THE Crime and Corruption Watch International (CCWI) has called on the Department of Public Works and Highways (DPWH) to include foreign contractors in the ‘Contractor’s Performance Summary Report’ (CPSR) to ensure that big-ticket public work projects undertaken by foreign companies are completed on time in accordance with government standards and avoid accusation of “discrimination” by the department against local contractors.
In a letter sent to DPWH Secretary Manuel Bonoan last April 24, 2023, Dr. Carlo Batalla, CCWI president, noted that the CPSR “apparently is exclusively devoted to domestic or local contractors,” a practice that, Batalla noted, is in “violation of Section 12 of RA 9184” or the ‘Procurement Law.’
“This clearly is a dereliction of duty which we want to bring to your kind attention (that) you might have missed in the performance of your duty or your subalterns as a newly-appointed secretary of the DPWH,” Batalla said.
Bonoan is a veteran DPWH official since the Ramos administration and was even acting DPWH secretary in 2007 under the Macapagal Arroyo administration.
He then transferred to the private sector and worked for San Miguel Corporation before being reappointed by President Ferdinand Marcos Jr. to head the department last June 2022.
The CCWI cited as an example the ‘Panguil Bay Bridge Project’ in Northern Mindanao, a 3.77-kilometers long bridge that would link the provinces of Misamis Occidental and Lanao del Norte when completed. It would also be the longest bridge span in the country.
Financing for the project was thru the Export-Import Bank of Korea – Economic Development Corporation Fund (EIBK-EDCF) which the Aquino administration approved on April 28, 2016.
The entire construction is being done by Korean companies namely: Namkwang Engineering & Construction Corporation, Kukdong Engineering & Construction and Gumwang Construction Company. Even the engineering consultancy was given to Korean companies, namely: Yooshin Engineering Corporation, Pyunghwa Engineering Consultants and Kyong-Ho Engineering and Architects.
Based on the original financing agreement, the cost of the project was placed at P4.859 billion while its opening to the public was originally scheduled by November 2021 after the groundbreaking was held on November 27, 2018.
However, the present cost of the project has now ballooned to more than P6.4 billion while completion date has been moved to the end of 2023 as actual construction only started on February 28, 2020.
Whether the target completion date this year can also be achieved is under doubt as the bridge is only more than 50 percent complete at the end of 2022.
In the letter, Batalla said they are “humbly” requesting Bonoan to strictly implement Section 12 of RA 9184 to “cover foreign assisted projects being undertaken by foreign, local or joint venture contractors” it is “the mandate of the law.”
Third graft case versus Bonoan
In a related development, the CCWI also filed another complaint for graft and corruption against Bonoan, 2 of his undersecretaries, and other DPWH officials assigned at the First Engineering District in the province of Nueva Viscaya, last April 25, 2023.
It would be the third time in less than a week that the CCWI hauled Bonoan and other DPWH officials before the Ombudsman after suing them for the same set of alleged offenses last April 20, 2023 for the alleged “anomalous” awarding of billions of pesos worth of public work projects
in Metro Manila and the Davao region.
In the instant case, also charged with Bonoan were: Ardeliza Medenilla, undersecretary for support services; Eugenio Pipo Jr., undersecretary for regional operations (Region 2); Ador Canlas, assistant secretary for Region 2;
Marifel Andes, district engineer, Nueva Viscaya First Engineering District; Danilo Bernabe, chair, Bids and Awards Committee (BAC); Bryan Neil Augusto, Head, BAC Secretariat; and, several ‘John’ and ‘Jane Does’ who are members of the BAC and its Technical Working Group (TWG).
The CCWI alleged that the respondents should also be made accountable for violation of Section 34 of RA 9184 when they awarded P2,301,142,423.10 billion worth of projects to only 9 contractors out of the total project cost of P2,644,301, 938.32 for 25 projects.
The CCWI claimed that similar to the complaints they filed 5 days previously, Bonoan and his other co-accused proceeded with the awarding of the projects to the 9 contractors despite their violating Section 34.3.b.II of RA 9184.
“These contracts, however, are highly anomalous since above listed contractors failed to meet their project schedule commitments with DPWH resulting in negative slippage,” reads part of the complaint.
“Further, these contracts are anomalous since above listed contractors are ineligible and disqualified by law from being awarded a new contract by DPWH by reason of having violated DPWH Department Order No. 115 Series of 2021,” it added.
Bonoan, Pipo and Medenilla are already respondents in the graft complaint for alleged questionable awarded projects in Davao worth P3.84 billion filed by CCWI while Bonoan and Medenilla were also co-respondents in the complaint for NCR projects worth P1.579 billion (see also Pinoy Exposé, April 25, 2023).