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Ombudsman has no evidence of plunder vs PS-DBM, Pharmally execs

By J.Lo

"There is no evidence that Lao or Liong accumulated ill-gotten wealth…. was it  two of them or just one of them… hard to identify…there was also no record showing  they received commissions…what was clear and on record is that PS-DBM or some officials of PS-DBM favored Pharmally in these contracts for test kits," Ombudsman Samuel Martires said in  phone interview with reporters no evidence to prove plunder had been committed in  anomalous awarding of P4.165-billion supply contracts for COVID-19 test kits to Pharmally Corp. Martires said defending his office's resolution to charge officials involved in  deal only with  bailable offense of graft.

Martires explained  while  amount involved exceeded  P50-million threshold sum for plunder, evidence presented did not show who among  officials named in the case had amassed ill-gotten wealth from  contract.

He was referring to Procurement Service-Department of Budget and Management (PS-DBM) executive director Christopher Lloyd Lao, former PS-DBM procurement group director and current Overall Deputy Ombudsman (ODO) Warren Lex Liong and other officials recommended to be charged with graft.

Martires cited  landmark ruling of Supreme Court dismissing  plunder case against Pampanga congresswoman and former president Gloria Macapagal-Arroyo.

"In that ruling, Chief Justice Lucas Bersamin said  Law on Plunder, Republic Act 7080 requires  particular public officer must be identified as  one who amassed, acquired or accumulated ill-gotten wealth... In this case of Pharmally, who among  public officers amassed ill-gotten wealth…we cannot identify," ombudsman said.

He also cited  SC decision on plunder case against former president Joseph Estrada, wherein  high tribunal stated  for crime of plunder to exist, it must be established  each of  respondents, by their individual acts, agreed to participate directly or indirectly in  amassing, accumulation and acquisition of ill-gotten wealth.

"There is nothing on record showing t there was  agreement between Pharmally and Lao or Liong to amass wealth for Lao or Liong…what on record is  PS-DBM decided to procure  test kits on Pharmally," Martires said.

In  resolution released last week, Martires approved filing of cases of violation of Section 3 (e) of Republic Act 3019 or  Anti-Graft and Corrupt Practices Act against Lao, Liong and five other former and incumbent officials of PS-DBM.

Also ordered charged with graft were executives of Pharmally namely, its president Twinkle Dargani, treasurer and secretary Mohit Dargani, directors Linconn Ong and Justine Garado and board member Huang Tzu Yen as well as employee Krizle Grace Magno.

Resolution  was in connection with PS-DBM's awarding of three supply contracts with  aggregate amount of P4.165 billion to Pharmally for procurement of reverse transcription-polymerase chain reaction (RT-PCR) test kits.

Ombudsman  said its investigation revealed that Pharmally bagged  contract despite its lack of track record and its measly paid-up capital of P625,000.

Ombudsman  also noted  Pharmally was established only in September 2019, merely seven months prior to  awarding of contracts in April to June 2020.

Martires, however, said his office is open to upgrading the case to plunder, if new evidence or witnesses surface.

"If one of the accused would turn state witness and say that amount of P50 million or more was given to either Lao, Liong or any DBM official, then we might reconsider conducting another preliminary investigation and amending  information," Martires said.

Besides, Martires said his office is still investigating other multibillion peso supply contracts awarded to Pharmally, particularly  contracts for procurement of face masks and face shields, collectively referred to as personal protective equipment or PPE.

"Yes, there is still ongoing investigation on Pharmally…in fact, before this long weekend, I gathered from investigators  they were already done looking into transfer of funds from Department of Health to PS-DBM," Martires pointed out.

Asked why former president Rodrigo Duterte and his former economic adviser Michael Yang  not included in  list of those being charged, Martires said there was likewise no evidence showing their involvement in  Pharmally deals.

"There is no direct evidence on record also that  financier of Pharmally was Michael Yang…this is  allegation of Blue Ribbon committee but nobody really testified  Michael Yang was  financier,  hard to prove to  court,  'he said, she said.'..should be concrete evidence…our purpose is to harass  individual we can do that, but if that would be  role of  ombudsman, perhaps I would rather resign," Martires said.

He said his office would likely proceed with  filing of  graft cases before  Sandiganbayan, without awaiting  motions for reconsideration of respondent PS-DBM and Pharmally officials, to avoid possible dismissal of cases by  court due to inordinate delay.

Former senator Richard Gordon, who chaired  Senate Blue Ribbon committee that conducted  probe on  Pharmally deal, said  ombudsman can coordinate with Anti-Money Laundering Council to determine if  PS-DBM officials benefited from  anomalous deal.

Gordon also lamented  exclusion of Duterte and Yang from  indictments.

"Ombudsman didn't go far enough," Gordon told media.. he said Ong and Huang had admitted Yang had advanced money to Pharmally.

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