By Charmaine A. Tadalan
THE OFFICE of the Ombudsman has found probable cause to file graft charges against former agriculture secretary Proceso J. Alcala and 23 others in connection with a garlic cartel allegedly established on their watch.
The Ombudsman found Mr. Alcala designated Lilia M. Cruz to chair the DA consultative body National Garlic Action Team (NGAT) as part of a “scheme” to control permits for imported garlic.
As stated in a resolution by the Ombudsman dated last Friday, “the NGAT’s resolution that 70% of the IPs (import permits) would be allocated to farmer cooperatives was actually a scheme designated for Cruz to control the garlic importation.”
This is in reference to NGAT’s resolution on Nov. 5, 2013 — some four months after Mr. Alcala’s designation of Ms. Cruz as NGAT chairperson on July 24 — declaring an insufficiency in the country’s garlic supply and recommending the importation of 58,240 metric tons of garlic through import permits (IPs) to be allocated to farmer cooperatives (70%) and garlic importers (30%).
However, the Ombudsman noted, the NGAT had earlier recommended in August the suspension of the issuance of IPs, “finding that the supply was sufficient to last until the next harvest season of March 2014.”
Ms. Cruz at the time was about a month into her stint as NGAT chair.
Between 2010 and 2014, the Ombudsman said, a total of 8,810 import permits (IPs) were issued and approved by respondents Mr. Alcala, Director Clarito M. Barron of the Bureau of Plant Industry (BPI), and BPI division chiefs Merle B. Palacpac and Luben Q. Marasigan.
Out of those total IPs, 5,022 were “cornered by importers and affiliates of Vegetable Importers, Exporters and Vendors Association of the Philippines, Inc. (VIEVA), chaired by respondent Lilia Cruz,” the Ombudsman said.
“NGAT’s (Nov. 5, 2013) resolution that 70% of the IPs would be allocated to farmer cooperatives was actually a scheme designated for Cruz to control the garlic importation. It bears emphasis that after Cruz established VIEVA, she caused the affiliation of farmer cooperatives and associations under its umbrella on the pretext of helping them financially,” the Ombudsman said, adding:
“By adopting the scheme, Cruz practically controlled a big chunk of the 100% of the IPs for imported garlic. The 30% of the IPs supposedly allocated to legitimate garlic importers was given mostly to VIEVA and its affiliated importers. On the other hand, the 70% of IP allocation for the farmer cooperatives was mainly captured by Cruz through VIEVA-affiliated farmer groups.”
The Ombudsman further cited documents from the National Bureau of Investigation, Securities and Exchange Commission, Cooperative Development Authority, Department of Trade and Industry, and National Statistics Office as showing “the close connection and relations between and among the VIEVA and VIEVA-affiliated importers.”
“Aside from the interlocking incorporators, the importers have similar representatives, addresses, e-mails, phone numbers, company profiles, major suppliers, plant addresses, ports of registration, thus evidencing their common interest,” the Ombudsman further said in its statement.
Mr. Alcala, et al. will be charged with violating Section 3(e) of the Anti-Graft and Corrupt Practices Act (Republic Act No. 3019). He was sought for comment as of this reporting.
On the other hand, respondents Barron, Palacpac and Marasigan were found guilty of grave misconduct and ordered dismissed from the service, the Ombudsman said.