Manila councilor accused of graft over Vitas abattoir issue

MANILA, Philippines - Manila Councilor Dennis Alcoreza was accused of graft on Monday at the Office of the Ombudsman for allegedly failing to divest his interests in the two firms that operated the Vitas Slaughterhouse, which had been taken over by City Hall. City administrator Jesus Mari P. Marzan, who filed the complaint against Alcoreza, said the two firms also failed to pay rentals and income due to the city for the past eight years that it had been operating the slaughterhouse on a lease contract. And yet Meatworld was reportedly earning billions of pesos each year. With Marzan were the city legal officer, Renato de la Cruz, and chief of staff Ricardo de Guzman. Conflict of interests The Alcoreza family owns Dealco Farms Inc. and Meatworld International Inc. Alcoreza was elected councilor of the first district on May 14 last, and he had been working as councilor while having business interests in the two firms. This, Marzan said, was a conflict of interests, in violation of the Anti Graft and Corrupt Practices Act. Dealco and Meatworld have the same incorporators, the children of Delfin Alcoreza, including the councilor. "Thus the veil of corporate fiction is properly pierced," Marzan said. According to Marzan, the councilor openly admitted having an interest in the two firms during the city's takeover of the slaughterhouse on July 11. "During the sensationalized takeover and recovery by the city of the abattoir, respondent publicly, openly and vigorously avowed his financial and material interest in the corporations and vehemently opposed and refused to give up the slaughterhouse which is a glaring indication of his determination to uphold and protect his personal and proprietary interest over and above that of the city’s," Marzan said. Contract violations Dealco, owned by Alcoreza’s father, Delfin, entered into a 25-year lease with the city, during the administratio of Mayor Lito Atienza, now the secretary of the Deparment of Environment and Natural Resources. The contract called for Dealco to rehabilitate and modernize the 22,000-square meter facility and maintain it in accordance with health and sanitation standards set by the National Meat Inspection Commission. But Dealco allegedly failed to do all these, prompting Mayor Alfredo Lim to order a takeoer of the facilty. Before that, Dealco had allegedly transferred the lease and management of the slaughterhouse to Meatworld, a meat processing company – without the consent of the City of Manila, a violation of the lease contract. Meatworld then installed a spacious fitness gym and recreation center, again without prior consent of the city, Marzan said. According to the city administrator, Alcoreza had "full knowledge of the transgressions of Dealco and Meatworld, being the officer and director, which are injurious to the city and its constituents in terms of unsafe and unsanitary foods and unrealized revenues, and yet he did nothing to correct the situation but instead kept silent in the hope of not being discovered." - GMANews.TV