Mayor in scam evades arrest

MANILA, Philippines - Pagadian City Mayor Samuel Co is now a fugitive, disappearing after an Iligan City court issued a warrant for his arrest last Thursday for his alleged involvement in the multibillion-peso investment scam of Aman Futures Group Phils. Inc.

National Bureau of Investigation (NBI) Deputy Director for regional operation services Virgilio Mendez told The STAR yesterday that a team sent to serve the warrant on Co failed to find the mayor at his home and in several other places he frequents.

Prosecutor General Claro Arellano, head of the Department of Justice (DOJ) prosecutorial arm, said Iligan City Regional Trial Court (RTC) Branch 1 Judge Alberto Quinto issued the arrest warrant against Co.

The RTC dismissed Co’s motion for judicial determination of probable cause seeking to stop his indictment for syndicated estafa, a non-bailable offense.

Co’s staff told authorities he was in Manila on official travel.

Because of this, Justice Secretary Leila de Lima instructed the NBI in Manila to track down and arrest the mayor.

In a text message, she gave assurance that Co would not be able to leave the country even in the absence of a hold departure order (HDO) from the court.

“While we have not succeeded now we might succeed tomorrow or the following day. But I’m sure their battery of lawyers is doing their best to get some counter order,” Mendez said, adding that “somebody at the court might have tipped him off.”

Mendez said the warrant came out before shortly noon on Thursday but it took the operatives under NBI-Iligan District Office chief Alex Cabornay four hours to travel from Iligan to Pagadian to serve the warrant.

He said Co was sighted days before the issuance of the arrest order and even conducted meetings with barangay officials in Pagadian and attended his hearing.

NBI agents met yesterday morning with Co’s lawyer, who received the warrant of arrest on his client’s behalf.

Asked if there was a possibility that Co might have slipped out of the country through the southern backdoor, Mendez said it was “very unlikely.”

“I’m sure he is now aware that there is a warrant for his arrest. However, I’m confident that he will come out and face his charges. That’s what he had been trying to tell us all along,” Mendez said.

The Bureau of Immigration (BI) has added Co to the agency’s lookout list and he would not be allowed to leave the country.

BI Commissioner Ricardo David Jr. said that Co’s name was included in their lookout list after a court issued an arrest warrant against him.

David directed immigration officers in international airports and seaports to apprehend Co if he attempts to leave the country.

He should then be turned over to the custody of the NBI.

The bureau had also circulated photographs of Co to the different ports for posting in all immigration departure counters.

Aside from Co, also cited in the arrest warrant for syndicated estafa were Manuel Amalilio, the alleged ringleader, Fernando Luna, Lelian Lim Gan, Eduardo Lim, Welanie Fuentes, Naezelle Rodriguez, Lurix Lopez, Jerome Sanchez, and Oliver Dequito.

No bail was recommended for their temporary liberty.

Last month, Co asked Judge Quinto to dismiss the third syndicated estafa case filed against him by the DOJ in connection with the multi-billion-peso Aman Futures Group Philippines investment scam.

Co’s lawyer Trixie Angeles had filed an appeal of the RTC’s order to arrest the mayor.

Angeles said they have filed a motion for reconsideration of the court’s ruling denying their motion for judicial determination of probable cause.

She said pending the appeal, her client could not be arrested yet. 

In two other separate motions, Angeles asked the court to determine whether there is judicial probable cause against him, and to hold in abeyance the proceedings, including the issuance of a warrant of arrest and his arraignment, until the final resolution of motion.

Co is assailing the DOJ’s finding that he is criminally liable for the P29.6 million in investments lost to Aman by several complainants led by Julius Labunog.

He has blamed his political opponents for his predicament.

Co is a member of the ruling Liberal Party and is planning to run for congressman in Zamboanga del Sur.

De Lima explained that the arrest warrant is effectively an HDO because immigration authorities “can and must take him into custody for turnover to NBI or PNP for the service of the arrest warrant once he is intercepted in the airport.”

The case filed by the DOJ in the Iligan RTC involved the first set of charges filed against Co by victims who invested a total of P29,633,000 in Aman in August and September last year.

It was, however, the third case filed in court by the DOJ against Amalilio, who is currently incarcerated in Sabah on a two-year sentence for using a fake passport, and the firm’s board members who are all under government’s protective custody.

Amalilio’s wife Abigail Pendulas was also named a co-accused.

The DOJ is investigating another complaint where Co also stands as respondent. It was filed in November last year by businessman Samsodin Ala, fire officer Fabian Tapayan Jr. and government employee Norolhaya Taha.

In a counter-affidavit submitted to the DOJ special panel in hearing last Feb. 26, Co denied allegation that he aided Aman in its operations last year.

Co believes that his political rival in the province, Zamboanga del Sur Gov. Antonio Cerilles, has implicated him in the controversy to destroy his reputation as provincial head of the LP. 

But the DOJ special panel on Aman cases concluded after preliminary investigation that Co “acted not merely as an investor but also as an agent of Aman.”

Investigating fiscals cited as proof a certification issued by Aman in August last year declaring him as “authorized agent” and his offering of a building owned by the local government for rent to Aman for its operations.

The DOJ also cited as another proof Co’s issuance of temporary business permit – in the form of certificate of payment of business tax – to Aman even before it submitted all necessary documents.

It stressed that Co failed to disprove the allegation of complainants that he had forged a deal with Aman where each investment would be taxed at 4 percent by the city government and made the Ponzi-scheme appear legitimate.

They said this issue could best be resolved in full-blown trial in court.    With Edu Punay, Evelyn Macairan