FORMER Technology Resource Center (TRC) deputy director general Dennis Cunanan is looking at a 72-years jail sentence following his conviction on eight criminal charges in relation to the multi-billion pesos Priority Development Assistance Fund (PDAF) or “pork barrel” scam on August 8, 2024.
The Sandiganbayan Second Division found the Cunanan guilty on four counts of violation of the Anti-Graft and Corrupt Practices Act (RA 3019) and four counts of malversation of public funds punishable under Article 217 of the Revised Penal Code.
Associate Justice Arthur O. Malabaguio penned the 80-page Decision while Associate Justices Geraldine Faith A. Econg and Edgardo M. Caldona concurred.
Cunanan was sentenced to six to eight years imprisonment for each count of graft, and 12 to 18 years for each count of malversation of public funds or a total of 72 to 104 years.
His co-accused, former TRC Group manager Maria Rosalinda Lacsamana, was also convicted of similar offenses and sentenced to a total of 18 to 24 years for graft and 36 to 54 years for malversation.
Cunanan has likewise been dragged in the illegal operation of a Philippine Offshore Gaming Operator (POGO) facility in Porac, Pampanga which was recently raided by police operatives.
The Sandiganbayan said the TRC officials expedited the release of public funds to dubious non-government organizations (NGOs) “in blatant disregard and violation of established legal and regulatory standards and procedures.”
“The funds were supposed to be for the implementation of various livelihood projects, yet none of these projects were executed. These acts not only undermine the sanctity of public office but also represent a grave betrayal of public trust that this Court cannot tolerate,” the court said.
Other than the jail terms, both accused were also disqualified from holding any other post in government in the future.
The court likewise ordered Cunanan to pay the government indemnity totaling P24 million in relation to his graft convictions, while Lacsamana was held jointly liable for P19.2 million of the said amount.
On top of these, fines were also imposed in the malversation charges amounting to P24 million against Cunanan and P19.2 million against Lacsamana.
Their co-accused department manager Francisco Figura, Rogelio Garcia, and private defendant Bernardita Ignacio were acquitted based on the prosecution’s failure to prove their guilt beyond reasonable doubt.
Case records showed the money came from the PDAF allocations of former Manila Rep. Joey Hizon totaling P20 million released by the Department of Budget and Management between February and May 2007 at the lawmaker’s request to fund livelihood programs in his district.
Prosecutors said the TRC served as a conduit to funnel the money into three private foundations or NGOs – Kaagapay Magpakailanman Foundation Inc. (KMFI), which received P4.8 million; Kabalikat sa Kalusugan at Kaunlaran Foundation Inc. (KKKFI), which received P9.6 million; and Dr. Rodolfo A. Ignacio Sr. Foundation Inc. (DRAISFI), which received P4.8 million twice.
The TRC retained the difference of P800,000 as management and service fees but failed to account for the sum.
Prosecutors said the office locations given by the three NGOs turned out to be residential addresses whose occupants knew nothing about the private foundations or the projects they were supposedly implementing.
Hizon’s office did not respond to the requests for confirmation from state auditors and to date, the entire P20 million PDAF remain unliquidated.
In his defense, Cunanan denied getting any commission from the PDAF transactions saying he thought the projects were legitimate after other TRC officers signed the related documents and forwarded them to him for approval.
For her part, Lacsamana said the memoranda she issued were merely recommendatory as the decision ultimately rested with the endorsement of the legislator and approval of TRC director general Antonio Ortiz who was charged in the cases but remains at large.
The court said owing to his position, Cunanan had the responsibility to at least validate the necessity or legality of the expenses. Instead, he admitted that he did not scrutinize the documents attached to the disbursement vouchers, relying simply on other officers of the agency.
“The irregularities are very apparent on the face of the documents. Had Cunanan exercised the due diligence expected of him, he would have easily noticed the irregularities. To this Court, signing the DVs despite the glaring irregularities… indicates an intention to act with evident bad faith,” the court said.
On Lacsamana, the Sandiganbayan said his release memoranda recommending the release of Hizon’s PDAF to the three NGOs “significantly accelerated the disbursement process.”
“Despite swearing to be guided by the rules and laws of the Philippines, and despite irregularities in the documents… she inappropriately and blindly executed a release memorandum recommending release of the full amount. These actions clearly indicate Lacsamana’s malicious intent and evident bad faith,” the court noted.
