PNP probes ghost repair of armored vehicles by Napolcom

MANILA, Philippines - Police investigators looking into the alleged ghost repair of 28 units of V-150 armored personnel carriers (APCs) of the Philippine National Police (PNP) worth P397 million are trying to find out why the National Police Commission (Napolcom), instead of the end-users, initiated the move to have the combat vehicles repaired in 2007.

The Napolcom, which has direct administrative control and operational supervision over the PNP, without the usual requests from the end-users like the PNP Special Action Force and Regional Mobile Groups, issued Resolution No. 2007-225, which probers said is tainted with irregularity. RMG is now called Regional Public Safety Management Battalion (PSMB).

Based on the undated Napolcom resolution, the PNP’s policy-making body ordered the recall of all 28 APCs deployed in various parts of the country, serviceable or not, purportedly for repairs and replacement of engines and transmissions.

The resolution directed the PNP Directorate for Logistics to carry out the recall but it could not be ascertained how said office did it and where the three winning bidders conducted the repairs.

Since all the V-150s were made exclusively by a United States APC manufacturer, investigators are also trying to find out how and where the winning suppliers – the Enviro-Aire Inc., RJP International Trading Construction & General Services, and Evans Spare Parts Motorworks RPR and Trading – managed to obtain their spare parts, engines and transmissions.

A senior police officer privy to the investigation, speaking on condition of anonymity, said that an APC or V-150 vehicle is considered a controlled item and spare parts are not usually available in the market.

“In fact, the PNP’s existing V-150s mostly came from the US. The question now is: Did the suppliers obtain original spare parts, engines and transmissions for the combat vehicles?” he said.

One of the winning suppliers, Enviro-Aire Inc., was also implicated in the alleged anomalous purchase of the P131-million overpriced and unserviceable rubber boats and outboard motors shortly after tropical storm “Ondoy” in 2009.

Napolcom justified their move by saying that the recall of the V-150s was for “complete worthiness assessment, to cause the immediate rehabilitation and repair of unserviceable units and make them operational within 60 working days from receipt of the combat vehicles, and to ensure regular maintenance of all V-150s.”

Traditionally, procurement in the PNP should be initiated by the end-users, making requests supported with a report and costs estimates and forwarded to the PNP national headquarters, and later to the Napolcom for approval and funding.

The repair of the APCs was stipulated in the Napolcom resolution signed by then chairman and concurrent Interior and Local Government head Ronaldo Puno. Concurring with the resolution were Commissioners Linda Malenab Hornilla, Celia Leones, Miguel Coronel and former PNP chief Oscar Calderon.

The Napolcom resolution instructed the director of the PNP Directorate for Logistics to recall all the V-150s assigned to PSMB and the SAF for rehabilitation to ensure their operational readiness.

Documents obtained by The STAR showed the PNP spent P397,584,064 for the repair of the 28 APCs.

The records indicated that the PNP paid P141,995,064 for the replacement of spare parts and another P255,589,000 for the repair and maintenance of the combat vehicles designed to transport infantry to the battlefield.

Records also showed that after the Napolcom resolution was approved, then Directorate for Comptrollership (DC) head Director Geary Barias notified the Directorate for Logistics Support Service (LSS) on the availability of the notice of funds allowance amounting to P142 million on Aug. 31, 2007.

On Dec. 4, 2007, the P142-million budget was ordered released under NFA #000-219-357-2007 from DC in favor of the LSS.

Several days later, the PNP Bids and Awards Committee issued a resolution delegating to the LSS the procurement, through public bidding, of the repowering and refurbishing of V-150s for the PNP Special Action Force signed by then BAC chairman Deputy Director General Reynaldo Varilla and approved by then PNP chief Avelino Razon Jr.

On Dec. 12, 2007, a public bidding was attended by LSS-BAC and representatives, proponents from Enviro-Aire Inc., Evans Spare Parts and Motorworks, and RJP International Trading Construction and DC Management.

Chief Superintendent Teodorico Lapuz IV, LSS chief, approved the abstract of bids and recommendation of award. Eventually, the LSS issued purchase order in favor of suppliers Enviro-Aire Inc. amounting to P90,001,460 and Evans amounting to P21,996,604 for the spare parts.

According to the source, there is no records of purchase order for RJP International Trading amounting to P29,997,000.

Enviro-Aire Inc. also cornered the P149,900,000 contract for the replacement of fuel, cooling, suspension, exhaust, brake, hydraulic, weapons, sighting and electrical system.

RJP International Trading, on the other hand, got some P53,900,000 for the replacement of engine and transmission while Evans bagged P51,789,000 for replacement of parts and accessories.

The disbursement voucher for the contracts with the suppliers were prepared on Jan. 14, 2008.

Investigators are looking into the firms’ capacity and capability in supplying parts and repairing the V-150s, which were US-made.

The STAR contacted Barias, who said he could not recall details about the repair of the V-150s. “I don’t recall much, I was comptroller for one and a half months,” he said.