In a six-page order, Gutierrez ordered the preventive suspension for six months of Mayors Thadeo Ouano of Mandaue City and Arturo Radaza of Lapu-Lapu City. OIC City Engr. Hidelisa Latonio, Asst. City Engr. Gregorio Omo, and Engrs. Mario Gerolaga, Alfredo Sanchez Sr., and Rosalina Denque, all of Mandaue City; City Engr. Julito Cuizon, Asst. City Engr. Fernando Tagaan Jr. And Engr. Rogelio Veloso, all of Lapu-Lapu City were also suspended.
Also included in the order were DPWH Region VII Dir. Robert Lala, former Asst. Reg. Dir. Gloria Dindin, Asst. Reg. Dir. Marlina Alvizo, OIC-Chief Maintenance Div. Pureza Fernandez, OIC-Asst. Chief Maintenance Div. Cresencio Bagolor, Reg. Legal Officer Agustinito Hermoso, Planning and Design Div. Chief Luis Galang, Administrative Div. Chief Restitutio Diano, and Construction Div. Chief Buenaventura Pajo.
Based on investigation conducted by the Office of the Ombudsman-Visayas, "the subject lighting facilities, as acquired and/or paid for by the government, were highly overpriced."
The OMB investigating panel arrived at the said conclusion after comparing the costs of the lampposts as indicated in the Program of Work and Estimate prepared by Mandaue City and as reflected in the importation documents.
It said "comparing the costs above, the cost of each lamppost, apparently, was expanded to almost ten (10) times its actual cost."
It was also discovered that the Program of Work prepared by Lapu-Lapu City were almost the same with those contained in the Program of Work prepared by Mandaue City.
The OMB panel also stated that the DPWH-Region VII, which prepared the Programs of Work for the procurement and installation of decorative lampposts for Cebu City and other parts of Lapu-Lapu City pegged the total cost of the assembly at P50,172. It stated that based on importation documents, the cost would have amounted to only P6,737.79 per assembly. Ombudsman Gutierrez said, "the glaring difference in the actual cost and the price quoted by the said officials as supported by documents and other evidence gathered by the OMB investigating panel constitute strong evidence of guilt."
The Anti-Graft Chief directed the Dir. of the Dept. of Interior and Local Government (DILG) Reg. VII and the Sec. of the Dept. Of Public Works and Highways (DPWH) to immediately implement the Order.
Ouano said he will not issue any comment until he gets an official copy of the order. Radaza could not be reached for comment.