IN 2011, the Department of Agrarian Reform (DAR) released P100 million to 10 municipalities at P10 million each for a supposed organic farming program through vermicomposting financed by the Priority Development Assistance Fund (PDAF) or pork barrel allocations of former Sen. Gregorio Honasan.
The plan was to feed organic materials to epigeic or surface-dwelling earthworms whose excrement will be used as fertilizers for organic farms.
Today, 14 years later, there is no more PDAF cash, no organic farm, no earthworm, and no earthworm poop fertilizer.
And according to the 68-page Sandiganbayan decision dated August 26, 2025, there is also no one to pin the crime on.
The anti-graft court’s First Division acquitted former DAR Undersecretary Narciso Nieto, former Finance, Management, and Administrative director Teresita Panlilio, and DAR chief accountant Rowena Agbayani of 10 charges of violation of the Anti-Graft and Corrupt Practices Act and 10 counts of malversation of public funds.
Prosecutors said the chosen beneficiary municipalities were San Pablo in Isabela; Carasi in Ilocos Norte; Porac in Pampanga; Samal, Bagac, and Mariveles in Bataan; Paombong and San Ildefonso and the city of Malolos in Bulacan.
From DAR, the senator’s pork barrel funds were released to three private foundations: Samahan Magsasaka sa Kapatagan at Kabundukan Foundation Inc. (SMKKFI), Divine Grace Enhancement Foundation Inc. (DGEFI), and Workphil Foundation Inc. (WFI).
After weighing testimonies and other evidence presented during the trial, the court held that all three defendants are deserving of acquittal.
The Sandiganbayan held that the prosecution failed to prove the existence of conspiracy between Nieto and Panlilio while the totality of evidence did not establish that the accused public officials acted with manifest partiality, evident bad faith, or gross inexcusable negligence.
“Prosecution witnesses neither testified that Nieto nor Panlilio was present when the NGO representatives received subject funds, nor mentioned or referred to Nieto or Panlilio as having foreknowledge of any irregularity in the proposed livelihood program or of its fraudulent nature,” the court said.
While Nieto admitted to signing all the Obligation Requests, Disbursement Vouchers, and Memoranda of Agreement and that public funds spent on the supposed livelihood projects were never liquidated, the Sandiganbayan said there was still “not enough evidence to show that Nieto was aware or was part of this plan since the beginning.”
This, even as all 10 mayors of the listed beneficiary municipalities and city testified that no vermicomposting project was launched or ever existed in their areas.
“As established, the Vermicomposting Project was the initiative of Sen. Honasan. He had the prerogative to choose which LGUs would receive a P10 million allocation, and these LGUs, based on the MOAs, were the ones to endorse and accredit the NGOs that would handle the implementation. The prosecution gave no direct proof that Nieto had a direct hand in the selection of the NGOs,” the court pointed out.
