"Charges of Malversation of Public Funds through Falsification of Public Documents, Violation of Section 3(e) of Republic Act No. 3019 and administrative charges for Grave Misconduct, Serious Dishonesty and Falsification of Official Documents have been filed against the two, as well as their respective liaison officers Flordeliza A. Alvarez and Vicente E. Bajamunde," according to a report by ABS CBN.
Paulate as well as Calalay was discovered keeping and paying "ghost employees" under their respective offices receiving a monthly salary of 2,500 to 5,000 pesos.
Director Edgardo Diansuy of the Ombudsman said that upon investigation they also found out that this fictitious personnel has no birth records at National Statistic Office.
Paulate has not issued his reaction to the said charged against him.
