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P79M security cam contract of winning bidder rescinded

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Friday, December 01, 2006
P79M security cam contract of winning bidder rescinded
By Elias O. Baquero

CEBU CITY -- The Department of Public Works and Highways (DPWH) rescinded the P79-million contract it awarded to a winning bidder to supply traffic surveillance equipment for the Asean summit.

The contract was cancelled due to the contractor's alleged failure to deliver, install, commission and test the security cameras.

Sun.Star Network Online's 12th Asean Summit Watch

DPWH 7 Director Robert Lala said the contract with Cebesos Development Corp., represented by its proprietor Crisologo Saavedra, was terminated based on the instruction of Secretary Hermogenes Ebdane.

But Saavedra said he feels that DPWH officials are giving him a hard time by refusing to accept his deliveries because they want to cheat him of his contract.

Lala said, though, that Cebesos failed to complete the project on the November 20 deadline. The deadline was extended to November 25, which Cebesos still failed to meet.

This prompted the bids and awards committee (BAC) chaired by DPWH Assistant Director Marlina Alvizo to re-convene last November 27.

It awarded the project to the second willing bidder, Triton Communications Corp., which promised to finish it in seven days.

Saavedra has a different take on the change of contract.

He cited an incident when Alvizo summoned him to her office and told him that their superiors in Manila want a cut of 15 percent of the total project cost.

Saavedra said that 15 percent of his P79-million bid is equivalent to about P12 million.

He committed to Alvizo P10 million, which will be given upon full payment of the project.

Since then, Saavedra said Lala became strict and will not listen to his explanation. This was followed by the refusal of DPWH officials to accept the equipment he delivered.

Lala, in an interview, denied that they demanded kickbacks from the project.

"Bisag kape wa nay gihatag. Ako pay magpakape niya (He didn't give us even coffee)," Lala said.

Lala said they are transparent and can give details of the issue on Monday, with documents.

Saavedra said if DPWH wants to speed up the project and to be fair to him, they should accept his deliveries and pay for these.

He already talked with PRO 7 Chief Superintendent Silverio Alarcio, who heads Task Force Cebu for the Asean summit on December 11 to 14, to help settle the problem with DPWH.

But Lala said he spoke with Alarcio last Wednesday, and the regional police chief already knew the real score.

"The PNP is the end-user and Alarcio must decide whether they will accept it," Lala said.

Last November 28, Saavedra's lawyer, Rolindo A. Navarro, sent a letter to Lala and Alvizo stating that his client has not breached the terms and conditions of the purchase order and other conditions of the project.

"It is your end of the deal, particularly the delayed organization of the joint monitoring team, which caused the delay in the compliance by our client of the needed installation," Navarro said.

"While your joint monitoring team has accepted the software, it has refused to accept the cameras without any valid reason," Navarro further told Lala and Alvizo.

Saavedra said he will file criminal and administrative charges against Lala, Alvizo, Ebdane and other DPWH officials if they really cancelled his contract, especially that he already delivered P36 million worth of equipment after he won the bidding.

He explained that based on the 30-day period or completion of the project, Cebesos still has until December 6 because the award was handed by DPWH to his company last November 6.

Saavedra also said that Triton cannot be awarded the project because BAC disqualified it during the bidding last month.

"I am a fighter and I will fight them in court because they've done injustice to me and my company," he said.

The traffic surveillance cameras, which can monitor the movement of vehicles, were to be in 20 intersections in Metro Cebu.

Six units will be in Cebu City, seven in Mandaue City and seven in Lapu-Lapu City.

It had an original appropriation of P90 million taken from the Motor Vehicle Road Users Tax.

The project was approved by the National Organizing Committee of the Asean summit. (Sun.Star Cebu)

For more Philippine news, visit Sun.Star Davao.

(December 1, 2006 issue)
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Cop killed, 6 wounded in gun attack, grenade blast in police camp


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