Pia: Expose gov't connections of 'road contracts cartel'

Senate opposition member Pia S. Cayetano has urged the World Bank to spill all the beans on the 'road contracts cartel' found to have rigged the bidding for a $33-million Philippine road project.

"The World Bank's corruption-fighting unit should not hesitate to reveal more information on this cartel, how it operates, including its alleged connections in government," Cayetano said, in reaction to reports linking the cartel to key personalities in the Arroyo administration.

The lady senator was reacting to the World Bank's statement that it had uncovered a major cartel involving local and foreign bidders on a Philippine road project, and that it had barred seven companies - three from the Philippines and four from China - from bidding on its projects due to alleged corruption.

"This cartel cannot possibly corner contracts for big government projects without receiving any help from high-ranking public officials," she stressed.

Cayetano noted that this was not the first time that the World Bank has suspended funding for a major infrastructure project under the Arroyo government.

"It was not too long ago, November 2007 in fact, when the World Bank decided to suspend $323 million in soft loans, also for Philippine road projects due to reports of corruption."

"An investigation was initiated by Malacañang then, or so they announced to the media. But did anything come out of it? We never heard about any official being questioned, sanctioned or charged in court in relation to World Bank's 2007 complaint."

"Now comes another World Bank funding suspension for the very same issue that was followed, quite predictably, by another order for a top-level investigation as a knee-jerk reaction from the President."

"This time around, would it be too much for the people to expect the Arroyo regime to come up with a credible investigation?" she asked in conclusion.