MANILA — A former Department of Education (DepEd) official testified before a House panel on Wednesday that after her appointment as Head of the Procuring Entity (HOPE) in February 2023, she received monthly envelopes containing P50,000, in addition to her salary.
Former DepEd Undersecretary Gloria Mercado disclosed that she was informed the envelopes were from Vice President and then DepEd chief Sara Duterte. When asked if the purpose was to influence her decisions as the procurement head, Mercado replied, “It could be.”
“From February 2023 to September 2023, I received a total of nine envelopes marked ‘HOPE,’ my concurrent role at DepEd during that period. These envelopes were mostly handed to me by Assistant Secretary Sunshine M. Fajarda, who said they came directly from Vice President [Sara] Duterte,” Mercado said in her testimony to the House Committee on Good Government and Public Accountability.
“You wouldn’t be uncomfortable opening an envelope you consider as an allowance. You wouldn’t be thinking about an Ombudsman case. Are you concerned because you believe it was a bribe?” Batangas 2nd District Representative Gerville Luistro asked.
Mercado responded, “It’s a harsh word: bribe.”
“Or would you say it was a means to influence your decision as HOPE?” Luistro pressed.
“It could be,” Mercado reiterated.
Having served 40 years in public service, Mercado said she did not immediately open the envelopes, intending to return them during an exit meeting after her voluntary retirement. However, the meeting did not occur.
“When I retired, I requested an exit call to return those envelopes, but it never happened. I sought advice and was told to donate the money to a non-government organization. So, I opened the envelopes in front of people from the organization, and each contained P50,000. They issued me a receipt for P450,000,” Mercado explained.
Mercado further testified that in October 2023, she insisted that DepEd’s Computerization Program procurement should strictly follow regulations. However, she claimed she was pressured to resign after Atty. Reynold Munsayac, a former official, allegedly suggested that bidders “discuss among themselves” to avoid a failed bidding process. Munsayac disputed this claim.
In response, Vice President Sara Duterte denied the allegations, calling Mercado a “disgruntled” former employee. Duterte alleged that Mercado was dismissed after sending an unauthorized solicitation letter on behalf of DepEd.
“I have no reason or inclination to give an illegal order in a public space,” Duterte said during a press conference, adding that Mercado should provide documents to support her accusations.
Mercado denied any solicitation, presenting the envelopes as proof of her claims before the House panel.
In her letter to the committee, Duterte refused to participate in the ongoing inquiry, describing it as based on “unsubstantiated allegations.” Committee Chair Joel Chua emphasized the importance of continuing the investigation into the alleged irregularities in the OVP’s utilization of confidential funds.
The inquiry focuses on the P73 million of the OVP’s P125 million confidential expenses in 2022 that were disallowed by the Commission on Audit, with additional concerns raised over its 2023 confidential funds.
Chua noted a “disturbing pattern” in the disbursement of OVP’s confidential funds and said the amounts could surpass the threshold for plunder.