Project supervisor Eddie Adlao of the Central Negros Electric Cooperative yesterday said the termination of board president Eddie Guillem and OIC-general manager Noriel Bermudez and the suspension of five directors will not hamper the operations of CENECO.

Adlao told the DAILY STAR that since the board is a policy-making body, the absence of several directors will not have a big impact on CENECO's operations because the management side is being taken care of.

He said the National Electrification Administration assigned him as project supervisor to ensure that the cooperative's day-to-day activities will not be affected.

Guillem and Bermudez were terminated on Thursday by the NEA Board of Administrators after they were found liable for administrative violations, following the motu propio investigation conducted by the NEA Administrative Committee based on the adverse audit findings on CENECO for the period Jan. 1, 2002 to Dec. 31, 2005.

The NEA Board said in its decision that both Guillem and Bermudez openly defied and violated NEA policies, guidelines, rules and orders, constituting grave misconduct punishable as a grave offense that carries a penalty of removal on the first offense, when they signed and executed a contract for the acquisition of 30MVA substation transformer for the Alijis substation using the Reinvestment Fund of CENECO without prior approval of NEA.

"Such misconduct becomes grave as the elements of clear intent to violate the law or flagrant disregard of established rules are manifest," the decision said. The five directors, Gerardo Solas, Perlito Fuentespina, Eduardo Torrecampo, Gregorio Duremdes, and Jobert Tagobader, have been suspended for 31 days for a less grave offense of voting to pass the resolution for the contract to acquire the 30 MVA substation transformer. Also held liable for a similar offense is former director Roberto Ignalaga.

The decision said that "no administrative liability could attach against board members Cesar Leonardia, Julius Tamayo and Roberto Montelibano, considering that they have either voted against the subject board resolution or they were not yet members of the CENECO board during the subject period."

The NEA Board, however, said in its decision that there is no substantial evidence to support the audit finding that there was irregularity in the contract entered by CENECO with Pazifik Power for the purchase of a similar 30MVA substation transformer installed adjacent to the CENECO office.

Moreover, it said that Bermudez was not irregularly promoted as manager of the Consumer Account Department, as there was a board resolution appointing him to the position. "We cannot impute any administrative liability against respondent with respect to the herein issue."

However, Bermudez was found liable for violating the CENECO By-laws concerning nepotism in the hiring of employees when he permanently appointed his son, Chris Nicole, as disconnector-MFO of CENECO on April 11, 2006.

Bermudez told the DAILY STAR yesterday that since he had already resigned from his post as OIC-general manager, he believes the decision is already academic, but still he will abide by it.

Rolando Villamor, counsel for Fuentespina, Torrecampo and Tagobader, said they believe there is no need to question the NEA decision and the possibility that his clients will seek a reconsideration is "very remote."*NLG

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