Cheating alleged over naval ammo bidding


Alleged cheating marred bidding conducted by the General Headquarters Bids and Awards Committee headed by its acting chairman, Brig. Gen. Rodolfo Santiago, for supply of 76mm ammunition for the Philippine Navy, a reliable source who is also an insider told The Manila Times on Tuesday.

The Times source said the violation was made during the absence of the committee chairman, Rear Admiral Romeo Nebres.

The bidding was for the procurement of 723 rounds of 76mm ammunition for use of the Philippine Navy.

Submission of bids was held at Bulwagang Syquio, Camp Emilio Aguinaldo, in Quezon City on October 9.

The alleged favored supplier, Simmel Diffesa, submitted falsified documents claiming that the supplier—Simmel Diffesa—is a company owned by a sole proprietor when in fact it is a subsidiary of Chemring Group of Companies.

During opening of bid documents, the supplier submitted an allegedly self-serving unaudited financial statement when the documents required an Audited Financial Statement (AFS) and/or a Corporate Financial Statement (CFS).

The AFS and the CFS are necessary for computation of the Net Financial Contracting Capacity of bidders.

The lawyer for the Technical Working Group asked the representative of Simmel Diffesa why the documents submitted by the supplier did not comply with requirements of the bid documents, and the representative answered that Simmel Diffesa is a single proprietorship.

Two other bidders were outrightly declared ineligible to bid allegedly for non-compliant documents .

Simmel Diffesa is a subsidiary of a Chemring Group PLC U.K.

Since the Chemring Group is a publicly listed corporation, its 2013 Audited Financial Statement is published in the Internet.

Simmel Diffesa is included in the list of its subsidiaries under page 119 of the Chemring Group Consolidated Financial Statements.


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