DOE files charges vs 2 LPG traders

The Department of Energy (DOE) filed yesterday criminal charges against two officials of a gas company for the alleged illegal trade in liquefied petroleum gas (LPG), reportedly cheating their customers by selling adulterated gas in under-filled and substandard gas cylinders.

 DOE Secretary Angelo Reyes, chairman of the Presidential Task Force on the Security of Energy Facilities and the Enforcement of Energy Laws and Standards (PTF-SEFEEL),  said they have filed a case at the Office of the City Prosecutor in Quezon City against Arnel U. Ty and Jason Ong, president and manager, respectively, of Pinnacle Gas Corp. (PGC), located along Mindanao Ave. in Quezon City.

Reyes said the charges were filed by Roberto R. Cardinales, senior inspector of the Oil Industry Management Bureau of the DOE. 

Cardinales is also a member of the PTF-SEFEEL which uncovered the alleged violations during an inspection of PGC’s facilities. 

The task force include representatives of the DOE, Department of Trade and Industry, Bureau of Fire Protection and the Philippine National Police.  They confiscated 56 gas cylinders from the company for use as evidence.

Reyes commended the task force for successfully conducting the operation for the protection of the consuming public, the community and the LPG industry in accordance with the mandate of the DOE, among others, to “monitor, supervise and regulate the petroleum industry.”

 The DOE action came after  a decision by the Court of Appeals reinstating the charges against the officers of Omni Gas Corp. for illegal trading and under-filling of LPG canisters.  The charges, which were filed with the Pasig Regional Trial Court, had been dismissed upon resolution of Justice Secretary Raul Gonzalez and Justice Undersecretary Ernesto Pineda.

According to the appellate court, there was probable cause to file the charges against Omni officers for refilling, without authority from the gas companies, eight LPG cylinders with the markings of Shellane, Gasul, Totalgaz and Superkalan Gaz. 

“There was also reason to charge them for under-filling one LPG cylincer,” the appellate court said.

In a report submitted by Energy Undersecretary Roy V. Kyamko, concurrent Executive director of PTF-SEFEEL, it was determined that during the inspection of PGC’s facilities, cylinders used to contain the gas were found to be substandard and had no markings, were under-filled, unbranded and had no tare weight markings.

Members of the task force said they witnessed the actual refilling of the “substandard” gas cylinders in the presence of Ong. 

 During an on-the-spot investigation, Ong admitted that the PGC did not have any written agreement with the gas industry association to sell gas to the public, the task force said.

Marc de Lataillade, LPG manager of Total Philippines Corp. executed a certification stating that Pinnacle Gas Corp. and Cat Gas Corp. were not authorized to refill its cylinders under the Superkalan Gaz and Totalgaz brands.

 Joselito O. Pojo, district manager for Luzon retail sales of Petron Corp., also executed a certification saying that PGC was not authorized to refill Petron Gasul cylinders or to sell, offer for sale or distribute Petron LPG products. 

In his complaint affidavit, Cardinales said the PGC was found in possession of adulterated petroleum products which were intended for sale, distribution, transportation, exchange or barter. He accused Ty and Ong of violation of Sections 2 and 3 of Batas Pambansa 33.