Ex-PhilRice execs acquitted of P15 million graft raps

MANILA, Philippines — The Sandiganbayan has acquitted six former officials of the Philippine Rice Research Institute (PhilRice) of graft charges in connection with their approval of an allegedly anomalous P15.78-million car plan for employees in 2009.

In its 48-page decision promulgated on Dec. 2 last year, but was only released last Friday, the court’s Sixth Division said the prosecution panel of the Office of the Ombudsman failed to prove the accused PhilRice officials’ criminal intent to gain some pecuniary or fiduciary benefits for themselves or for other persons.

Former PhilRice Board of Trustees (BOT) members Johnifer Batara, Fe Laysa, William Padolina, Senen Bacani and Rodolfo Undan were specifically acquitted of one count each of violation of Section 3 (e) and 3 (g) of Republic Act (RA) 3019, or the Anti-Graft and Corrupt Practices Act.

Former PhilRice cashier IV Fe Lumawag, who was named as co-accused only for violation of Section 3 (g) of RA 3019, was likewise acquitted.

“The demand for accountability should not be at the expense of well-meaning public officials who may have erred while performing their duties, but have done so without a criminal mind. Our penal laws against corruption in the government are meant to enhance, rather than stifle, public service,” the Sixth Division’s decision stated.

Section 3 (e) of RA 3019 prohibits public officials from giving unwarranted benefit, advantage or preference to a private party or from causing any party, including the government, undue injury, while Section 3 (g) of the same law prohibits public officials from entering into any contract or transaction manifestly and grossly disadvantageous to the government.

Filed by the Office of the Ombudsman in 2018, the cases stemmed from the PhilRice BOT’s approval in 2009 of hold-out agreements (HOAs), which allowed PhilRice employees to obtain loans totaling P15.780 million from Philippine National Bank (PNB) for the purchase of their rent-to-own cars.

The ombudsman said the deal was approved without holding any public bidding and with the PhilRice beneficiary-employees “being still entitled to transportation allowance despite the use of the official vehicles.”

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