4 Quedancor executives face graft over swine program

MANILA, Philippines - The Office of the Ombudsman has indicted four officials of the Quedan and Rural Credit Guarantee Corp. (Quedancor) in connection with the irregular accreditation of input suppliers for the Quedancor Swine Program (QSP) in the provinces of Iloilo, Aklan, Capiz, Bataan, Pampanga, Tarlac and Zambales in 2004.

In a 51-page consolidated resolution, Ombudsman Conchita Carpio Morales approved the filing of graft charges against regional VI assistant vice president Mario Molina, Iloilo district supervisor Jose Antonio Muyuela, Ioilo Credit Assessment Group Unit Head Niño Tabuena, and acting regional III assistant vice president Luisito Perez.

Along with the Quedancor executives, Excel Salazar, incorporator of Silver Stock Resources Corporation (SSRC), also faces graft charges. 

In the resolution, the anti-graft field investigators said that Molina, Muyuela, Tabuena and Perez “should be made to stand trial” for accrediting BIRKS Agri-Livestock Corporation (BIRKS), SSRC, Metro Livestock, Inc. (MLI), and Farmerstrust Service Consortium, Inc. (FSCI) despite failing to meet the accreditation and eligibility requirements.

It noted that, notwithstanding their meager capital, the four input suppliers obtained huge amounts of contracts under the QSP, based on the 2005 Audit Report of the Commission on Audit (COA) wherein BIRKS was paid the total amount of P583.2 million, SSRC for P480.8 million, MLI for P382.8 million, and FSCI for P28.8 million.

The QSP was implemented in March 2004 as a credit program where swine raisers may apply for a loan with Quedancor, the proceeds of which would not be given in cash but in the form of “input supplies” such as hogs, gilts, medicines and feeds to be supplied by the input suppliers after presenting of a purchase order prepared and furnished by Quedancor District Office.

To be able to participate in the QSP, the concerned regional and district offices of Quedancor must accredit the input suppliers.

The COA report showed that despite the lack of eligibility in terms of track record, and financial and technical capacity, Molina, Muyuela, Tabuena and Perez allowed SSRC, FSCI, MLI and BIRKS to participate under the QSP.

Meanwhile, the Office dismissed the charges for lack of merit against other Quedancor officers Roberto Pagdanganan, Alberto Reyes, Arthur Yap, Rodolfo del Rosario, Rene Villa, Gregorio Tan, Erico Aumentado, Senen Glorioso, Luis Carillo, Luz Cleta Bakunawa,  Domingo Panganiban, Lecira Juarez, Nasser Pangandaman, William Hotchkiss III, Francis Ganzon and 74 other public and private respondents.