DND: Big contracts still on stream

From the Manila Standard Today (Jun 27): DND: Big contracts still on stream

The Department of National Defense on Friday said the Commission on Audit has not stopped the implementation of three multi-billion, big-ticket modernization projects.

“For the information of the general public, the Commission on Audit has not ‘suspended’ the acquisition projects for the 12 jet aircraft from South Korea, the eight Bell 412EP Helicopters from Canada, and the 21 UH-1 helicopters,” the DND said in a statement.

“The COA merely suspended their scheduled audit pending the submission of additional requirements and data from the Department of National Defense. Thus, the acquisition of the Bell 412 helicopters and the FA-50 jets are ongoing,” it added.

It further said COA Supervising Auditor Lucena D. Gana wrote the DND to say “the existence of the Notice of Suspension does not prevent or hinder management in the performance of its responsibilities under the contract.”

“We assure the Filipino public that all transactions in the Department are aboveboard, transparent, and in compliance with the rules and regulations as prescribed by law,” DND said.

Particularly on the jets, the project acquisition is for the Philippine Air Force and will get at least 12 lead-in jet fighters through government-to-government negotiated deal with South Korea’s Air Force. The project is worth P18.9 billion from manufacturer Korean Aerospace Inc.

The first two jets are expected to be delivered to the PAF early next year. The full delivery of the aircrafts is scheduled to be completed in 2017.

This coming August, two of the 8 Bell 412EP combat utility helicopters are scheduled to be delivered.

The project is worth P4.8 billion the government signed in March 2014 with the Canadian Commercial Corporation through the Canadian government in a government-to-government deal.

The statement stressed that the contract for 21 second-hand Huey helicopters has already been scrapped by Defense Secretary Voltaire Gazmin.

 Whistleblower Rhodora Alvarez, a director of the Bureau of Internal Revenue who publicly admitted to helping the supplier prepare necessary documents, has accused several defense officials of allegedly asking for commissions from the deal, but the officials denied the charge.

http://manilastandardtoday.com/2015/06/27/dnd-big-contracts-still-on-stream/