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Bidding rigged In backhoe buy

GOVERNOR Erico Aumentado's assurances of a clean deal in the Capitol backhoe buy did nothing to shake the whistle blower's position. In its latest development, whistle blower lawyer Victor dela Serna insists, the deal was not just grossly overpriced, the bidding was rigged. Top-notch lawyer Victor de la Serna told the Post that the rigging had Capitol overpricing P3M on the backhoe, money he said that was stolen from the taxpayers and the people of Bohol.

The former governor revealed to the Post that according to Bids and Awards Committee (BAC) minutes, there was only one supplier who participated “or was allowed to participate” in the bidding processes. Based on the de la Serna documents, the Pre Bid Conference on March 23, for the provision of the hydraulic excavator that Capitol intended to buy had only Civic Merchandising as eligible bidder and supplier.

This fact was also attested by Roebert Varquez, Bids and Awards Committee (BAC) secretariat member. During the opening and awarding of bids, April 14, BAC Chairman Atty Handel Lagunay noted that at the opening of technical and financial requirements, again only Civic Merchandising submitted P9,410,560 bid for the backhoe.

A technical team composed of Engrs. Edwin Vallejos, Abraham Clarin, Greta Mende and Assistant Provincial Budget Officer Laura Boloyos declared that the company is very qualified to supply and maintain the equipment. Engr. Clarin then moved to declare Civic eligible and recommended awarding the contract to the company, it being the lone complying calculated bidder. With the foregoing facts, the top-notch lawyer said bidding presumes the entry of more than one supplier.

The bidders should compete to offer the lowest price to the province for the equivalent or same-class product, he shared. Secondly, he alleged that Capitol's BAC did not even make a cursory canvass of prices of backhoes of the same class or category if only to determine the prevailing market price. On the contrary, it is apparent that some officials in the BAC had already predetermined the supplier and the price, he accused.

In a simple telephone canvass of prices of backhoes, dela Serna said he was able to determine the prices of similar class backhoes. He knew then that a Volvo backhoe assembled in Korea sold by Civic costs only P6.2M, a JVF assembled one in Japan sold by JVF in Manila costs P5.4M while a Japan assembled Komatsu and sold by Maxima-Cebu costs P6.3M. He even leaked that a Civic salesman told him that the company awards a 10% rebate on the cash payments for the Volvo EC210.

Why then did the Province pay P9,649,500 for the same Volvo EC210 when it could have been bought for as low as P6.2M from Civic? he asked. As to the additional breaker, dela Serna said the attachment costs P850T to about a million. But going for the Letter of Credit opened by Capitol, he again asked why was it exactly P9.649.500 that Capitol opened? The clear overprice is at least P2.4M, and with a 10% rebate, the overprice would be P3M, he declared.

With all the circumstances, dela Serna said “because the overprice is so huge, the bidding rigged, there can be no other conclusion except that it was premeditated, intentional and felonious act to defraud the province and the taxpayers of Bohol. This is scandalous, dela Serna concluded.

 

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VOLUME XXI No. 7
Tagbilaran City, Bohol, Philippines
August 27, 2006 issue