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Ombudsman clears BCDA on plunder and 3 other raps
Author: BCDA Public Affairs
Posted: July 29, 2010 | Category: Freeport And Ecozones
The Office of the Ombudsman has given top-ranked executives of the Bases Conversion and Development Authority (BCDA) a clean bill of health in connection with four administrative and criminal cases including alleged plunder separately initiated by a provincial governor and a private businessman.
The Ombudsman dismissed for insufficiency of evidence the charges of alleged violation of the Anti-Plunder Law, obstruction of justice and grave misconduct filed by Ilocos Sur Governor Luis Chavit Singson against more than 40 officials of the BCDA, the Poro Point Special Economic and Freeport Zone (PPSEFZ), and John Hay Poro Point Development Corporation, as well as a former head of the Office of the Government Corporate Counsel (OGCC) and other personalities.
In the complaints, the validity of the joint venture contract entered into by BCDA for the development and management of Poro Point Seaport in San Fernando, La Union was questioned. The Ombudsman ruled that the BCDA diligently met all requirements for the law regarding transactions pertaining to the development of Poro Point Seaport, notable the contract with Bulk Handlers, Inc.
The Ombudsman cast aside what was described as “general and sweeping allegation that the Pre-Incorporation Agreement executed between BCDA and Bulk Handlers, Inc. that gave birth to the Poro Point Industrial Corp. (PICC) and transferred the material possession, control and management of the PPSEFZ to the latter was unlawful.”
Also, the Ombudsman brushed aside as “pure speculation” the complainant’s insinuation that the respondents conspired with one another to deprive the government of at least P38 million a month.
The anti-graft state prosecutor also junked for lack of merit charges of alleged violation of the anti-graft law and obstruction of justice lodged against Abaya and several other BCDA officials, along with then chief Government Corporate Counsel Agnes Devanadera and top executives of the PPSEFZ, one of BCDA’s subsidiaries.
In another ruling handed down last week, the Ombudsman also tossed out for lack of evidence the administrative and criminal complaints filed by businessman Armando de Rossi against BCDA president and chief executive officer (CEO) Narciso Abaya, general legal counsel Arnel Casanova and program manager for engineering and construction Eduardo Lena.
In her July 21, 2010 ruling, the Ombudsman pointed out that Abaya, Casanova and Lena were “indisputably discharging their duties” as BCDA officials when they released P59.28 million to the Hazama-Taisei-Nippon Joint Venture (HTN-JV), a major contractor for the 93.7-kilometer Subic-Clark-Tarlac Expressway (SCTEX) built by BCDA. The Ombudsman also cleared five executives of HTN-JV who were cited as co-respondents.
The complaint filed by de Rossi purportedly on behalf of Italy-based CMC Asia Inc. stemmed from the complainant’s failure to collect the P59.28 million from HTN-JV in consultancy fees.
The BCDA released the amount to the HTN-JV following an OGCC opinion that the state-run company was not obliged to withhold it from the HTN-JV on account of CMCAI’s claim.
The Ombudsman thus upheld BCDA’s position that there was no legal basis for BCDA to retain the contested funds in favor of the CMCAI. The ruling also tagged as “a mere presumption” CMCAI’s allegation that there was a BCDA board resolution preventing the release of the amount to the HTN-JV.
