Ex-councilor: Binay, other Makati execs misused taxpayer money

Former Makati Councilor Oscar Ibay has filed a multi-million graft case accusing Makati Mayor Jejomar Binay of illegally using P39.9 million of the city’s internal revenue allotment (IRA). The IRA is the local governments’ share of tax money collected by the national government.

Ibay has also accused all the city’s 24 barangay chairpersons, the city accountant and city treasurer of conspiring to fraudulently use the IRA of barangays to set up a "Paluwagan ng Bayan" funding program.

In his 32-page complaint filed before the Office of the Ombudsman, Ibay said Binay, City Accountant Leonila Querijero, City Treasurer Nelia Barlis, and 24 barangay chairpersons blatantly violated Presidential Decrees 807 (Civil Service Law), Republic Act (RA) 7160 (Local Government Code), usurped legislative powers and committed malversation when they implemented the "Paluwagan ng Bayan" funding program in 2005.

The Paluwagan ng Bayan was created by the Liga ng Mga Barangay of Makati City, which is composed of chairpersons of all barangays, through Liga Resolution 4 promulgated on Sept. 15, 2005.

Under the scheme, the barangays pooled their IRA shares and other financial assistance/grants into a common fund to be maintained by the City Treasurer’s Office and used to finance development projects implemented by Binay.

Ibay argued that under RA 7160, the barangays are not authorized to engage in development and infrastructure projects. "Likewise, under the Local Government Code, the Liga, being a mere association of local governments formed for mutual protection and assistance, has no legislative powers and thus could not legally promulgate a resolution or ordinance," Ibay told a news conference yesterday. "Only provinces, cities and municipalities may extend loans, grants and subsidies to one another under RA 7160. Barangays are not authorized to do so."

Ibay likewise said that the mayor was not an integral part of the Liga and thus, is not authorized to contract in its behalf. He accuses Binay of ordering barangay captains to put together their IRA funds and create the Paluwagan ng Bayan fund.

Ibay urged the Ombudsman to issue a preventive suspension on Binay and his co-accused to make way for an investigation.

"There is compelling evidence of guilt on the part of Binay and company, as proven by clearances and receipts signed by their own hands. The city treasurer and the accountant could never have collected or approved the collection of barangay’s funds without the approval of Binay," Ibay said in his complaint.

The "Paluwagan ng Bayan" is the latest in a long string of graft cases filed against Binay and other city officials. Other cases pending against Binay is the alleged P232-million plunder case for alleged overpricing in the purchase of furniture for the city hall; and criminal and administrative charges over phantom city hall employees.

Ibay is pursuing all cases as convenor of the Save Makati Movement, an anti-corruption watchdog.

Binay’s camp shrugged off Ibay’s accusations. Laughing, Binay maintained that the city government consulted the Department of Interior and Local Government before it implemented the funding program.

"It’s one of a kind, if I may say so. I don’t know if there is anything like it in other cities. It’s just a simple way of giving barangays the opportunity to save in order for them to come up with bigger projects," he told The STAR. "Good Luck to him (Ibay)." – Rhodina Villanueva, Michael Punongbayan