Rep. Arnel Ty found guilty of unauthorized LPG refilling

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A partylist lawmaker has been found guilty by the Malabon City Regional Trial Court of unauthorized refilling of cooking gas cylinders that belong to giant oil companies — Pilipinas Shell Petroleum, Petron and Total Gas.

In a 16-page decision released by the Department of Justice (DOJ), Malabon RTC Branch 55 Presiding Judge Ofelia Contreras-Soriano found Liquefied Petroleum Gas Marketers’ Association (LPGMA) party-list Rep. Arnel Ty guilty of violating Section 2 (a) in relation to Section 3 () and Section 4 of Batas Pambansa Bilang 33, otherwise known as” An Act Defining and Certain Prohibited Acts Inimical to the Public Interests and National Security Involving Petroleum and/or Petroleum Products…” which include “shortselling and adulteration of petroleum and petroleum products.

The court said government prosecutors were able to present sufficient evidence.

He was meted the penalty of a fine worth P50,000 with subsidiary imprisonment in case of insolvency.

The court added that the petroleum and petroleum products subject of the case are forfeited in favor of the government.

The court also cancelled the license to operate of Republic Gas Corp. (Regasco) which is owned by Ty.

In its ruling, the trial court did not give credence Ty’s claim that the empty and underfilled branded cylinders seized from their warehouse were actually part of its marketing strategy of offering their own brand in exchange for partially consumed LPG of other brands.

It noted that the accused failed to provide logical explanation for the filled LPG tanks of Shell, Petron and Total Gas stockpiled at his warehouse. These tanks were likewise seized by authorities.

“It is highly doubtful that the volume of the confiscated filled branded LPG cylinders constitutes the number of converted clients,” the ruling stated.

“No consumer in his right mind would trade off a newly-purchased or filled LPG gas cylinder for another brand which is being offered for a lesser price,” the court said, adding that Ty also admitted that Regasco has no written authorization from the Department of Energy (DOE) to refill LPG for Shell, Petron, Total Gas or Caltex (now Chevron).

The court also gave credence to the testimony of prosecution witness of National Bureau of Investigation (NBI) agent Marvin de Jemil who led a test-buy operation at Regasco’s refilling plant on February 6, 2004 following a letter-complaint from lawyer requesting the conduct of an investigation of Regasco for alleged violation of the provisions of BP 33.

De Jemil recounted that he himself witnessed the actual refilling of empty LPG cylinders of Petron Gasul and Shellance by Regasco crew.

“As narrated by de Jemil, he witnessed the actual refilling of the branded empty cyclinders that they presented to Regasco service crew. No evidence was presented to dispute this claim of the witness,” the decision read.

Judge Soriano also junked Ty’s argument that he cannot be held criminally liable for the violation committed by the corporation since his function as president was limited to policy making.

“Accused, despite his denial, cannot escape liability for the infraction because the by-laws of the corporation itself expressly provide that as president he shall manage and supervise the business affairs of the corporation,” the decision stated.