Villar family faces graft complaints over PrimeWater deals

MANILA, Philippines — The Office of the Ombudsman filed criminal and administrative complaints against members of the Villar family yesterday over allegedly disadvantageous joint venture agreements of PrimeWater Infrastructure Corp. with local water districts.

Two counts of graft and administrative complaints – stemming from alleged poor water services – are now under preliminary investigation against Senators Camille and Mark Villar, their brother Paolo and their parents, former senators Manny and Cynthia Villar.

The Villars were identified by the Office of the Ombudsman as the owners of PrimeWater during the period being investigated.

Also included in the complaints are officers of PrimeWater, as well as local water district officials.

“This is for violation of section 3(e) and 3(g) of Republic Act No. 3019, otherwise known as the Anti-Graft and Corrupt Practices Act. This is the initial list and there are still more water districts under investigation, and expectantly more cases in the pipeline,” Assistant Ombudsman Mico Clavano said.

The Office of the Ombudsman said the investigation stemmed from a report received by the anti-graft body from the Office of the Government Corporate Counsel (OGCC), which stated that a total of 75 local water districts had entered into joint venture agreements with PrimeWater from 2015 to 2022.

These agreements cover the financing, development, rehabilitation, expansion, improvement, operation and maintenance of water supply and septage services in their respective jurisdictions.

The OGCC said PrimeWater failed to supply uninterrupted water service and even provided water that allegedly failed to meet drinking water standards, among other complaints against the company.

The anti-graft body also pointed out that such shortcomings have likewise been subject to complaints by the public and widely reported by various media outlets.

It also cited records from the Commission on Audit which show that adverse findings resulted in the issuance of notices of charge.?The anti-graft body said the COA had flagged PrimeWater’s non-payment for the use or consumption of materials and supplies inventory of the local water districts, amounting to over P65.6 million.

The initial list includes Quezon Metro Water District, Trece Martires City Water District and San Pedro (Laguna) Water District.

The ombudsman said the acts may constitute malversation of public funds, while acts of government personnel involved may constitute grave misconduct under Rule 10, Section 50(A), No. 3 of the 2017 Rules on Administrative Cases on the Civil Service.

“This is only the initial list, and the ombudsman expects further investigation and the filing of additional complaints,” it said in a separate statement.

“The ombudsman will pursue accountability wherever government resources and public interests are placed at a disadvantage – regardless of who is involved or how high their position may be. The public’s right to reliable and adequate water services must be protected,” the office added.

Manny Villar, in a statement yesterday, expressed confidence that they can successfully defend themselves against the graft complaints, vowing to answer the allegations in the proper forum.

“We respect the legal process and will respond to the complaints at the appropriate time and in the proper forum,” Villar said.

“We are confident that, once given the opportunity to examine the allegations and the evidence supporting them, we will be able to fully and properly defend our rights and address the matters raised against us,” he added. — Neil Jayson Servallos

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