Sandiganbayan. Jonathan Cellona, ABS-CBN News/File
MANILA — The Sandiganbayan Fifth Division found former Department of Social Welfare and Development (DSWD) official Honorita Bayudan guilty beyond reasonable doubt of graft and malversation over the alleged misuse of former Pasay Rep. Consuelo Dy's Priority Development Assistance Fund (PDAF) allocation in 2007.
In a decision promulgated on Thursday, the court sentenced Bayudan to six years and one month to 10 years in prison for violating Section 3(e) of the Anti-Graft and Corrupt Practices Act.
For malversation of public funds under Article 217 of the Revised Penal Code, she was sentenced to 14 years, eight months and one day to 18 years, three months and one day.
Bayudan, who was DSWD-National Capital Region (NCR) director at the time, was also fined P5 million, equal to the amount malversed.
She was also perpetually disqualified from public office and ordered to return the retirement benefits she has already received.
According to the prosecution, the charges originated from Dy's P8 million PDAF allocation for the DSWD's Comprehensive Integrated Delivery of Social Services program in 2007.
The money was released to Unlad Pinoy Organization Inc. (UPOI), a non-government organization (NGO) that was to provide skills training and livelihood aid to about 1,200 indigent residents of Pasay City.
The court found that Bayudan signed two disbursement vouchers that led to the release of both tranches, P1.5 million and P3.5 million, on the same day, March 29, 2007, despite a memorandum of agreement and a Commission on Audit circular which required staggered releases.
The court said UPOI was registered with the Securities and Exchange Commission only on Feb. 2, 2007, days before the agreement was signed. It said it was neither licensed nor accredited by the DSWD, and no endorsement of its eligibility existed.
The court, chaired by Associate Justice Gener Gito, noted that Bayudan approved its registration based solely on an assessment report.
It also found that the supposed training was reported as completed before the funds were released.
During the hearings, barangay officials testified that the listed beneficiaries were not residents, and only 33 of 1,142 listed beneficiaries were confirmed as registered voters.
“Of the 20 barangay officials from the concerned barangays, 18 certified that the beneficiaries were not their residents/voters, while two did not respond to the verification request… and that no seminar was conducted and/or no financial assistance was distributed that year,” the decision read.
"Based on all the evidence adduced, it is evident that the project failed to materialize," it added.
The court ruled that Bayudan acted with evident bad faith and manifest partiality by “blatantly” violating the foregoing rules to favor UPOI.
It also dismissed her argument invoking the Arias doctrine, which allows heads of office to rely on their subordinates. The court said several red flags should have urged her to scrutinize the documents.
It also said she "blindly” and immediately signed the two disbursement vouchers on the same day.
The court said there was no convincing proof that Bayudan herself appropriated the money. However, it noted that her gross negligence allowed UPOI to take the funds.
“The court acknowledges the plight of the accused who may be bearing the consequences not only of her acts but also that of her subordinates. Nonetheless, the laws under which the accused was charged are clear… the law may be harsh but that is the law. This court has therefore no other option but to apply the same,” the court said.