Press Release
February 16, 2009

PROCUREMENT LAWS IN FOCUS
Chiz: FG, contractors not invited in WB report probe

Senator Chiz Escudero on Monday said he did not invite First Gentleman Mike Arroyo and representatives of the three blacklisted contractors to the hearing of the Senate Committee on Constitutional Amendments and Revision on Codes and Laws, saying doing so would not aid the panel in improving procurement laws in the country.

"...Hindi ko iimbitahin ang mga pinagdududahang kontratista o si FG (First Gentleman) dahil anong mapapala ko sa kanila? Sa tingin nyo ba bibigyan nila ako ng tamang sagot kung paano mapapaganda ang procurement law?" Escudero said during the weekly Kapihan sa Manila Hotel news forum.

Escudero, chair of the panel, said that inviting the blacklisted contractors or Mr. Arroyo would even do more harm than good.

"...baka dalhin lang nila ako sa direksyon na mas lalong mapariwara," the senator said.

He added that since the purpose of the investigation is in aid of legislation, invited resource speakers would come from agencies that are directly involved in procurement, such as the Department of Budget and Management, Department of Public Works and Highways and bids and awards committees of government instrumentalities.

He said that non-government watchdogs would also be invited in the hearing, which is set tomorrow, February 17.

Escudero earlier said he will "dig deeper" into the alleged collusion among Filipino contractors in a WB road project when he begins hearings to strengthen and improve safeguards in the government's procurement system.

Three local contractors had been blacklisted by the World Bank because of alleged collusion in bidding for the WB-funded National Roads Improvement and Management Program (NRIMP). The three Filipino firms included in the report were E.C. De Luna Construction Corp., Cavite Ideal International Construction and Development Corp. and the CM Pancho Construction Inc.

Another panel, the Senate Committee on Economic Affairs chaired by Senator Miriam Defensor-Santiago, is investigating the contents of the report, where names of high government officials and key public personalities were mentioned.

Escudero said that his panel's investigation would be limited to amendments to procurement laws in the country, in harmony with the policies of foreign funders such as the WB.

During his trip to Washington two weeks ago, the senator met with Shaun Moss, Regional Procurement Manager for East Asia and the Pacific, Ben Gericke, Senior Transport Engineer and Steve Charles Burgess, Senior Operations Officer.

He said these WB officials are supportive of moves to amend and improve procurement laws in the country and even suggested reforms of their own.

Meanwhile, Escudero said he agrees with the observations of Senator Panfilo Lacson that the Senate should relax the rules on evidence and procedure when it comes to congressional probes.

The statement was in reaction to reports that the WB investigation lacked evidence to pin down the contractors and First Gentleman Mike Arroyo in the bid-rigging controversy being probed in Congress.

He said unlike courts of law, the Senate is not mandated to observe the strict rules of evidence and procedure.

"...sang-ayon ako sa pananaw na hindi naman korte ang Senado at hindi naman dapat nakatali ang kamay ng Senado sa strict rules of evidence at strict rules of procedure lalong lalo na kung ang interest natin ay ang malaman at masaliksik kung ano ba talaga ang nangyari sa issue na ito," Escudero explained.

He also warned against putting WB officials under scrutiny for coming out with the report, saying "we should not shoot the messenger, we should read the message."

News Latest News Feed