Press Release
February 1, 2009

Senators reminded to get to bottom of scandal over WB-funded projects

Minority Leader Aquilino Q. Pimentel, Jr. (PDP-Laban) today urged Senate probers to get to the bottom of the scandal over the World Bank-funded road projects even as he cautioned them against statements that may undermine the investigation.

He stressed that the Senate, Office of the Ombudsman and other investigating agencies concerned must be able to secure from the World Bank all the documentary and testimonial evidence that served as its basis for debarring three Filipino contractors from its infrastructure projects.

Pimentel said it is through this inquiry that the Senate can validate the findings and conclusion of the World Bank that three construction companies - E. C. de Luna, Cavite Ideal and CM Pancho - were engaged in "collusive and corrupt" practices in bidding for public works projects that prompted the bank to blacklist them.

During the Jan. 27 hearing of the blue ribbon committee, Sen. Panfilo Lacson grilled De Luna on the allegation about a P70 million cash contained in a carton box which he allegedly personally delivered to the First Gentleman at the FTA Building in Makati City sometime in 2004. Lacson claimed that the money was allegedly meant as a bribe in exchange for the awarding of the Pl.4 billion EDSA rehabilitation project.

Pimentel said that while Senate President Juan Ponce Enrile may be correct in saying that Lacson's revelations about the De Luna-Mike Arroyo connection may be considered hearsay at this point, it creates the impression about an effort to disparage the evidence.

"What he said may be technically, legally correct. But then its implication is that, let us put a stop to the hearing."

Pimentel said it was unfortunate that the Jan 27 hearing lasted only for two hours and Lacson, together with the other members of the blue ribbon committee, was not able to pursue his questioning of De Luna and other witnesses-resource persons.

He suggested that the inquiry be resumed.

"The investigation should be resumed at once to give the persons concerned the full opportunity to produce the necessary evidence," he said.

Santiago said that she will call another hearing only after two weeks, that is if Lacson can present his witness on the alleged P70 million bribery.

On the allegation of collusive and other fraudulent practices against the blacklisted contractors, Pimentel said a friend who is based in Washington D.C. and working with World Bank told him that the Philippine government can request the bank for copies of the testimonial documentary evidence that supposedly provided the basis for indicting the respondent firms.

"According to him, we can have access to all these pieces of evidence for the purpose of prosecution. At this point, I cannot elaborate, but there is an ongoing process for the World Bank to provide our country with solid and concrete evidence enough for prosecution," he said.

Pimentel said it is deplorable that the three contractors blacklisted by the World Bank are not barred from bidding for projects as long as these are not funded by the bank.

"The World Bank has debarred the erring contractors for life, and we suspend them only for 15 days, it's as if we are playing around with our laws," he said.

News Latest News Feed