THE Sandiganbayan Third Division has partially reversed its November 15, 2019 decision that convicted former Isabela Gov. Ma. Gracia Cielo Padaca of one count each of graft and malversation of public funds over her alleged unlawful handling of P25 million in government funds in 2006.
In a 32-page resolution promulgated June 23, 2020 but released to the media only yesterday, the anti-graft court acquitted Padaca in the graft case, citing a flaw in the previous decision that found her guilty of approving the transfer of P25 million to Economic Development for Western Isabela and Northern Luzon Foundation, Inc (EDWINLFI), a non-government organization.
However, it upheld her conviction in the malversation charge for allowing the transfer of the sum to EDWINLFI for the implementation of the Provincial Rice Program without the prior authorization from the Sangguniang Panlalawigan.
In the assailed decision, Padaca was sentenced to 6 to 10 years imprisonment for graft and 12 to 14 years for malversation. She was also ordered to pay fines amounting to P18 million and another P18 million as compensation to the provincial government.
The court also banned her from ever holding any other position in government in the future.
In her appeal in relation to her graft case, Padaca argued that the court erred in convicting her on the ground that EDWINLFI was chosen to implement a government program without public bidding. She pointed out that since there was no procurement involved, public bidding was not even a requirement.
The court agreed, noting that the prosecution’s evidence showed that what was violated was not RA 9184 or the Government Procurement Reform Act but Commission on Audit Circular No. 96-003 which require that an NGO should have a proven track record before being chosen to implement a government project.
“After a second hard look at the obtaining facts in this case… the court gives approbation to accused Padaca’s argument that to convict her…. for her failure to comply COA Circular No 96-003 violates her constitutional right to be informed of the nature and cause of the accusation,” the Sandiganbayan said.
However, the court rejected her argument in the malversation case that she was not an accountable officer over the P25 million since it was the Provincial Treasurer who was tasked by the Local Government Code to “take custody and exercise proper management of funds” of the local government unit.
It pointed out that the sum was never entrusted to the Provincial Treasurer but to EDWINLFI because of a memorandum of agreement that Padaca signed with the NGO.
“Therefore, accused Padaca cannot tenably shift the responsibility over the management and disbursement of the said amount to the provincial treasurer since physical custody of the said amount was already transferred by her to EDWINLFI,” the court said.
