The House Committee on Agriculture and Food chaired by Quezon Representative Wilfrido Mark Enverga began its inquiry into the alleged improper disposition of the rice stocks of the National Food Authority (NFA) to selected rice traders.
House Resolution (HR) 1611, filed by Enverga, noted the report of NFA Assistant Administrator for Operations Engr. Lemuel Pagayunan about NFA Administrator Rod Bioco’s “improper” sale of some 75,000 bags to “selected rice traders who bought the said stocks at a price much lower than the prevailing price… and sold the same at very much higher prices.”
The veteran legislator said that HR 1611 should be amended, because the number of bags sold was actually 130,000, based on updated information he received.
HR 1611 noted that the NFA is authorized to dispose of rice stocks before the quality of the stocks deteriorates and becomes unacceptable and unsafe.
Pagayunan maintained his allegation that the stocks sold were not deteriorating but were treated and fit for human consumption. He added that the disposition of rice stocks did not undergo public bidding and was not approved by the NFA Council, the agency’s governing board.
“Walang bidding, maganda pa yung quality ng bigas, nag-conduct ng rebagging, and the reselling price (of the rice) is not appropriate.”
“Walang bidding, maganda pa yung quality ng bigas, nag-conduct ng rebagging, and the reselling price (of the rice) is not appropriate,” Pagayunan stressed.
Deputy Majority Leader for Communications and ACT-CIS Party-list Representative Erwin Tulfo observed Bioco’s changing answers to Enverga’s query, prompting him to remind attendees that being untruthful is a ground for contempt and detention.
“Malawak po ang kulungan namin dyan sa baba at baka ikaw ang kauna-unahang laman ng detention facility if you keep on lying.”
“I just want to remind our resource persons here, kayo po ay nanumpa kanina. Ngayon Administrator Bioco, tinatanong ka kung may kinunsulta ka sa legal. Sinabi mo meron. Tinatanong ka, wala kang maibigay (na pangalan). Iyan ho ay direktahang pagsisinungaling agad sa komite na ito. We’re warning you: malawak po ang kulungan namin dyan sa baba at baka ikaw ang kauna-unahang laman ng detention facility if you keep on lying. ‘Di po kami mangigiming ikulong ka ‘pag patuloy kang magsisinungaling,” Tulfo said.
Initially, Bioco told Enverga that he consulted the NFA legal department. The department head, lawyer Shyla Joy Ramos, however, denied being part of the decision-making process for the said disposition.
Ramos explained that being part of the process would be conflict of interest, being the concurrent Board Secretary of the NFA Council secretariat at the same time managing the NFA legal office.
Bioco changed his reply and said he did not consult anyone. Later on, he identified persons he supposedly consulted.
“Normally it would be the assistant administrator that would guide me. For finance I would consult Piolito Santos, and at that time Assistant Administrator Robert Hermano,” Bioco said.
He cited selling rice is a major mandate of the NFA, and the basis for this is Presidential Decree No. 4, as amended, and further regulated by Republic Act 11203, the Rice Tariffication Law.
On the other hand, bypassing the bidding process, according to Bioco, is authorized under COA Circular 89-296, which exempts from bidding those merchandise or inventories that are maintained for regular sale by the agency.
When asked by AGRI Party-list Representative Wilbert Lee asked how many rice bags have been sold to traders without bidding since 2021, NFA Assistant Administrator Robert Hermano estimated that 8 million rice bags have been sold without bidding.
Hermano explained the figure included 4.4 million bags in 2021, 3.6 million bags in 2022, 186,000 bags in January 2023 during the previous administration and 155,000 bags in December 2023 during the term of Bioco.
Lee lamented the inclusion of ordinary employees in the list of 139 NFA officials and employees who were preventively suspended in the wake of the ongoing probe.
“I learned that of the 139 officials and employees who were suspended, 98 are warehouse supervisors, 27 are branch managers and there are also regional managers… My point is: sumunod ka sa utos, tanggal ka sa trabaho; hindi ka sumunod sa utos, masususpindi ka, maflo-floating ka, magkakaroon ka ng special order. Saan ngayon lulugar yung mga maliliit na kawani ng ating pamahalaan? Bakit nalalagay sa ‘no choice situation’ ang mga kawawa nating manggagawa? Itong mga nag-utos, ito lang po sana ang tamaan. Ito lang dapat i-suspend,” the legislator concluded.