Ex-PAGCOR chief, 4 others get over 100 years for graft

CEBU, Philippines — The Sandiganbayan has sentenced former Philippine Amusement and Gaming Corporation (PAGCOR) chairman Efraim Genuino and four other former top officials to over 100 years in prison for multiple counts of graft and malversation related to the misuse of P50.05 million in public funds.

In a 257-page decision promulgated on Friday (May 9), the court’s Third Division found Genuino; former PAGCOR president and chief operating officer Rafael Francisco; former senior vice president for Administration Rene Figueroa; former senior vice president for Corporate Communications Services Edward “Dodie” King; and former assistant vice president of the Internal Audit Department Valente Custodio guilty of five counts each of violating Republic Act 3019, or the Anti-Graft and Corrupt Practices Act.

They were also convicted of five counts of malversation of public funds under Article 217 of the Revised Penal Code.

For the graft charges, each official was sentenced to six to ten years of imprisonment per count, and permanently disqualified from holding public office.

For malversation, the sentences included: 10 to 17 years for two counts, six to 11 years for one count, and reclusion perpetua (20 to 40 years) for the remaining two counts. They were also ordered to pay a total fine of P45.17 million.

Despite the lengthy prison terms, the officials will not serve more than 40 years in jail, as Article 70 of the Revised Penal Code caps the maximum period of imprisonment for any person convicted of multiple felonies.

Meanwhile, the case against another accused, former PAGCOR vice president for Accounting Ester Hernandez, was temporarily archived as she remains at large. The court said the case may be revived upon her arrest or voluntary surrender.

In convicting the five former officials, the Third Division said the prosecution panel from the Office of the Ombudsman successfully proved that they conspired in the irregular disbursement of P50.05 million in PAGCOR funds from 2005 to 2008. The money was used for the purchase of tarpaulins, shirts, caps, and other promotional items, as well as for expenses of the BIDA Foundation—an organization founded by Genuino in 2003.

The court noted that the procurement of these items bypassed public bidding and was not processed by PAGCOR’s Procurement Department.

“Most notably, there was lack of public bidding. The huge amounts disbursed for BIDA membe   rs' identification cards and pins (i.e., Php2,315,625.00; Php771,875.00; and Php8,820,000.00) all exceeded the threshold amount that would warrant resort to alternative modes of procurement,” the Third Division’s decision stated.

The Commission on Audit (COA) also reported that the disbursed funds were not properly liquidated.

However, Genuino and his co-accused were acquitted of 14 other counts of graft and 15 counts of malversation. These charges were related to separate disbursements including P44.05 million in donations to private entities (including BIDA Foundation), P26.7 million for tickets to the 2008 film Baler, and P63 million in tri-media advertisements for BIDA between 2008 and 2009.

The court ruled that the prosecution failed to present sufficient evidence to prove guilt beyond reasonable doubt in those instances.

Previously, the Ombudsman had alleged that Genuino diverted PAGCOR funds to BIDA Foundation in an effort to gain a congressional seat through the party-list system in the May 2010 elections. The foundation, however, lost its bid. (CEBU NEWS)