THE Cagayan de Oro Water District (COWD) is mired in controversy following an incident on July 18, 2024, when Engr. Antonio Young forcibly entered the Office of the General Manager. Interim General Manager Fermin Jarales revealed this in a press release on Monday, highlighting the escalating tensions within the organization.
"Engr. Young's actions reflect a disregard for legal processes and proper management," said Jarales.
Young's intrusion occurred while Jarales was on official business in Quezon City, underscoring a dramatic escalation in the ongoing conflict.
The COWD regular management, previously led by Young and the board of directors, reclaimed the general manager's office on Thursday last week.
COWD board member Gerry Caño defended Young, asserting that his reasons differed from the interim officer's actions, which included ransacking, changing the lock, assigning a 24-hour guard, and occupying the office without due notice.
Caño noted that this situation differed from the controversial takeover by the Local Water Utilities Administration (LWUA) on May 29, when the Interim General Manager occupied the GM office.
Many consumers are distressed by the incident, expressing concerns over the unresolved water supply issues.
"Why resort to such actions when there are more serious problems to solve?" one resident questioned, reflecting the community's frustration with the prolonged water shortages despite years of payments.
On June 11, 2024, Young and his associates filed a petition against LWUA to halt its intervention in COWD’s management. However, the court denied their request, citing COWD's failure to provide a consistent water supply as justification for LWUA’s takeover.
Young's refusal to abide by the court's decision has led to further illegal measures, such as withholding necessary documents from LWUA and obstructing the interim management’s efforts, said Jarales.
This raises serious questions about their commitment to consumer welfare, added Jarales.
"What are they trying to hide?" Jarales asked. Despite limited cooperation from Young’s faction, the Interim Management has uncovered several alarming issues.
"Consistent financial mismanagement is a major concern," Jarales noted. COA reports from 2017 to 2022 flagged COWD's financial statements with qualified opinions, indicating significant issues.
Additionally, neglected equipment was discovered during an inspection of the Kauswagan warehouse.
"Our findings revealed rotting equipment meant to reduce Non-Revenue Water (NRW)," Jarales reported.
COWD’s NRW stands at 56%, far above the LWUA standard of 20%, leaving many areas without water.
Jarales said that Young’s recent actions not only defy court orders but also expose him to further legal risks, including contempt of court and usurpation of authority.
"His reliance on a conditional DOJ Opinion will not shield him from accountability," Jarales warned.
While the Interim Board and Management have shown restraint and courtesy towards COWD officials and employees, they emphasize that illegal actions will not be tolerated.
"We are committed to prosecuting those involved," Jarales stated firmly. The priority remains clear: ensuring a reliable water supply and proper management.
"Kay ang problema sa panubig, problema sa kinatibuk-ang katawhan sa dakbayan Cagayan de Oro," Jarales added, stressing the importance of addressing the water crisis for the welfare of the entire city.
Meanwhile, Young emphasized several legal points supporting their opposition.
Young cited PD 198 Sections 36 and 61(e), which outline the governance of water districts, as well as opinions from the Office of the Government Corporate Counsel (OGCC), Department of Justice (DOJ), and Commission on Audit (COA).
These opinions, along with a local government resolution, opposed the intervention, Young said.
Young also explained that tension inside the COWD office has increased due to alleged threats and harassment from the interim management.
Employees have reported a hostile work environment, complicating the situation further, Young said.
As the situation develops, the residents of Cagayan de Oro remain hopeful that the interim management can resolve the issues and restore a reliable water supply.
The community's patience is wearing thin, and the demand for accountability and effective leadership grows louder each day, said Jarales.
