3 ex-SRA execs, 10 sugar traders face raps

State prosecutors have recommended the filing of graft charges with various courts against three former top officials of the Sugar Regulatory Administration (SRA) and 10 big-time sugar traders who were allegedly involved in the illegal switching of government-set sugar quotas for the local and international markets from 1992 to 1994, The STAR learned yesterday.

Under the alleged anomalous scheme, the sugar traders were said to have pocketed undue profits amounting to some P800 million.

Two other former board officers, two department managers and 23 employees of the SRA were also implicated in what is yet the biggest alleged anomaly in the history of the 14-year-old regulatory agency.

The Quezon City prosecutor's office is set to file charges against 18 of the accused on Monday with the Quezon City regional trial court, sources told The STAR.

It took authorities five years to investigate the alleged sugar scam. Reams of documentary evidence are now in the possession of the Quezon City prosecutor's office. Prosecutors consolidated the cases and assigned them the number IS-200-7795.

"It's taking us time to prepare the charges because as you can see, this case involves many respondents," a source told The STAR. "The documentary evidence alone could fill a small room."

Former SRA board members Rodolfo Gamboa, Bernard Trebol and Jose Ma. Silva IV face charges under Section 3 (e) of Republic Act 3019, otherwise known as the Anti-Graft and Corrupt Practices Act. They are accused of giving the sugar traders unwarranted benefits to the disadvantage of sugar planters and the public.

The three former SRA officials served with the agency from 1992 to 1994.

Charged with them under case number OMB-0-96-0644 investigated by the Office of the Ombudsman were the following sugar traders: Renante Lapu-Lapu of Gladdies Food Industries; Alfonso Uy of La Filipina Uy Gongco Corp.; Edgar Sy of E.S. Marketing; Wilfredo Alvarado of Sugar Phils. Inc.; Rolando Sicat of Vision Sugar and Molasses Corp.; Margarita Chua-Sia of New Frontier Trading Corp.; Julio Sy Jr. of Makati Agro Trading; Romeo Hermoso of Victorias Milling Corp.; Antonio Dy of the Edison Lee Marketing Corp.; and Leonardo Sy of Alturas Supermarket Corp.

The offense is punishable by a jail term of between six and 15 years, perpetual disqualification from public office and the forfeiture in favor of the government of any prohibited interest and "unexplained wealth."

Two other former SRA officials - Rolleo Ignacio and lawyer Froilan Abajon - were charged for falsification of public documents and violation of Section 3 (e) of RA 3019 under case number OMB-0-97-1223 on the recommendation of a three-member panel of the Office of the Ombudsman.

Ignacio and Abajon served as SRA administrator and board secretary, respectively, from 1994 to 1996.

The Ombudsman's Fact-Finding and Intelligence Bureau panel, composed of lawyers Jose Jesus, Melinda Diaz-Salcedo and Nellie Boguen-Golez, had reviewed an earlier resolution by the Department of Justice on the alleged anomaly on Aug. 29, 1999.

Their investigation eventually cleared a number of respondents cited for graft in the DOJ resolution. Their immediate superiors, lawyers Pelagio Apostol and Abelardo Aportadera Jr., the assistant ombudsman, subsequently endorsed their 68-page resolution.

Chief Ombudsman Aniano Desierto approved the recommendations last April 3.

The alleged anomaly first came to the attention of authorities in late 1995, about which time the country was also suffering from a big rice crisis.

Then Agriculture Secretary Roberto Sebastian formed a task force to conduct an investigation. The SRA formed an audit and inventory team, while the National Bureau of Investigation also made its own inquiry.

The Senate also conducted its own probe on the alleged scam in aid of legislation. The results of these separate investigations were eventually consolidated and collated by the Office of the Ombudsman.