Suspended NFA official says rice sale to private firms above board

Suspended National Food Authority (NFA) administrator Roderico Bioco faced a congressional hearing on Thursday and denied irregularity in the selling of NFA rice stocks to private firms without public bidding.

Testifying before the House Committee on Agriculture and Food, Bioco said both the NFA and the private firms have met the requirements for such transactions.

“This is a regular function [of the NFA] of disposing [rice stocks]. It is exempted from public bidding, your honor, because of a COA (Commission on Audit) circular,” Bioco said.

The House committee is investigating the alleged sale of milled rice stored in the agency’s warehouse at P25 per kilo without bidding even after purchasing grains in palay form at P23 per kilo.

The probe commenced after the Office of the Ombudsman placed Bioco and more than 100 other NFA officials under preventive suspension over the alleged unlawful sale of the rice stocks.

According to Bioco, they have orders from regional offices to get rid of the old rice stocks.

“We have orders from the regional offices to dispose of the aging stocks. They make the recommendations, qualification, requirements for those interested to buy. We followed guidelines,” he said.

The private firms who bought the NFA rice at P25 per kilo, Bioco said, met the following requirements:

• being a rice miller, and
• have executed a signed deed of undertaking that they will re-mill the rice to make sure that the rice they bought are safe and in consumable condition once they release it to the general public

 “After this, the documents of a complete staff work from the regions reach us, and in coordination with the Office of the Assistant Administrator for Operations, [it will be up] for final approval,” Bioco said. 

“Pagdating sa akin, complete na iyong staff work for the [issuance of the] authority for these sticks to go the private sector at the maximum price allowed as approved by the NFA council, which is P25 per kilo, on the basis of as is, where is,” he added.

“First in, first out. Iyon ang kukunin nila (that’s what they will get).”
 
Bioco’s explanation, however, did not satisfy and even outraged House Deputy Majority Leader Erwin Tulfo.

“Why don’t you sell it to the government? The government has been scrambling for affordable rice late last year because rice prices reached P60 per kilo. And all this time, you had it and you sold it to others,” Tulfo said.

“You should have sold it to the government to be of help,” he told the suspended NFA official.
 
Bioco argued that the NFA does not supply aging rice stocks to government agencies, but Tulfo quickly butted in, saying, “Do not give me that excuse. Hindi pa luma ito noong October, November (these stocks were not old back in October, November).” 

“Kaya pala wala kaming makitang NFA rice, nilipat na pala iyong nabili sa inyo sa bagong sako ng bigas. You did not do your job as NFA administrator. May plano ka talaga mag hocus pocus,” Tulfo said.

(This is the reason why we cannot find NFA rice. The private firms already rebagged the rice they bought from you. You really have a plan to hoodwink us into this.) —KBK, GMA Integrated News