooperation with seven NGOs identified with Napoles.
Luy said the deliveries “were mostly ghost deliveries or grossly overpriced.”
The P200-million fund was classified as an additional program fund to be generated by overall savings from the 2007 budget.
The money was to cover fund support for agribusiness development under the Comprehensive Agrarian Reform Program.
The NGOs implicated in the scam were Philippine Agri and Social Economic Development Foundation, Agri and Economic Program for Farmers Foundation, Agrikultura para sa Magbubukid Foundation, Social Development Program for Farmers Foundation, People’s Organization for Progress and Development Foundation, Masaganang Ani para sa Magsasaka Foundation, and Countrywide Agri and Rural Economic Development Foundation.
The towns ostensibly given P5 million each were Talacogon, Jabonga, Tubay in Agusan del Norte; Sta. Josefa, San Agustin, Esperanza, San Luis, Bunawan and Veruela in Agusan del Sur; Bacuag, Gigaquit, San Benito, Burgos, San Francisco, Tubajon, Claver, Alegria and Socorro in Surigao del Norte; Bayabas, Lianga, San Miguel, Marihatag, Madrid and Cagwait in Surigao del Sur; Divilacan and Tumauini in Isabela; Doña Remedios Trinidad and Marilao in Bulacan; Esperanza in Masbate; Rosales and Mapandan in Pangasinan; Amadeo in Cavite; Barauen in Leyte province; Pitogo in Zamboanga del Sur province; Talusan in Zamboanga Sibugay province; San Jose in Batangas; and Sanchez Mira and Piat in Cagayan.
Each town was supposed to be given 130 agricultural supply packages (seeds, farming tools and ergonomic knapsack sprayer) valued by the NGOs at P36,558 each.