ER indicted for graft over boatmen’s insurance deal

MANILA, Philippines – Graft charges were filed yesterday against ousted Laguna governor Jeorge “ER” Ejercito Estregan in connection with insurance coverage for boatmen when he was mayor of Pagsanjan.

Aside from Ejercito, the Office of the Ombudsman also indicted former Pagsanjan vice mayor Crisostomo Villar; councilors Arlyn Torres, Terryl Talabong, Kalahi Rabago, Erwin Sacluti, Gener Dimaranan and Ronaldo Sablan, who composed the municipal council in 2008, and Marilyn Bruel of private firm First Rapids Care Ventures (FRCV).

Ejercito dismissed the indictment, saying it was politically motivated and based on old allegations that his detractors revive every election season.

“The transaction was aboveboard. It underwent proper procedure, passed the Commission on Audit (COA), transparent and advantageous to the boatmen,” he said.

Ejercito said no public funds were used in the transaction, even as he clarified that it was not an insurance deal but a specialized program that went through public hearings and consultation.

The ombudsman alleged that on Oct. 23, 2008, the municipal government signed a deal with the FRCV, providing accident protection and financial assistance to boatmen serving tourists at the Pagsanjan Gorge Tourist Zone.

The anti-graft agency said the municipal government violated Republic Act 9184 or the Procurement Law, noting no public bidding was conducted for the deal.

Graft probers said the FRCV had no license and authority from the Insurance Commission to sell insurance.

The members of the municipal council were included in the charges for giving unwarranted benefits to the FRCV when it ratified and approved the deal, the ombudsman said.

“This is a desperate move of the Liberal Party. They want to get the 1.6 million votes of Laguna,” Ejercito said. 

“They are doing everything in their power to get me out because I’m the man to beat. They make up cases against me, they’re desperate,” he added.