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ADMINISTRATIVE ORDER NO. 218
ADMINISTRATIVE ORDER NO. 218 -
DISMISSING DR. ELISEO L. RUIZ, PRESIDENT, CENTRAL LUZON STATE
UNIVERSITY, FROM THE SERVICE
This refers to the administrative complaint
dated October 14, 1988, filed by Mr. Eduardo C. Paray, et al., against
Dr. Eliseo L. Ruiz, President of the Central Luzon State University
(CLSU), Muñoz, Nueva Ecija, for mismanagement, incompetence,
imprudence in the administration of the university, corruption,
dishonesty, deceit and conduct unbecoming a University President,
allegedly committed and/or arising out of the following incidents,
among others:
A.
MISMANAGEMENT / INCOMPETENCE / IMPRUDENCE IN THE ADMINISTRATION OF THE
UNIVERSITY
1.
Respondent caused the preparation and approval by the CLSU Board of
Regents (BOR) of a Revised CLSU Organization and Management Structure,
creating the positions of three (3) Vice Presidents (for
Administration, Academic Affairs, and Research Extension and Training)
despite the vehement opposition of concerned faculty and staff members.
In so securing such approval, respondent deceptively made it appear
that consultations and dialogues were undertaken. Furthermore,
respondent appointed/designated the three (3) Vice Presidents without
specific functions and approval of the BOR, resulting in lack of
coordination, unwise decisions, confusion, and inefficiency.
2. Respondent
offered new curricular programs and implemented curricular revisions
without the prior approval of the CLSU Academic Council and BOR in
violation of the university's charter, rules and procedures.
3. Without
considering CLSU's financial condition, respondent granted scholarship
to faculty members, resulting in heavy teaching loads to other faculty
members, the assignments to thirteen (13) non-teaching staff of
teaching functions, non-payment of overload pay, stipends and
commensurate compensation to non-academic staff.
4. Respondent
leased/caused the leasing of CLSU's food processing plant to the
Central Valley Food Corporation (CVFC) at a great financial
disadvantage to the university and despite a previous favorable bid
tendered by VITRONI. In addition, respondent allowed the use of CLSU
machineries and manpower for the development of a privately-owned land
(Bravo Farm) for production of cotton in commercial quantity, but said
venture failed resulting in losses amounting to hundreds of thousands
of government money.
5.
Respondent's ineptness in planning and management of university funds
led to the termination of ninety-six (96) casual employees of long
standing.
6. Respondent,
for a period of 1 year and 4 months, ran the university without an
approved plan, and without submitting a printed annual
report.
B. CORRUPTION / DISHONESTY / DECEIT
1.
Respondent allowed the operations by ranking faculty members, working
on official time, of a marketing cooperative — which was without an
approved constitution and by-laws — as marketing arm of the
university's food processing plant.
2. Respondent
was responsible for the unsettled back accounts of CVFC in the amount
of P378,775.18, representing processing fees, and for the unsettled
back account due from a relative of respondent for the lease of the
CLSU canteen in the amount of P33,860.75.
3. In 1987,
respondent instructed one Adriano Saturno to file a request to purchase
for CLSU chemicals without public bidding. The chemicals which were
purchased from respondent's own ELR Trading for P32,250.00 were later
found to be unsuitable for the purpose they were procured. Likewise,
respondent, who is not a procurement officer, bought or caused the
purchase of 600 cuttings of passion fruits at P3.60/cutting although
passion fruit production was not programmed.
4. Respondent
contracted/employed a whole orchestral/musicians without prior BOR
approval, using funds intended for the CLSU's Agribusiness Ventures
(AGRIVEN) projects, but without entering the amount paid in the CLSU
books of accounts.
5. The CLSU
administration, through respondent, collected contributions/donations
from the faculty, staff, students, and private citizens for the
improvement of the Lingap Kalikasan Park without proper authority from,
and report to, the BOR. Reports reveal that beer was sold at the park
and ranking CLSU officials were frequenting the place and drinking beer
even during office hours.
C. CONDUCT UNBECOMING A UNIVERSITY PRESIDENT
On September 19, 1988, respondent harmed and maltreated one Ainee Joy
Cando for her failure to produce the pictures and negatives that the
former was asking for.
In his answer to the CLSU BOR, dated November 15, 1988, respondent
denied all inculpatory allegations in the complaint, with a discussion
of his position on the case. Some highlights of the Answer:
1.
The old Organization and Management Structure of the CLSU was too
centralized, hence its revision upon dialogues, consultations with, and
the support of, different units (colleges).
2. The three
(3) Vice Presidents were merely designated.
3. The
revision of existing curricular programs has always been with the
approval of the proper body.
4. The grant
of scholarship to faculty members was authorized by the CLSU BOR.
5. The
contract of lease with the CVFC was entered into after Ms. Blanka
Vetrone of the New World Manufacturing Industries, Inc., retracted her
offer to lease the CLSU food processing plant.
6. The
development of the Bravo Farm was covered by a legitimate contract
envisaged to generate reasonable profits for the university.
7. The
termination of casuals was the result of the DBM-imposed ceiling on the
number of casuals to be hired/retained, coupled with funding constraint.
8. The alleged
unsettled account of CVFC was only P29,775.28 as said company was able
to pay the amount of P190,000.00.
9. On the
alleged anomaly in the purchase of chemicals from ELR (Eliseo L. Ruiz)
Trading, respondent claims he could not have instructed Mr. Saturno to
obtain the chemicals from his family's outlet as he was in Davao City
from October 21-25, 1987, adding that upon being informed of the
transaction, he immediately advised then COA Auditor Eleanor Bernardo
to cancel Check No. 434207 for the payment of the chemicals.
10. The
procurement of the passion fruit cuttings for experimental purposes was
based on the reports and requisition made by AGRIVEN officials.
11.
Collection/contribution/donation for the Lingap Kalikasan Park was
voluntary, undertaken by his friends, faculty, and staff members. He
issued a memorandum prohibiting the sale of intoxicating
drinks/beverages upon being apprised of such activity.
In an affidavit, respondent
denied having inflicted bodily harm on Miss Cando.
On October 18, 1989, my office directed the Secretary, Department of
Education, Culture and Sports (DECS), to formally investigate the
charges against respondent. Thereafter, a committee of three (3)
members conducted hearings and submitted a report to DECS Secretary
Isidro D. Cariño. Secretary Cariño in turn forwarded said
report to my office in a 1st Indorsement dated August 3, 1990, the
salient portions of which may be summarized as follows:
1.
Respondent imprudently ordered the transfer of the functions of the
CLSU's Executive Vice President — a position then temporarily held by
Dr. Marcelo Roguel pursuant to a designation order from the CLSU BOR —
thus in effect arrogating unto himself the BOR's authority to terminate
the designation it conferred upon Dr. Roguel.
2. The CLSU
offered new courses during the summer of 1988 and the first semester of
school year 1988-89 without prior approval/authority from the CLSU BOR.
3. Respondent
entered into a contract with the Central Valley Food Corporation even
before its registration with the Securities and Exchange Commission.
Consequently, CLSU virtually subsidized non-existing entity.
4. Respondent
gave undue benefits to the Bravo Farm when CLSU developed, pursuant to
a Joint Venture Agreement, seventeen (17) hectares, instead of fifteen
(15) hectares as provided in the contract. Among the interlocking
transactions connected to this contract relates to the Crop Harvest
Sales Agreement entered into by respondent with Fast Agro-System
Technology where he then occupied a directorship.
5. On the
purchase of chemicals from respondent's ELR Trading, respondent was
indeed in Davao City on October 21 to 25, 1987, when the purchase took
place, but the processing of the Requisition and Issue Voucher for the
acquisition "dates back to September 29, 1987, and ELR Trading gave
undated canvass of prices."
6. Respondent
negotiated for some 600 pieces of passion fruit cuttings which later on
wilter and died. Respondent admitted that passion fruit production was
unprogrammed.
7. Respondent
unduly extended the contract of lease on the CLSU canteen to Mrs.
Zenaida S. Santos despite her failure to pay, within the grace period
provided for, the monthly rental and notwithstanding a stipulation for
contract termination in case of such failure. The extension allowed by
respondent resulted in the incursion by Mrs. Santos of back accounts.
8. Respondent
violated, in connection with the establishment of the Lingap Kalikasan
Park, Republic Act No. 5546 prohibiting, subject to certain exceptions,
the collection of contributions, whether voluntary or not for any
project, from teachers and students of public/private schools.
9. A medical
certificate described injuries on Miss Cando showing the occurrence of
an unusual incident which is likewise the subject of a criminal
complaint against the respondent.
10. There are
no substantial evidence to support the other counts.
In all, the DECS Secretary regards respondent's acts indicated in his
1st Indorsement aforementioned as constituting grave offenses of
misconduct, dishonesty, and/or conduct prejudicial to the best interest
of the service.
After a careful study of the investigation report, the records as well
as the testimonial and documentary evidence, I am persuaded of
respondent's culpability of most of the acts complained of. His acts of
terminating the designation of Dr. Roguel as Executive Vice President,
of offering new courses, of undertaking unprogrammed projects, as in
the mass planting of passion fruits, without the required prior
approval of the University's Board of Regents, betray his cavalier view
of the university's charter, rules, and/or policies. These actuations
indicate not only imprudence and mismanagement, but abuse of authority
as well. By allowing or at least tolerating the sale of intoxicating
drinks within the university's premises, respondent also betrayed a
deficiency in decorous management.
Respondent did far worse with respect to its business affairs. I need
not belabor the lease award of CLSU's food processing plant under
questionable circumstances and to a non-registered Corporation at that.
Mention may also be made of the extension of the school's canteen lease
contract in favor of a delinquent lessee to the financial prejudice of
the University.
At this point, it is meet to delve into two (2) other transactions
where the ugly head of conflict of interests surfaces. I refer to the
supply contract with ELR Trading owned by respondent and/or his family
and the sales agreement with Fast Agro Systems Technology. In the first
instance, delivery of the ELR-supplied chemicals were made, although
respondent later ordered the cancellation of the pay check. In relation
to the second, there is evidence showing respondent sat as director of
Fast Agro Systems Technology. The fact alone that said contracts came
to be in the first place, and given respondent's link with the private
parties and given his presence at his station when the requisition and
issue voucher for the chemical was prepared, is in itself a badge of
reproachable impropriety. Even as I am unprepared to call respondent to
task for personally profiting from these transactions, let it be
remembered that directly or indirectly having financial or pecuniary
interest in any contract/transaction in connection with which a public
officer intervenes or takes part in his official capacity or in which
he is prohibited by law from having any interest constitutes corrupt
practices (Sec. 3[h], RA 3019).
Lastly, respondent violated Republic Act No. 5546, supra, when he
authorized the collection of contributions from teachers and students
of CLSU for the development of the Lingap Kalikasan Park.
While the DECS Secretary recommends, on humanitarian reasons, the
penalty of forced resignation with benefits for what he correctly views
as respondent's grave misconduct and conduct prejudicial to the best
interest of the service, I am of a different disposition. On them
entrusted with great responsibility and authority much is expected. By
his positive actions complained of, respondent betrayed the high
calling and mission of his office. As head of a university tasked to
train young minds and shape character, it behooves respondent to set
correct examples. Respondent's palpable infraction of statutory and
ethical standards, juxtaposed by the number of inculpatory acts
committed, seal off all avenues of leniency.
WHEREFORE, DR. ELISEO L. RUIZ, President of the Central Luzon State
University, is hereby DISMISSED from the service with all the accessory
penalties of dismissal.
Done in the City of Manila,
this 6th day of May, in the year of Our Lord, nineteen hundred and
ninety-one.
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