Manila: The Court of Appeals (CA) has rejected the appeal filed by a former Procurement Service-Department of Budget and Management (PS-DBM) official who was dismissed from the service by the Ombudsman over irregularities in government supply contracts during the Covid-19 pandemic.
According to Philippines News Agency, in its 36-page decision dated April 8, the appellate court's Third Division denied the petition filed by Warren Rex Liong and affirmed the Ombudsman's Jan. 20, 2025, ruling ordering his dismissal from government service after the Ombudsman found him guilty of grave misconduct and serious dishonesty.
"(T)he petition is denied. The assailed decision and order are affirmed. Consequently, the dismissal from government service of petitioner Warren Rex Liong is maintained together with all the accessory penalties that have been imposed by the Ombudsman," the CA stated.
The Ombudsman ruling imposed additional penalties including cancellation of eligibility, forfeiture of retirement benefits, perpetual disqualification to hold public office, and a bar from taking civil service examinations.
The CA dismissed Liong's argument that he was not a public officer while serving at the PS-DBM. "Liong's arguments are bereft of merit. The Court addresses the contention that Liong, not being then a public officer, could not be subjected to the disciplinary authority of the Ombudsman," the CA said.
The CA further explained that Liong performed tasks integral to the regular functions of PS-DBM, and his role was crucial as he reviewed various documents submitted by suppliers, making his approval necessary to the procurement process.
Additionally, the court emphasized that Congress did not intend Bayanihan I to serve as an all-encompassing and absolute exception to the provisions of Republic Act No. 9184 (Government Procurement Reform Act) and other related laws, stating, "No such absolutely exempting law could and should even be enacted as it runs counter to the basic tenets of democracy and accountability of public officers."
The Ombudsman's investigation was initiated from a partial committee report prepared by the Senate Committee on Accountability of Public Officers and Investigations (Blue Ribbon Committee), which conducted an inquiry based on annual reports from the Commission on Audit for the Department of Health and the PS-DBM regarding contracts for Covid-19 response supply materials, such as surgical face masks and personal protective equipment.
Liong was specifically accused of approving the updated price analysis despite questionable entries and inviting supplier Pharmally to participate in the procurement process for a PHP54-million project, despite the corporation's low capitalization and lack of historical experience in large-scale deliveries.
Further accusations included approving the minutes and summary of negotiations to falsely suggest valid negotiations occurred between PS-DBM and Pharmally; reviewing the price monitor or market survey despite knowing that contracts had already been awarded to Pharmally; and evaluating price monitors or market surveys not based on actual market scanning, which was supposed to ensure recommended costs were not overpriced.
Liong also recommended the approval of the technical evaluation report despite Pharmally's failure to submit additional requirements and approved post-qualification reports despite the supplier's non-compliance with eligibility requirements.