In this INQUIRER file photo published in June 2014, Senator Lito Lapid is seen transferring his voter’s registration to Angeles City. An ally said the move was to qualify Lapid to run for mayor of the city or representative of Pampanga province’s first district. CONTRIBUTED PHOTO
Senator Manuel “Lito” Lapid has posted bail for the graft charge against him over the purchase of allegedly overpriced foliar fertilizers when he was still Pampanga governor.
Lapid arrived at the Sandiganbayan on Monday to undergo the usual booking procedures before posting a P30,000 bail for one count of graft.
In an interview, Lapid said he posted bail ahead of the antigraft court’s resolution finding probable cause against him to hold him on trial and the issuance of an arrest warrant. He said he was ready to face the allegations.
Ombudsman prosecutors filed the graft charge against the outgoing senator for allegedly violating Section 3(e) and 3(g) of the Anti-Graft and Corrupt Practices Act.
State prosecutors said that in 2004 the then Pampanga governor bought 3,880 liters of Macro-Micro foliar fertilizers which was overpriced by P4.268 million.
The transaction allegedly gave undue benefit to Malayan Pacific Trading Corp. (MPTC) and D.A. Vazquez Macro Micro Fertilizer Resources (DAVMMFR).
Prosecutors also noted badges of fraud in the procurement, such as the purchase of the fertilizers from MPTC without public bidding and the inordinate speed by which the transaction was consummated.
The Ombudsman said Lapid issued the purchase order/request on May 24, 2004, on the same day the fertilizers were delivered. The MPTC was also fully paid on May 26, 2004, or just 14 days after the price quotations were submitted by DAVMMFR on May 12.
Lapid also certified that there were no more alternatives to the purchased fertilizers despite the availability of a cheaper substitute, Ombudsman prosecutors said.
The purchase order for the foliar fertilizer also indicated a brand, in violation of the government procurement law.
The MPTC was also paid P4.761 million, or P4.85 million less the taxes, for the foliar fertilizers at P1,250 per liter, which was overpriced by at least P1,100 per liter or P4.268 million, prosecutors said.
Prosecutors added that Lapid gave undue benefit to the suppliers to cause government undue injury worth P4.268 million.
Also charged with Lapid are provincial accountant Benjamin De Guzman Yuzon, provincial treasurer Vergel Baltazar Yabut, and MPTC incorporators Ma. Victoria Aquino-Abubakar and Leolita Aquino, and DAVRRFM proprietor Dexter Alexander Vazquez.
The prosecutors also accused Vazquez of registering their product with the Fertilizer Pesticide Authority on Aug. 15, 2005, or after the May 2004 transaction with Lapid.
The prosecutors also said MPTC entered into the transaction without a certificate of license to operate and product registration.
Funds for the foliar fertilizers were sourced from the P728-million “Ginintuang Masaganang Ani Program” of the Department of Agriculture under the administration of former President Gloria Arroyo. The program was meant to provide poor farmers with fertilizer, irrigation, seeds, education and training, loans, as well as dryers and post-harvest facilities.
The P728-million fertilizer funds were part of an alleged scam of diverting the funds to Arroyo’s campaign kitty to pay off favored local officials. The funds were released three months before the 2004 elections. Arroyo was cleared of the allegations by the Ombudsman.
Under the anti-graft law, Section 3(e) prohibits public officials from causing any undue injury to any party, or giving any private party any unwarranted benefits, advantage or preference in the discharge of his official administrative or judicial functions through manifest partiality, evident bad faith or gross inexcusable negligence.
Meanwhile, Section 3(g) also considers as a corrupt practice entering into any contract or transaction manifestly and grossly disadvantageous to the government, whether or not the public officer stand to profit from the transaction.
Lapid is seeking the mayoralty seat in Angeles City in 2016 after his six-year term as senator.
He has been known as a top absentee in the Senate. His son Mark, current head of the Tourism Infrastructure and Enterprise Zone Authority, would seek the Senate seat in 2016 as a guest candidate of the Liberal Party.