MANILA – During the continuation of the Senate Blue Ribbon Committee's inquiry into flood-control project irregularities, senators voiced serious concerns over the repeated licensing of contractors previously blacklisted from government projects. They called on the Philippine Contractors Accreditation Board (PCAB) to bolster its regulatory authority and foster stronger coordination with the Department of Public Works and Highways (DPWH).
Minority Leader Vicente "Tito" Sotto III highlighted cases involving St. Gerrard Construction and St. Timothy Construction, both linked to Sarah Discaya. St. Gerrard, suspended in 2015 and blacklisted by the DPWH in 2020, surprisingly still holds a valid PCAB license set to expire in 2026. Likewise, St. Timothy was tied to shortcomings in a ₱96.4-million Bulacan River project in 2023, yet it received a renewed license valid until 2027.
These revelations prompted Sotto to advocate for amendments to Republic Act No. 4566, known as the Contractors’ License Law of 1965. He emphasized the necessity of expanding PCAB's powers and institutionalizing tighter collaboration with the DPWH, stating, "I want to amend the law creating the PCAB, to put more power and strong coordination with the DPWH and not just with the DTI."
Senator Erwin Tulfo criticized the PCAB for permitting blacklisted companies to re-enter government projects by operating under different names. He told PCAB chairperson Pericles Dakay, "Na-blacklist itong kumpanya na ito, gagamit ng ibang pangalan para makapasok ulit. You hear that but you don’t investigate."
In response, Dakay defended PCAB’s role as a quasi-judicial body that has already summoned 15 contractors implicated by the President in flood-control project anomalies. He confirmed that the board has taken preventive measures by suspending these contractors' bidding privileges during ongoing hearings, affirming, "We are seriously investigating and conducting hearings at PCAB."
Despite these assurances, several lawmakers expressed frustration over what they described as insufficient actions by the PCAB. Tulfo pointed out that no licenses have been revoked despite ongoing years of complaints and evidence.
Sarah Discaya, present at the hearing, faced senators' inquiries regarding her ownership of multiple construction firms despite claims of divestment. Senate Deputy Minority Leader Risa Hontiveros noted that nine companies could be linked to her, while Tulfo questioned if the licenses were being leased to other entities.
The Senate Blue Ribbon Committee, presided over by Senator Rodante Marcoleta, continues its probe into alleged irregularities in flood-control projects under the theme "Philippines Under Water."
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