Recently, Ombudsman Samuel Martires tagged the National Food Authority (NFA) as among agencies in the government that has a high level of corruption.

Martires cited investigations that the Ombudsman conducted amid the rising cost of rice last year, the anti-graft body found “corruption” in NFA.

In response to the Ombudsman’s comments, NFA administrator Larry Lacson said he respects the Ombudsman’s remarks.

“Maybe based on records, [what happened to] NFA last year. The Office of the Ombudsman suspended 139 NFA personnel. All of those have cases. Maybe, by sheer number of those with cases, [t]he Ombudsman’s basis is the number of cases,” Lacson told DAILY TRIBUNE.

“We respect what he said. We cannot deny that. At the same time, in the past, there were such incidents,” he added.

Such admission from the NFA chief prompted agricultural groups to call on Martires to identify the corrupt officials within the grains regulator NFA who are implicated in irregularities and are currently under investigation or prosecution for graft and corruption allegations.

These officials are alleged to have been involved in the irregular sale of NFA rice to the private sector at significantly reduced prices, which defrauded the government of millions of pesos in revenues and provided undue advantages to certain private rice traders.

‘We respect what he said. We cannot deny that. At the same time, in the past, there were such incidents.’

 Among the graft cases pending involved 139 NFA officials and employees, including former administrator Roderico Bioco, who have been charged with graft for the alleged irregular sale of 75,000 bags of rice stored in agency warehouses to private traders.

The Ombudsman lifted the preventive suspension order against more than 100 NFA officials and employees, including the 23 warehouse supervisors after obtaining documents from them. But the anti-graft body clarified that NFA officials, whose preventive suspension has been lifted, are still included as respondents in the administrative case.

Under Republic Act 11203, also known as the Rice Tariffication Law, the NFA is required to procure approximately 300,000 tons of rice annually from local farmers to maintain a buffer stock for distribution during calamities and emergencies.

In a complaint letter submitted to the Office of the President in February 2024, NFA assistant administrator for Operations Lemuel Pagayunan alleged that Bioco and other NFA officials sold 75,000 bags of rice valued at P93.75 million to G4 Rice Mill San Miguel Corp. and NBK San Pedro Rice Mill without the approval of the NFA Council.

Grainy racket

Pagayunan further claimed that Bioco sold the NFA’s supposedly “deteriorating or aging stocks” to G4 Rice Mill and NBK San Pedro Rice Mill, despite the rice being fit for consumption.

During a recent hearing of the House Committee on Agriculture, it was revealed that the buffer stock was sold for only P25 per kilo, while the prevailing market price at the time was P70 per kilo.

Pagayunan also stated that a memorandum issued in 2023 directed that the stocks be repackaged without NFA markings before being sold as commercial rice. He alleged that Bioco and NFA Region 4 Regional Manager Alwin Uy directly engaged with commercial rice traders without allowing other bidders to participate.

‘If you join an agency known for corruption and refuse to participate, you face two options: resign or risk your life.’

Ombudsman Martires confirmed the deep-rooted culture of bribery and misconduct that has long infested the bureaucracy, lamenting that corruption has become so entrenched that government employees who refuse to engage in illicit activities often face dire repercussions.

Martires recounted the story of a recently hired examiner who, after refusing to accept bribes, became the target of complaints from colleagues. “If you don’t take bribes, you’re not ‘in,’” he remarked, describing the toxic atmosphere prevalent in numerous government offices.

“If you join an agency known for corruption and refuse to participate, you face two options: resign or risk your life,” he lamented.

The Ombudsman noted that many honest employees attempting to maintain integrity within government institutions have been subjected to harassment and ultimately forced to resign, or worse.