CAGAYAN DE ORO CITY, Philippines – Mayor Oscar Moreno and city treasurer Glenn Bañez have been cleared of the charges filed against them before the Office of the Ombudsman over an alleged anomalous tax deal with a private company.
In a 26-page decision dated Oct. 13 and released this week, the Court of Appeals (CA) said there is no substantial evidence to pin down the respondents.
The ombudsman said the respondents accepted the offer of Ajinomoto Philippines Corp. to pay P300,000 to settle its tax deficiency amounting to P2.9 million from 2006 to 2012 without approval from the city council.
“There is no substantial evidence of a misconduct, much less a grave one meriting a brusque dismissal of the city mayor and the treasurer from service,” the CA ruling stated.
“The disputed contract is not one of those that create new obligation binding the city government that needs approval by the city council. Since no law has been violated, no grave misconduct was ever committed,” the appellate court said.
Former Barangay Taglimao chairman William Guialani Sr., who filed the complaint, and the ombudsman were “quick to quack” that there was diversion of public funds and foregone revenues, but did not present proof that the city coffers lost P2.9 million from the deal, the CA said.
The CA upheld Moreno’s argument that his right to due process was violated when the ombudsman did not consider his counter-affidavit.
The anti-graft said it did not receive the affidavit.