MANILA, Philippines – The Department of Public Works and Highways suspended 58 construction firms from participating in DPWH projects for one year, beginning yesterday, for reportedly violating government procurement rules.
DPWH Secretary Hermogenes Ebdane Jr. said a special committee conducted three reviews and deliberated on the cases of the contractors and found their excuses unacceptable.
The firms reportedly violated Republic Act 9184, the government procurement reform law, and Department Order 35, series of 2008.
Majority of the contractors were said to have come up with several excuses to hinder the bidding and the completion of the projects and the most popular excuse was that the projects were not profitable.
The other reasons were that the proposals were higher than the allowed approved budget cost (ABC), they had no engineering staff to prepare the bid, and some cited traffic jam problems.
The special committee approved their suspension last May 21 but it was only implemented yesterday.
DPWH officials clarified that the projects were not part of the World Bank (WB) projects. The affected firms were only vying for locally-funded projects and many of them were first-time violators.
Ebdane said they had been collating a list of erring contractors since he assumed office in 2005 but this is the biggest number of contractors he has ordered suspended at the same time.
The firms reportedly failed to justify why the agency’s Joint Central Office-Bids and Awards Committee’s (CO-BAC) recommendation to bar them from taking part in the projects should not be implemented. They also reportedly failed to respond to Ebdane’s letter requiring them to show cause why they should not be suspended.
Ebdane said some of the suspended contractors are big-time firms, but did not cite specific firms. Sources said the DPWH only sanctioned medium and small-time contractors.
He said while they would not be requiring the firms to pay fines, he said it is enough punishment that they would not be allowed to participate in DPWH projects for a year.
Ebdane said he will also request other government agencies to also ban the 58 contractors from participating in their projects.
“Now in the event that they have pending projects with the DPWH, they would just finish the project but they cannot get involved in any new bidding,” he said.
Once they have served the one-year suspension, he said they would not automatically be qualified to join the bidding process.
“They have to show the DPWH that they are qualified. It would not be automatic after their suspension,” Ebdane said.
The 58 contractors covered by the suspension order are:
1. A.C. Rivero Development Corp.
2. ADP Construction and Supply
3. AFG Construction and Supply
4. Allencon Development Corp.
5. Annasor Construction and Trading
6. BMK Construction
7. Big Bertha Construction and Development
8. CBN Construction and Supply
9. Chiara Construction
10. Cofe Jok Construction and Supply
11. Davao Concrete Products
12. E.M.L. Construction and Trading
13. F. Gurrea Construction
14. Good Fortune International Inc.
15. Henry S. Oaminal Construction and General Merchandise
16. Hi-Tri Development Corp.
17. IBC International Builders Corp.,
18. J Cordon Construction and Supply
19. J. Lee Construction
20. J.M. Morales Construction and Supply
21. J.S. Layson & Co., Inc.
22. Jhall Marketing & Services
23. JHJ Construction
24. LMG Construction
25. LSD Construction and Supply
26. Muana Development Corp.
27. Palmares General Merchandise
28. Patrila Builders, Performance Builders and Developers Corp.
29. R. B. Uriarte Construction
30. R.G. Erillo Construction Inc.
31. Roprim Construction
32. Shak Construction
33. Shen Construction
34. Topmost Development Marketing Corp.
35. TSD Builders Construction and Supply
36. Waterton Construction and Realty Development Corp.
37. Werr Corporation International
38. Welex Construction
39. A.D. Construction
40. ACES Trafcon Exponents, Inc.
41. ALRAF Construction and Enterprises
42. ARN Builders
43. B.E. Construction
44. CVAP Construction
45. ECDA Construction
46. Gampik Construction and Development Inc.
47. IHZA Construction
48. J&S Cuadra Construction and Supply
49. JECEL Construction and Supply
50. JLA Construction and Supplies
51. KIRSKAT Venture
52. MBD General Construction
53. NFH Construction and Supply
54. NVF Construction
55. Rockworld Industries
56. Unayan Builders Construction and Supply
57. Villa Veronica Construction
58. VNKC Construction
–Evelyn Macairan,Philippine Star
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against the military junta in Myanmar
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