Ombudsman orders Borbon VM dismissed for grave misconduct

CEBU, Philippines — The Office of the Ombudsman has found Borbon, Cebu former town mayor and now Vice Mayor Noel Taylaran Dotillos guilty of grave misconduct over the release of ?570,000 anniversary bonus for municipal employees in 2019 without proper appropriation, and the hiring of his wife under a contract of service without authorization from the Sangguniang Bayan (SB).

In a decision dated July 18, 2025 and signed by Samuel Martires, the Ombudsman ordered Dotillos’ dismissal from government service with accessory penalties including cancellation of eligibility, perpetual disqualification from holding public office, forfeiture of retirement benefits, and a bar from taking civil service examinations.

Should the penalty be unenforceable due to his separation from the service, it will be converted into a fine equivalent to one year of salary, to be deducted from his retirement benefits, leave credits, or any receivables from his office.

The case stemmed from a complaint filed by Borbon resident Emar Bascon Cuico, accusing Dotillos and five others, including his wife, Corazon, of grave misconduct and conduct unbecoming of a public official.

The allegations arose from the grant of an anniversary bonus on 28 March 2019 to municipal employees of Borbon. The SB of Borbon issued Resolution No. 75, Series of 2019, granting a P10,000 bonus per employee in recognition of the town’s founding anniversary.

The resolution was approved and furnished to then Mayor Dotillos and other concerned offices for implementation. On 27 March 2019, a total of ?570,000 was released to employees through the General Payroll and Disbursement Voucher signed by the heads of the requesting offices.

The complainant alleged that the release did not have an accompanying Appropriation Ordinance or Supplemental Appropriation, as required by the LGC, specifically Sections 305(a) and 321.

The absence of an appropriation ordinance meant there was no legal authority to spend the municipal funds for the purpose of bonuses, even if the SB had approved a resolution.

The Ombudsman found that the 2019 anniversary bonus disbursed to municipal employees was not covered by any appropriation ordinance, as required under Section 344 of the Local Government Code (LGC). This provision mandates that no funds shall be disbursed without a legally made appropriation, certification of obligation by the local accountant, and confirmation of fund availability by the local treasurer.

Records showed that only then-mayor Dotillos and Municipal Budget Officer Teresita Cabahug participated in the disbursement of the bonus in March 2019. Despite being asked to submit a copy of the annual appropriation ordinance for 2019 to support their defense, they failed to do so.

Instead, they relied on a Sanggunian resolution, which the Ombudsman stressed as not having the legal effect of an appropriation ordinance.

The Ombudsman noted that the supplemental appropriation ordinances were only passed in July, November, and December 2019, months after the bonus was released.

Statements made during the clarificatory hearing also confirmed that the anniversary bonus was not included in the annual budget for that year and should have been supported by a supplemental budget.

“Simply submitting the resolution enacting the appropriation ordinance and omitting to submit the detailed annual budget itself are fatal to their defense,” the decision stated, underscoring that reliance on a mere resolution “runs counter to the fundamental principles of sound local fiscal administration.”

The Ombudsman also found Dotillos administratively liable for entering into a contract of service (COS) with his wife as municipal health officer without prior Sanggunian authorization, in violation of Section 22(c) of the LGC.

Records showed that Corazon’s second contract extension ended on 5 October 2022, but she continued to work in the same capacity under a new contract dated 15 April 2024, covering the period from 18 April to 18 October 2024. However, the SB resolution authorizing the contract was only passed on 7 October 2024, long after the contract had already been signed.

The Ombudsman said this could not be considered ratification, as the law explicitly requires prior authorization for such engagements. “The concept of ratification contradicts Section 22(c) of the LGC,” the ruling said.

The Ombudsman stressed that as local chief executive, Dotillos is presumed to be fully aware of the legal requirements for fund disbursement and contractual engagements. Approving the anniversary bonus without a valid appropriation and entering into a contract without prior Sanggunian authority constitute willful disregard of established rules.

The Ombudsman said that Dotillos’s act of approving the disbursement of the anniversary bonus in 2019 in the absence of a supporting appropriation ordinance violates the rules on local fiscal administration, particularly Section 344 of the LGC.

Likewise, Dotillos’s act of entering into a contract of service with respondent Corazon sans a prior SB authorization violates Section 22(c) of the LGC.

“These transgressions of basic local government principles demonstrate a willful intent to violate the law or to disregard established rules,” part of the Order read.

The Ombudsman, however, dismissed the complaints against Noel Gomez Enriquez, Charmane Marie Cejano Alpino, Liezel Monilar Brian, and Corazon Villareal Dotillos for lack of substantial evidence.

The administrative complaint against Teresita Manguat Cabahug, then municipal budget officer, was also dismissed for lack of jurisdiction because she had already retired when the complaint was filed.

“As for the rest of the respondents, the records fail to establish any culpable conduct on their part and their participation in transactions arising from the performance of their regular functions, absent any showing of bad faith or gross negligence, is not sufficient evidence to support a finding of administrative liability,” the Order added.

DOTILLOS FILES MR

Dotillos, in a phone interview yesterday (Oct. 16), confirmed that he had already filed a Motion for Reconsideration (MR), saying he hoped the decision would be reviewed.

“Naka-file na og MR. Mao nay gi-workout karon kay bahin man gud na sa ato’ng anniversary bonus. Naa’y mga sipyat sa atong mga department heads nga nakatala ana,” he said.

Dotillos explained that a resolution had been passed by the municipal council and documents supporting the payout existed, arguing that the process was transparent.

“Dili mana corruption oy kay ang mga tao may nakadawat ana. Naa may payroll ana … Grabe ilang decision, bug-at kaayo,” he said, adding that he has been in government service for 30 years without any prior case.

The former mayor maintained that the move was done in good faith, and that the employees genuinely received the bonuses intended for them.

Meanwhile, the complainant Emar Cuico, said that while giving bonuses is not inherently wrong, proper legal procedures must be followed since public money is involved.

“Okay raman mohatag og bonus pero ipaagi jud na og council kay kwarta man gud na sa tao. Dapat aware jud ang katawhan,” Cuico said in a separate interview.

Cuico stressed that government leaders must ensure transparency and documentation in all disbursements to avoid technical violations with the Commission on Audit (COA).

“Manghatag nalang gani tag bonus, dapat open gud na sa tanan... pero ang problema, ni-follow ba sila sa guidelines?” the complainant added.  — /RAE (FREEMAN)