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Capitol jolted again with back hoe deal

A hydraulic back hoe bought by the provincial government for P9.7 million was the subject of media discussion the past week amidst claims of an overprice of more than P2 million. The alleged overprice was computed by Capitol critics after it was gathered that the same heavy equipment with the same specifications was bought from the same supplier for only P6.3 million. At least five contractors were identified to have bought the back hoe from the same supplier in Cebu at P6.3 million.

The back hoe transaction was tackled during the Governor's Report last Friday where the provincial executive directed lawyer Handel Lagunay, chair of the Bids and Awards Committee to explain if indeed the provincial government was at the losing end of the deal. Lagunay explained that the transaction amounted to P9.7 million because it included an accessory called hydraulic breaker.

Although the governor succeeded in putting himself above the backhoe fray, he nevertheless ordered the revamp of the Bids and Awards Committee to preclude any suspicion that some of its members are in collusion with suppliers. He also directed the putting up of an internal audit unit in the governor's office to scrutinize all financial transactions involving the General Services Office. This was the second time in three weeks that the governor took a personal hand in calling for an investigation arising from transactions suspected to be tainted with irregularities.

The first incident that caught the attention of the governor was the purchase of 18 air conditioning units for use of the Bohol Cultural Center . The governor ordered a rebidding of the aircon deal where distributors from Manila were asked to make quotations. The government was said to have saved about a million pesos as a result of the governor's initiative to include Manila distributors.
 

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VOLUME XXI No. 1
Tagbilaran City, Bohol, Philippines
July 16, 2006 issue