SC upholds Ejercito's graft conviction for illegal insurance contract

The Supreme Court has upheld the graft conviction of former Laguna Governor and Pagsanjan Mayor Emilio Ramon 'ER' Ejercito, known as Jeorge 'ER' Ejercito Estregan, for illegally awarding an insurance contract to an unlicensed company without conducting proper public bidding.

Ejercito and Marilyn Bruel, owner of First Rapids Care Ventures (FRCV), were found guilty under the Anti-Graft and Corrupt Practices Act and sentenced to up to eight years in prison with a permanent ban from holding public office.

The case began when the United Boatmen Association of Pagsanjan filed a complaint alleging that Ejercito and other officials improperly awarded FRCV a contract for accident insurance without conducting necessary legal procedures.

Investigations confirmed that no public bidding was conducted, and FRCV did not have a license from the Insurance Commission to operate in insurance.

The Supreme Court ruled that Ejercito knowingly gave FRCV an unfair advantage by bypassing legal procurement processes and ignoring clear warning signs.

Both defendants argued that public bidding was unnecessary or that the contract was for 'special services,' but the court rejected these claims, emphasizing the importance of competitive bidding to protect public interest.