COA confirms BuCor deal anomalies

MANILA, Philippines - The Commission on Audit (COA) confirmed yesterday that the splitting of contracts into smaller deals, apparently done to avoid holding public biddings, is indeed happening at the Bureau of Corrections (BuCor).

In a report released yesterday, state auditors said that in 2011, the procurement of more than P5.4 million in construction materials for the New Bilibid Prison (NBP) was done through shopping, in violation of Republic Act 9184 or the Government Procurement Reform Act. Public bidding is required for contracts that are valued at P500,000.

The audit disclosed that the money was used to buy construction materials and supplies for the construction and repair of various structures in the administration building last year.

“Splitting of contracts may also be inferred in the same procurement activities since the construction materials subject of small value purchases are relatively the same in nature which could have been procured under a single purchase contract thru public bidding,” state auditors said.

The audit team noted that projects funded from the BuCor’s Trust Fund were not listed in the Annual Procurement Plan and stated that “regardless of the source of fund to be used, the general requirement remains that implementation of any project not included in the APP shall not be allowed.”

“Moreover, we noted that for some infrastructure projects, the original mode of procurement was public bidding but the actual purchases were done through shopping,” the COA report read.

The COA report follows backs charges of graft, technical malversation, grave misconduct filed against BuCor director Gaudencio Pangilinan and five other officials of the NBP two months ago.

Prison guard Kabungsuan Makilala lodged the complaint before the Office of the Ombudsman with purchase orders, disbursement vouchers, and contracts to back his allegations.

The Department of Justice has found merit in the complaint and recommended the filing of criminal and administrative charges against Pangilinan and other BuCor officials.

The Office of the Ombudsman has yet to issue an update on the status of the charges filed by Makilala in August.

Pangilinan earlier denied the allegations and said his accusers are against the reforms he has reportedly instituted in BuCor.