The Supreme Court (SC) recently denied a petition of two construction companies to direct the Region 7 office of the Department of Public Works and Highways (DPWH) to award a Cebu City flyover project to them.
In a 10-page decision penned by Chief Justice Reynato Puno, the SC’s first division dismissed the petition for preliminary mandatory injunction with prayer for a temporary restraining order filed by WT Construction Inc. and Chiara Construction for failing to prove that their rights had been violated.
The two companies sought a TRO against the DPWH and WTG Construction and Development, which offered a bid of nearly P62 million for the flyover project.
In their petition, WT Construction and Chiara claimed they were entitled to the award having offered the lowest bid of almost P53 million.
However, the SC said the mere submission of the lowest bid did not automatically entitle the two companies to the contract.
The SC said their bid must still undergo evaluation and post-qualification to determine whether or not it would be most advantageous to the government.
The SC said the envelopes of the petitioners’ technical and financial bid were opened on May 28, 2003 in accordance with the decision of the DPWH secretary, who directed the DPWH Bids and Awards Committee to open and read their bid and to award the project to them if their bid was indeed the most equitable.
But what were found in the petitioners’ bid envelopes, the SC noted, were a notarized application for a Philippine Construction Accreditation Board (PCAB) license, not the license itself, and a bidder’s bond, not a surety bond.
The SC said a PCAB special license for the petitioners’ joint venture and a surety bond were both required for their bid to be declared the lowest and the project awarded to them.
The SC added that the petitioners failed to present sufficient evidence to prove their allegation that the signature of then DPWH Secretary Florante Soriquez on the contract with the winning construction company was forged. – Sandy Araneta