Caterer in 'illegal' Bureau of Corrections deal wins new NBP bid

MANILA, Philippines - One of three catering firms that allegedly entered into P94 million worth of “illegal” contracts with the Bureau of Corrections (BuCor) has qualified in a new bidding to provide meals to inmates at the New Bilibid Prison (NBP) maximum security compound.

NBP bids and awards committee chairwoman Gloria Garcia and six members of the committee opened yesterday the sealed bids of three caterers at the conference room at the ground floor of the NBP administration building.

Garcia said only Mang Kiko Catering Services qualified in the on-the-spot post-qualifying stage yesterday. Two other bidders, Marigold and Ringstar, were disqualified for not meeting the “technical and financial requirements” imposed by the bid committee, she said.

The maximum security compound houses 12,000 inmates, according to bid committee member Penal Institution Supervisor Celso Bravo.

Garcia said the total budget allocated for the inmates’ meals for 2012 is P230 million, adding that the P50 per day meal budget for each inmate is provided for the General Appropriations Act of 2011.

Bravo said the BuCor has maintained the P50 per day meal budget starting three years ago. The previous budget was at P40.

 The two losing bidders have filed separate motions for reconsideration before the body. Garcia said the final approval will be made in 10 days instead of the usual seven days to further evaluate the bids of the two other participants.

The committee said the on-the-spot opening of sealed bids shows full transparency in the BuCor, adding that BuCor chief Gaudencio Pangilinan has no direct participation in the bid process.

Bravo said if the winning bidder scrimps on the inmates’ meals, the caterer “will be charged accordingly for breach of contract.” He added that the winning bidder cannot say they are providing the meals at a loss, saying “they would not be here if they are not making a neat profit in this business.”

No charges yet

In a report last month, a DOJ fact-finding panel recommended administrative charges against Pangilinan and other prison officials for allegedly entering into P94 million worth of “illegal” contracts with three caterers to provide food for inmates at the BuCor’s prison facilities.

Charges have yet to be filed, as DOJ Secretary Leila de Lima has initiated an investigation on who leaked the DOJ panel’s report to the media.

The panel asked the prison officials to explain the three food catering contracts entered into by Pangilinan in BuCor’s behalf: Meyer’s Food and Services Inc. to provide meals for inmates at the NBP minimum security compound for P16 million; Marigold Grill Corp. for inmates at the Correctional Institution for Women in Muntinlupa City for P17 million and Mang Kiko Catering Services Inc. for inmates at the NBP medium security compound for P61 million.

“The procurement process of the three catering contracts was fraught with legal technicalities. There was no compliance with DOJ Memorandum Circular 15, series of 2008, on the need to get a mandatory observer from the DOJ for all procurement activities,” the panel said.

The panel said additional charges of grave misconduct, gross insubordination and conduct prejudicial to the best interest of the service should be filed against Pangilinan; consultant and chief of staff Venancio Santidad; Teodora Diaz, assistant director for administration and rehabilitation, for issuing a notice of award without legal authority; Alfred Benitez as chairman of the bids and awards committee; and BAC members Bravo, Elsa Alabado and Nora Corazon Padiermos.