3 Sunwest projects at LTO found ‘underutilized’ despite being completed

INQUIRER FILE PHOTO

MANILA, Philippines — Three projects of Sunwest Inc. at the Land Transportation Office (LTO) central office in Quezon City were found “underutilized” despite being completed, LTO chief Markus Lacanilao said on Tuesday.

Sunwest Inc., a construction firm linked to resigned Ako Bicol party-list Rep. Elizaldy Co, was recently implicated in the flood control anomalies.

In a press conference, Lacanilao said the projects included two buildings and a central command center.

He added that the two buildings –  an IT Training Hub and a Road Safety Interactive Center – cost P499.95 million each, while the central command center was worth P946 million.

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“The COA (Commission on Audit) report disclosed several serious observations, including but not limited to the following: improper use of the IT dormitory at low cost to its occupants, poorly-maintained dormitory rooms, idle IT hub equipment, failure to develop required annual plans and programs and prepare accomplished report in violation of Presidential Decree 1445,” Lacanilao said.

“COA AOM-184-2024-17, 2020-2021, highlighted the deficiency and non-compliance with the contract requirements and specification on non-utilization, under-utilization of various components in the facility, and improper computation of the contract results in an overpayment amounting to P26,910,332,” he added.

According to Lacanilao, the contract for the projects with the construction firm was signed on February 26, 2021.

“The contractor then was Sunwest. This building was constructed under a 2021 contract during the previous administration,” Lacanilao said in Filipino.

“I’m familiar with construction since it’s the line of work of my family, so I noticed a few things that need to be looked into more closely,” he added.

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The LTO chief said he has reported the findings to Acting Transportation Secretary Giovanni Lopez, citing President Ferdinand Marcos Jr.’s directive “to look carefully into whether there were any irregularities,” particularly at the LTO.

He likewise said that the findings will be turned over to the Independent Commission for Infrastructure and the Office of the Ombudsman to conduct further investigation. /mcm /gsg