Council orders probe over ‘anomaly’ in a cooperative

The City Council yesterday ordered an investigation into the alleged anomalous activities of some officials of a cooperative of City Hall employees.

The cooperative is not officially connected with the city government but Vice Mayor Michael Rama said majority of the city employees are its members so it is proper for the city government to investigate the allegations to protect its employees.

"Charity begins at home," said Rama after the City Council agreed to order its committee on cooperative, headed by councilor Procopio Fernandez, to investigate the complaint.

It was city accountant Edna Jaca who raised the issue to the City Council, with the belief that the Bayanihan Multi-Purpose Cooperative had suffered huge losses of income because of bad practice of its present officials.

Jaca alleged that many of the cooperative’s officials and staff members were granted a series of loans without charges and interest while a garbage collector’s loan, of just P2000, is deducted with charges, under the cooperative’s regulations.

The city accountant presented the records of a member of the cooperative’s audit committee who allegedly managed to secure 24 loans last year, amounting to P302,434. The cooperative’s secretary also got 27 loans —for the same period—amounting to P356,318.

Records further showed that five directors of the cooperative’s board have obtained loans allegedly without charges also.

Jaca had earlier requested financial statements from cooperative manager Danilo Ortiz but this has not been acted upon with the claim that such documents were considered confidential.

The city accountant alleged that there were reports circulating the City Hall stating that the cooperative is made only as "milking cow" of some unscrupulous officials.

Jaca also furnish the Cooperative Development Authority copies of documents she submitted to the City Council wishing that the office could help protect the rights of City Hall employees that are members of the cooperative in question. — Rene U. Borromeo/RAE