CEBU CITY, PHILIPPINES — The Mandaue City government has filed a criminal complaint before the Office of the Ombudsman–Visayas against a former cash clerk of the Mandaue City Treasurer’s Office (MCTO), who was dismissed last year for alleged misappropriation of more than ₱3 million in public funds.
The respondent, identified as Mary Leah Quimbo, is facing charges before the Ombudsman for malversation of public funds under Article 217 of the Revised Penal Code, and for violation of Section 3(e) of Republic Act No. 3019 (Anti-Graft and Corrupt Practices Act).
Quimbo, who worked as a cash clerk at the Mandaue City Treasurer’s Office, was dismissed from government service on October 13 of last year. Her dismissal was due to being found administratively liable for serious misconduct, gross neglect of duty, serious dishonesty, and conduct that was prejudicial to the best interests of the service.
The reason for her dismissal was her failure to remit a total of ₱3,342,255.70 in public funds that had been collected from business and occupational tax payments.
An internal audit and subsequent investigation revealed that the clerk repeatedly failed to remit collections and submit accurate Daily Reports of Collections and Deposits (RCDs). Despite several demands, she allegedly failed to account for or return the unremitted funds, resulting in financial loss to the city government.
Following due process and a formal administrative investigation conducted by the City Legal Office, the city government found substantial evidence to hold the employee liable.
Quimbo was meted the penalty of dismissal from service, with accessory penalties including cancellation of civil service eligibility, forfeiture of retirement benefits, and perpetual disqualification from holding any government position.
City records show that instances of non-remittance were initially detected in February 2024.
In April 2025, the City Treasurer’s Office required Quimbo to explain the discrepancies. When Mayor Thadeo Jovito “Jonkie” Ouano assumed office in July, the new administration ordered a full legal review through the City Legal Office, which later confirmed her liability.
City Administrator Gonzalo Malig-on Jr. said the respondent was allowed to answer the allegations, but her explanation failed to justify the missing funds.
The criminal complaint was filed on November 7, 2025 by the city government, represented by Malig-on, City Treasurer Claire Cabalda, and Assistant City Treasurer Julia Ballesteros.
“Actually, the case was already filed with the Ombudsman on November 7, 2025 for malversation. We were not able to immediately release information because it coincided with Typhoon Tino, and shortly after that was the Christmas season,” Malig-on said in a press briefing yesterday, January 29.
He added that filing the criminal case was part of the city administration’s commitment to hold erring officials accountable. “Based on the investigation, the amount involved reached ₱3.342 million in city funds,” he said.
Although the case has already been filed with the Ombudsman, Malig-on acknowledged that the recovery of the funds is still uncertain. He noted that this filing was necessary to pursue potential restitution for the government.
“We will cross the bridge when we get there. What is important is that the city did what needed to be done—first was the dismissal, and next was the filing of the criminal case,” he said.
In response to the incident, the City Treasurer’s Office, under Cabalda, has implemented additional internal control measures to prevent a similar occurrence.
Malig-on said the city has introduced in-house reforms, including stricter supervision and real-time reporting of cash collections and deposits, to improve accountability among officers handling public funds.
“Hopefully, we will no longer see situations like this,” Malig-on said.
| Written by Kristin De Dios/RAE
