Caloocan mayor faces P28-M graft raps

Four contractors filed graft charges against Caloocan City Mayor Enrico Echeverri and Caloocan City Treasurer Lourdes Jose yesterday for the city government’s alleged failure to settle P28.3 million in obligations, representing collectibles for services rendered by the contractors to the city.

In their separate complaints, Tiger Construction, Atlantic Erectors, Speed Security and Investigation, and Rap Rap Trucking Services said that despite having rendered services to Caloocan City, Echeverri and Jose continue to withhold payments due them despite their repeated demands.

Speed Security and Investigation said they continue to suffer business losses because of Echeverri’s and Jose’s "manifest partiality, gross inexcusable negligence and evident bad faith in the performance of their official functions."

In its three-page complaint, Speed Security said they had entered into an agreement with the Caloocan City government on April 30, 2004 with then Caloocan City mayor Reynaldo Malonzo for the provision of security services to the city’s government properties and offices from May 1, 2004 to December 31, 2004.

According to Speed Security, the city owes them P2.3 million for services rendered during this period. Their last demand letter was dated May 9, 2005.

The city government also reportedly owes Tiger Construction P13.8 million; Atlantic Erectors, P2.7 million; and Rap Rap Services, P9.2 million.

According to Bonifacio Alentajan, the complainants’ lawyer, the unpaid payments were for 2004. It was at this time, Alentajan added, that the Caloocan City government terminated the services of the four companies.

In its four-page complaint, Rap Rap Trucking Services said it has been distributing water to several barangays in Caloocan City since 2002.

It said their contract with the city government was extended in January 2004 to last until June 2005.

The water delivery firm, however, said that the Caloocan City government refused to pay them despite deliveries made from February 2004 to May 2004 though the deliveries were acknowledged, certified and approved for payment.

The complainants accuse Echeverri and Jose of violating Section 3-e of Republic Act 3019 or the "Anti-Graft and Corrupt Practices Act."

Echiverri, however, said that the charges filed against them before the Ombudsman were "unfounded and may be lacking in substance." He said the cases stemmed from the contracts entered into by the previous administration.

The mayor also vehemently denied asking for 50 percent of the collectible amounts to expedite the payment.

"I want to make it clear that I never met with anyone of the representatives of the mentioned companies," Echiverri said.

He pointed out that the complainants’ contracts, signed during the previous administration, are subject to scrutiny by the city government to determine their "authenticity."

"The present leadership of Caloocan is now wondering why the previous administration did not bother to settle the said accounts when the supposed contracts should have been signed during the previous administration," Echiverri said.

He added that the city government does not refuse to settle its obligation but it has to establish first the authenticity and validity of the contracts.

He said they are now "digging" into the contracts and are trying to determine "who is behind the ‘smear’ campaign" being lodged against him and the city treasurer.

"The present leadership of the City of Caloocan is very optimistic that the truth will come out sooner or later," Echiverri said.