Graft raps filed vs dismissed Southern Leyte Governor Damian Mercado

MANILA, Philippines — Dismissed Southern Leyte governor Damian Mercado was charged with three counts of graft before the Sandiganbayan in connection with the alleged anomalous purchase of second-hand vehicles when he was mayor of Maasin City.

Bids and awards committee (BAC) chairman Crispin Arong Jr., vice chairman Feorillo Demeterio Jr. and members Anecito Narit, Benjase Lumen and Consuelo Ladrera as well as Baltazar Avila Sr., proprietor of Kojac Auto Repair Shop and Auto Supply, were included in the charge sheet. 

The Office of the Ombudsman dismissed Mercado last July after he was found guilty of grave misconduct over the same case. He was replaced by Vice Gov. Chistopher Yap.

Based on the charge sheet prepared by assistant special prosecutor Jorge Espinal and filed on April 27, Mercado conspired with the BAC officials in procuring three second-hand vehicles from Kojac without public bidding.

The ombudsman said P1.5 million was released to Kojac on Jan. 10, 2007 for the purchase of an Isuzu Wizard and Toyota Grandia and P800,000 on June 20, 2007 for a Mitsubishi Pajero. The vehicles were  more than 10 years old at the time. 

The remaining useful life of the vehicles was below the five-year standard prescribed under Department of Budget and Management Circular 466-A, the ombudsman said.

Investigation showed Mercado was the original owner of the Toyota Grandia, which he sold to Avila in November 2006 for P390,000.

The ombudsman recommended bail of P60,000 each.

The ombudsman also filed charges against Maloney Samaco, vice mayor of Maasin, for the purchase of  communication equipment amounting to P10 million without public bidding.

The contract was awarded to Philflex on July 18, 2007 after Samaco succeeded Mercado as mayor.

Charged with Samaco were the  BAC officials named respondents in the case filed against Mercado, accountant Encarnacion Lora and  Ma. Luzviminda Lopez of Philflex.