Osmeña, Ong sued over trash

CEBU, Philippines — Cebu City Mayor Tomas Osmeña and Kasambagan Barangay Captain Franklyn Ong are facing a complaint before the Office of the Ombudsman over an alleged illegal hauling contract.

Complainant Crisologo Saavedra told the Ombudsman that there was conflict of interest in the engagement because Ong is the owner of Pasajero Motors Corporation (PAMOCOR), which served as a private hauler for the city government from June to September 2017 and February to June 2018. During this time period, the city reportedly paid around P183 million to PAMOCOR.

Saavedra said the Code of Conduct and Ethical Standards for Public Officials and Employees prohibits public officials from having financial or material interest, whether directly or indirectly, in any transaction requiring the approval of their office.

Saavedra said Osmeña and Ong also violated the Anti-Graft and Corrupt Practices Act.

Aside for hauling the city's trash to a private-owned landfill, Pamocor also engaged in a rental contract with the city amounting to P120 million from October to December 2017 and from January to June 2018.

Saavedra attached in his complaint a letter of Councilor Raymond Alvin Garcia calling the attention of the city's Bids and Awards Committee about the alleged illegal contract.

"I raise such point because the fact that he is public official of a barangay in Cebu City and that he is the president and CEO of a company that is undertaking city projects may give rise to a possible case of conflict of interest under the Local Government Code and the Anti-Graft and Corrupt Practices Act," reads a portion of Garcia's letter dated October 2, 2017.

Saavedra said he did not include the City Council in his complaint because their role in authorizing the mayor to sign the contract was but ministerial.

"It was Tomas who signed the award. It is the person who signs the contract who will be liable. The Council is just ministerial," he said.

Legal

Osmeña, for his part, believes that the city's contract with PAMOCOR was legal because it underwent public bidding.

"Why would I do something that I think is illegal? I'm not crazy. The important thing is that there is a competition and there was no anomaly. It is not a special grant and took advantage of the position," he said.

Osmeña said there were instances when Pamocor did not win in the bidding.

Ong, meanwhile, welcomed the complaint so he can answer the allegations in a proper forum. He said PAMOCOR has complied with the Procurement Reform Act.

"Well, he (Saavedra) is entitled to his own opinion. Actually, much better sa proper forum. At least naa'y proper forum so let them file so that we can answer it," Ong said.

Before BAC awards a project to the winning bidder, the technical working group will review the bidding documents of the service provider as required by the Government Procurement Reform Act.

The bidding documents must include legal, technical, and financial documents.

Legal documents include, among others, the business permits, tax clearance, Department of Trade and Industry registration, Bureau of Internal Revenue registration.

The technical documents should stipulate where the private hauler would dispose of the city's garbage, an Environmental Compliance Certificate from the Department of Environment and Natural Resources, and the number of hauling equipment.

Financial documents should be able to show that the service provider is capable of delivering the services financially.

The city has hired a service provider to haul its garbage to a private landfill in Consolacion since the landfill in Barangay Inayawan shut down in December 2016. (FREEMAN)