Palawan governor refutes graft raps

Palawan Gov. Jose Alvarez has assailed the criminal complaint filed against him on Wednesday over alleged anomalies in the Cagayan de Oro Water District’s (COWD) supply contract with his firm.

In a statement sent to the Inquirer on Thursday, Alvarez questioned the motive of private complainant Michelle Fox in filing the criminal and administrative complaint before the Office of the Ombudsman.

He noted that Fox unsuccessfully tried to contest the mayoralty of San Vicente, Palawan against his reelectionist daughter, Mayor Carmela “Pie” Alvarez.

“The motive behind the complaint is dubious even as it is revealing,” Alvarez said, also citing that Fox faces criminal charges for illegal logging before the Puerto Princesa City Regional Trial Court Branch 51.

Use of 2013 COA report

Alvarez also questioned the use of a 2013 Commission on Audit report as the basis of Fox’s complaint.

He said that report is still being contested before the Office of the Ombudsman for Mindanao.

He added that “there is nothing in the COA audit report that specifically and categorically points to the participation, complicity, or involvement, in any manner” of the officials of Rio Verde Water Consortium, Inc. (RVWCI) in the alleged violation of the Anti-Graft and Corrupt Practices Act and the Government Procurement Reform Act.

Although Alvarez admitted that the RVWCI was  incorporated and registered with the Securities and Exchange Commission only 12 days after being awarded the Bulk Water Supply Project on Dec. 9, 2004, he maintained that “absolutely nothing irregular about it”

He said the COWD bidding rules allows a yet-unincorporated joint venture to qualify as a bidder.

Took exception

He took exception to the COA report’s observation that RVWCI was declared a “non-responsive bidder” by the COWD bids and awards committee before the board of directors went on to award the Bulk Water Supply Project.

He said the consortium was “completely unaware” of any issue concerning its qualification as a bidder, and it had “all the reasons to rely on the [COWD’s] representation that the awarding process was proceeding regularly and smoothly.”

Alvarez said that since the COWD made “unqualified and unequivocal representations,” the RVWCI complied with its obligations in good faith and completed the project ahead of schedule.

Alvarez also belied the COA report’s statement that the project became costlier by P47.96 million, when COWD agreed with the RVWCI’s proposal to move the “takeoff point” of the water delivery system to a location in a lower elevation.

Instead, he said that lowering the takeoff point resulted in “substantial savings” because it shortened the pipeline that needed to be built.