OMBUDSMAN Conchita Carpio Morales on Wednesday ordered the filing of graft charges against the mayor, vice mayor and Sangguniang Bayan members of Majayjay, Laguna over anomalous bulk water contracts they entered into in 2011.
In denying respondents’ motions for reconsideration, Ombudsman Morales affirmed the earlier finding of probable cause for one count of violation of Section 3(e) of Republic Act No. 3019 (Anti-Graft and Corrupt Practices Act) against Mayor Teofilo Guera, Vice Mayor Ana Linda Rosas, Sangguniang Bayan members Lauro Mentilla, Mauro Aragon, Juancho Andaya, Antonio Zornosa, Jr., Mauro Mercolisa, Jr., Jovanie Ann Esquillo, Bernardo De Villa and private respondent Arcadio Gapangada, Jr. of the Israel Builders and Development Corporation (IBDC) as well as the two (2) counts of violation of Section 3(g) of RA 3019 against Mayor Guera..
Investigation showed that unwarranted benefits, advantage or preference were extended by the local government officials in favor of IBDC.
The Ombudsman found that despite the lack of financial capacity and technical expertise on the construction, rehabilitation, operation and maintenance of water works system, the contract for the project was still awarded to IBDC.
Financial statements show that IBDC’s equity amounted to only P10,720,652 and that most of the investment for the project would be sourced from joint venture partners.
IBDC also did not have the track record in water works system and its Contractor’s license and Philippine Constructors Association Board (PCAB) certification classify it as Small “B”.