Philcomsat consultant Baltazar Monterey filed criminal and administrative charges against chairman Carmelo Africa Jr. for violation of Republic Act no. 3019, otherwise known as the Anti-Graft and Corrupt Practices Act, and RA no. 6713 or the Code of Conduct for Public Officers.
Philcomsat is a corporation sequestered by government during the Aquino administration on the suspicion that the family of the late former President Marcos and some of his cronies acquired substantial interest in it through illegal means.
Monterey alleged in his complaint-affidavit that last June 29, Africa invoked the name and his closeness to the President to pressure and influence Philcomsat president Manuel Nieto into signing a five-year lease contract with Dynamic Planners and Construction Corp. for the use and occupancy of a two-storey building inside the TMC compound owned by Philcomsat. Africa is president and the biggest stockholder of Dynamic.
The TMC compound is located in Mariveles st., Mandaluyong and has several existing structures, including the two-storey building, a large garage, and a gasoline depot.
He said the lease contract is grossly iniquitous insofar as Philcomsat is concerned and grossly advantageous to Dynamic since the terms of payment alone are practically concessional.
Documents show that during the first year of the lease period which started April 1, 2000, the lease was P100 per square meter (plus EVAT). This was to increase to P146.41 per sq.m. on the fifth year beginning April 1, 2004.
Monterey also said in his complaint that while the lease only covered the two-storey main building, Dynamic has practically taken over the entire compound through the actual use of the other improvements, facilities and amenities without any additional payment to Philcomsat, thereby preventing the use by Philcomsat subsidiary TMC of its own facilities.
The Philcomsat director likewise alleged that having practically taken over the TMC compound, Africa fully maximized the gasoline filling privileges that he demanded and obtained from Philcomsat, resulting in the transformation of the latter’s gasoline depot and garage into Africa’s personal property (Africa or Dynamic allegedly own at least six vehicles).
Monterey further mentioned in his complaint that Africa has directly or indirectly through Dynamic, acquired a financial or pecuniary interest in the lease contract between Philcomsat and Dynamic since he is presidential appointee to the Philcomsat board.
He also charged Africa of failing to resign from his position in Dynamic and divest himself of his shareholdings or interest within the period prescribed by law.
Africa was appointed, together with three others, to the board of directors of Philcomsat as government representative last July 21, 1998.