Former Davao del Norte lawmaker Arrel Olaño, Janet Lim-Napoles, and several others have been found guilty of graft and malversation of public funds in connection with the multibillion-peso pork barrel scam.
The ruling by the Sandiganbayan coincided with the announcement by the anti-graft court that Palawan 3rd District Rep Edward Hagedorn faces two to seven years imprisonment after he was found guilty of malversation of public property.
Under existing jurisprudence, the failure of a public officer to haveduly forthcoming any public funds or property with which he is chargeable, upon demand by any duly authorized officer, shall be prima facie evidence that he has put such missing funds or property to personal use.
In a decision issued on Friday, the anti-graft court’s Third Division said Hagedorn, former Puerto Princesa City mayor, was found to have failed to return 13 of the 20 refurbished M-16 rifles issued to him during his incumbency.
The Sandiganbayan Second Division in a ruling also released Friday said Olaño, Napoles, former Technology Resource Center (TRC) group manager Maria Rosalinda Lacsamana, Countrywide Agri and Rural Economic Development Foundation, Inc. (CARED) president Mylene Encarnacion, and Philippine Social Development Foundation, Inc. (PSDFI) chief Evelyn De Leon, violated Section 3(e) of Republic Act 3019, or the Anti-Graft and Corrupt Practices Act.
Olaño was found guilty of allocating more than P7 million of his Priority Development Assistance Fund, or pork barrel, for 2007 to CARED and PSDFI.
The two were declared bogus non-government organizations linked to Napoles.
The anti-graft court said the TRC released P1.890 million and P5.830 million to CARED and PSDFI, respectively.
”The NGOs however did not actually conduct any regular business activity but were only utilized as conduits for the transfer of public funds that ended up being divided as commissions and/or kickbacks among accused Olaño, Napoles, and TRC officials,” the the decision, written by Associate Justice Edgardo Caldona, read.
‘There was no actual implementation of government projects. Therewere some instances of under-delivery of goods, but essentially, these were ‘ghost ‘ or non-existent projects. The liquidation of public funds was therefore made up,” it added. The anti-graft court also noted that Olaño got commissions from Napoles.
The accused individuals were also found guilty of malversation of public funds, a violation under Article 217 of the Revised Penal Code.
In his defense, Olaño claimed his signatures on PDAF documents were forged. He also denied he endorsed CARED and PSDFI as well as received kickbacks from Napoles.
Hagedorn’s malversation case stemmed from a complaint filed in 2016 by his then archrival, former Puerto Princesa mayor Lucio Bayron, who claimed out of 20 refurbished M-16 rifles issued to and received by Hagedorn as city mayor, only six were returned at the end of his term in 2013.
In his counter-affidavit, Hagedorn argued he did not take the firearms for his personal use and he was still trying to recover the rifles from his former security personnel while the other rifles have earlier been declared missing.
“Assuming arguendo that the subject firearms were indeed assigned to his security detail and personnel, the same will not prevent the attachment of accountability to accused Hagedorn,” the court said in the decision written by Associate Justice Ronald Moreno and concurred in by Presiding Justice and division chairperson Amparo Cabotaje-Tang and Associate Justice Bernelito Fernandez.
The court noted the prosecution proved there were three demand letters sent to Hagedorn but he still failed to return the subject firearms.
The complaint-information filed by the Ombudsman said the subject firearms were worth P490,000.
“This failure on the part of accused Hagedorn is already prima facie evidence that he has put such missing funds or property to personal use,” the court said.
Aside from perpetual disqualification from holding public office, Hagedorn was also ordered to pay a fine equivalent to the amount malversed plus interest.