SC clears PhilRice staff of liability over P10-M car rentals
THE SUPREME COURT (SC) has ruled that “exceptional circumstances” have warranted the rental of vehicles by officials and employees of the Philippine Rice Research Institute (PhilRice) totalling P10 million, which had been flagged by the Commission on Audit (CoA).
In a 20-page decision penned by Associate Justice Japar B. Dimaampao, the SC En Banc decided in favor of the petitioners and devoid them of liability, citing the Madera Rules on Return as the petitioners were staff members of PhilRice.
“Petitioner Borja and the other officials who took part in the car benefit plan were simply doing their respective jobs at the time, i.e., researching and developing technologies geared towards rice sufficiency for all Filipinos, when they were encouraged by the Board of Trustees to participate in the car rental plan,” the ruling said.
In 2013, Head of Audit Team Marlita M. Carlos and Supervising Auditor Danilo M. Lagason of the CoA’s Stand-alone Agencies in Muñoz, Nueva Ecija issued 26 Notices of Disallowance totalling P10,449,557.45.
CoA argued, among others, that the scheme was not approved by the President as required under Section 2 of Presidential Decree No. 985 and that the rental of the vehicles did not conform with Section 7 of R.A. No. 6713, prohibiting public officers and employees from having any interest in any transaction requiring the approval of their office.
“Here, while petitioners approved and authorized the payment of government funds in violation of Section 12 of R.A. No. 6758, nevertheless, the exceptional circumstances surrounding the case, as elucidated above, tenaciously show they acted in good faith and were solely propelled by a valid and genuine cause — the prevention of “brain drain” within the institute through a more cost-effective approach,” the decision stated. — Chloe Mari A. Hufana