[ Manila Bulletin Online ] July 15, 2008
By HANNAH L. TORREGOZA
Senate Minority Leader Aquilino "Nene" Q. Pimentel Jr. is wondering why the China National Machineries and Equipment Group (CNMEG) is asking the government an additional $ 290-million funding for the first phase of the controversial Northrail project.
Pimentel said the government has already spent $ 503 million for the project and approving the huge supplemental funding being asked by CNMEG would be difficult to justify on top of allegations that the project is overpriced.
Pimentel noted that the Northrail project is already faltering because the Arroyo government awarded the flagship project to a Chinese contractor despite the absence of public bidding and non-compliance with other government rules.
"The failure to conduct public bidding, which is a clear violation of the Government Procurement Reform Act, deprived the government of the opportunity to bargain for terms and conditions that are advantageous to the government and to ensure that they conform with project rules and requirements," Pimentel said.
Pimentel said the administration should inform Congress and the public about the real status of the project due to the conflicting statements emanating from the Executive branch.
Former Senate President Franklin M. Drilon yesterday urged former House Speaker Jose C. de Venecia Jr. to reveal the truth on the alleged massive overpricing and kickbacks in the controversial $ 503-million Northrail project, saying "the truth will set you free."
"The reason former Speaker Jose de Venecia seems to be reluctant to testify before the Senate on the NBN-ZTE scandal is reportedly the threat from Malacañang that he will be blamed for the massive corruption in the Northrail project," Drilon said. "My advice to Joe de Venecia is "tell the truth for the truth shall set you free."
