Former Transportation Secretary Joseph Emilio Abaya admitted he was not aware that a company that won a maintenance deal for MRT 3 was only two month old and just had more than half a million peso capitalization but signed the contract anyway.
Abaya made this admission during the hearing of the Senate committee on public services on Monday when asked by its chair, Senator Grace Poe, about the maintenance contract that the then Department of Transportation and Communications (DOTC) had awarded to PH Trams-CB&T through emergency procurement.
“Secretary Abaya, are you aware that PH-Trams was incorporated just a few months before actually winning a bid? Alam ba ninyo na ‘yung kompanya na ‘yan maliit lang ang capitalization, parang P625,000 na binibigyan n’yo ng kontrata for more than 50 million a month? Two months pa lang na incorporate, nanalo na ng kontrata? Hindi ba kayo nagtaka nun?” Poe asked.
(Did you know that that company had a small capitalization of about only P625,000, yet you gave it a contract that’s worth more than P50 million a month? It was just incorporated for two months, but it already won a contract? Didn’t you find something suspicious about that?)
In her opening statement, Poe said, the PH-Trams had only P625,000 in paid-up capital but it was awarded a P54-million-per-month maintenance contract.
“Noong nandon po ako Ma’am, I was new then, hindi ko po alam ‘yung mga facts pong ‘yan (When I was still there, Ma’am, I was still new then, I did not know those facts),” Abaya said, adding that he was advised not to interfere in the bidding process since the “eventual appeal” would be brought to his office anyway.
Besides, he said, it was the CB&T that was invited to join the bidding for the MRT 3 maintenance service because of its track record.
When Poe asked if the DOTC then was already decided to award the contract to PH-Trams, Abaya said he was not aware because at the time he was occupied familiarizing at the DOTC.
“The last thing I would want is to know how all these bidders are partnering themselves. I was orienting on air, on sea…That was my last concern…” he said.
“But you agreed, so even if you didn’t know (the background of PH-Trams), you agreed to it. Did you approve this maintenance contract?” Poe asked again to which Abaya answered yes.
“So even if you didn’t know the particulars, you just approved it?” the senator said.
“Because there was a presumption that the organization, that the bureaucracy was doing its job. Just imagine Ma’am if I came there as a doubting Thomas, being careful that I won’t sign anything, MRT 3 would have stopped on October 19. No maintenance provider, Sumitomo would have packed its bags, that I could not explain to our people,” Abaya said.
Sumitomo was the MRT 3’s maintenance provider from 2000 to 2010. After Sumitomo, the government awarded an interim maintenance contract to PH Trams-CB&T.
“Yes I understand your point that you don’t want service to be interrupted. On the other hand , we should also call on the responsibility the one before you…kasi alam mo Secretary Abaya sundalo kayo, inaako n’yo ‘yung mga bagay na maaring hindi naman talaga sa inyo dapat nahulog (because you are acting as soldiers, Sec. Abaya, you are shouldering things which should not have been your responsibilities)…” Poe said.
“Hindi po. Mabuting sundalo po ako pero sa Panginoon po ako sumasagot hindi po kanino man (No. I am a good soldier, but I’m only answerable to the Lord and not to anyone else),” said Abaya.
“Sige tingnan natin kung totoo yan (Okay, we will see if that is true),” the senator answered back.
Even before Poe’s questioning, Abaya reiterated there was no anomaly in the MRT 3 deals.
“Ginagarantiya ko ho sa inyo na wala hong nakinabang dito. Walang kalokohaan ho ito. Above board lahat at malinaw ang konsensya namin. Kaya kung sagutin ang ating Panginoon na ginawa amin ng maayos ito,” he told the committee.
(I guarantee you that no one made money out of this. There is no truth to the allegations. All these actions are above board and our conscience are clear. I can answer the Lord and tell him that we did our jobs well.) IDL/rga