(Update) Blacklisted firms deny corruption in WB projects
Representatives of the seven construction firms recently blacklisted by the World Bank (WB) for alleged collusion in the bidding for road projects appeared in the House hearing on Wednesday to deny the claim.
They told congressmen that the WB sanction was "flawed" and "unjust" because it was supposedly based on an anonymous letter written by someone who has no personal knowledge about the projects.
The corruption allegation involves US$33 million worth of contracts under phase one of the Philippines' National Roads Improvement and Management Program or NRIMP 1.
The WB was invited to attend the House hearing, but the multilateral lender did not send a representative.
"It is an arbitrary and unjust action on the part of the World Bank. It's a unilateral action that causes premature judgment...Isa lang akong maliit na Pilipino. Wala po akong kakayahang makibaka sa higanteng World Bank," said Eduardo de Luna, president of E.C. De Luna Construction Corp., one of three Filipino firms blacklisted by the bank.
"I beg the WB to give me my day in court," De Luna added.
"We deny the allegation of the World Bank. The bank only based its report on a confidential witness. Hindi man lang kami binigyan ng pagkakataon na makapagsalita laban sa nagbibintang samin," said Lamberto Lee Jr., president of Cavite Ideal International Construction and Dev't Corporation or CavDeal.
"We are not knowledgeable of any bid rigging or corruption that happened in this alleged report of the WB. We totally deny this," said Conrado Donato, representative of the China State Construction Engineering Corp..
"They have publicly accused me of taking part in a collusion among contractors without a transparent and fair process. It is arrogance on the part of the financial giant. I have not received a single centavo from the World Bank. Ni singkong duling ay hindi ako kumita sa kanila," de Luna added.
"We are asking for a verification so we can confront those alleged anonymous letters. Di kami pinagbigyan ng WB. Not one of them testified on personal account. WB condemned me on the basis of what legal experts would say is multiple hearsay," de Luna said.
Solons support blacklisted contractors
In a show of support, several congressmen questioned the WB decision and the move by the Department of Public Works and Highways (DPWH) last January 20 to suspend the contractors for 15 days.
A former contractor himself, Pampanga Rep. Aurelio Gonzalez, a civil engineer, sympathized with the blacklisted contractors. During his time, Gonzalez said agents from the National Bureau of Investigation closely watched the companies during the bidding.
“You cannot rig the bids like what engineers and contractors did before. I am not siding with the contractors or with the DPWH. But the families' reputations are already stained. Their neighbors will think that they are thieves. I know what they feel,” Gonzalez said.
Minority leader San Juan Rep. Ronaldo Zamora questioned DPWH Secretary Hermogenes Ebdane Jr. for the agency’s decision to suspend the contractors.
“You have sanctioned these contractors without investigation? Are you suspending them because of the WB sanction alone?,” he said.
When he announced the suspension on January 20, Ebdane said the decision reinforces the agency’s fight against corruption.
He said it will also allow time for the Office of the Ombudsman to finish its investigation of the allegations. But Edbdane admitted, “We have no personal knowledge with what transpired during the investigation.”
“The department should always observe basic rules of evidence, notice, and hearing. Wag magdisposiyon agad na di pinakikinggan yung tatamaan. I hope the department would come out with clearly-stated rules,” Zamora added.
The House hearing will resume next week.