Thursday, January 10, 2008 Lacson files resolution seeking Senate investigation on lamps purchase, CICC
SEN. Panfilo Lacson has filed a resolution asking the Senate Blue Ribbon Committee to conduct an inquiry, in aid of legislation, on two Asean Summit projects.
The investigation, based on the resolution received by the Senate last Dec. 27, is intended to enact remedial legislation “that will further strengthen the pertinent provisions” of the government procurement law and the Anti-Graft and Corrupt Practices Act.
The two projects are the allegedly overpriced purchase of decorative lampposts that line the streets of Mandaue and Cebu cities as well as the street lamps in Mandaue City, and the Cebu International Convention Center (CICC).
Decorative lampposts were also bought and installed in Lapu-Lapu City but Lacson’s resolution does not mention them.
“The unabated anomalies and corruption that oftentimes accompany contracts entered into not only by the national government but even by local government units tend to show the utter disregard of public officers of the pertinent provisions of Republic Act 9184 (the Government Procurement Act) to the prejudice of the public coffers,” the resolution read.
“This practice of public officers of continuously resorting to violation of Republic Act 9184 just so they could enrich themselves at the expense of the public coffers likewise shows their apathy toward the provisions of the Anti-Graft and Corrupt Practices Act,” it added.
Officials of the Capitol, which built the CICC, previously said they welcomed reports of a Blue Ribbon Committee investigation on the project. Lawyer Rory Jon Sepulveda, the Capitol’s consultant on information, said it will give the multi-million facility national exposure.
Sepulveda, however, questioned why a local government-funded project would be the subject of a Blue Ribbon Committee inquiry.
“Our expectation is that when you say there is a Blue Ribbon hearing, there is abuse involved. Major issues are involved, affecting national security or secrets,” said Sepulveda.
Sepulveda said the reports of an impending investigation have drawn supporters of Cebu Gov. Gwendolyn Garcia to suspect that politics is behind the investigation.
“The supporters are already passionate in telling the governor that the investigation is a smear campaign against her because possible 2010 presidential candidates want Garcia as their vice president,” Sepulveda said.
Lacson, quoting figures from the Office of the Ombudsman-Visayas, said the 683 decorative lampposts in Cebu City cost the government P89,385 each.
Costs
Based on importation documents, however, each lamppost only cost 224RMB in China or about P1,399.22.
In the case of Mandaue City, which got 655 units, each unit cost the government P224,000 when the unit cost was only P11,700 each, “inclusive of customs duties, transport and other costs excluding installation.”
“The losses suffered by the government were more pronounced in the purchase of streetlights, which were priced based on the prepared program of works and estimates for single, double and triple-arm streetlights at a cost of P72,500 and P95,000 per unit excluding installation cost,” Lacson’s resolution read.
“However, based on the import documents for said items, it should have only cost the government P7,536.96, P8,121.20 and P9,523.37 each excluding installation,” it added.
On the CICC, Lacson noted how the budget for project was set at P637.4 million and how the governor, in a presentation in May 2007, said the Capitol only spent P581.273 million.
“(But) There were reports that Governor Garcia did not fully disclose the entire amount spent for the project since WT Construction, one of the contractors for the said project, submitted an additional billing statement in the amount of P261,217,886.06,” the resolution read.
The Capitol has previously said that the billing still needed to be double-checked. (KNR)
