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Thursday, April 19, 2007

 

Broadband proponent plans case vs. govt


AMSTERDAM Holdings Inc. (AHI) plans to sue officials of the Department of Transportation and Communications (DOTC) for junking the company’s proposal to build the government’s first national broadband network.

“We are preparing for all the legal options. As long as we see that we have the better proposal, we will follow the process for pursuing the project,” Adrian S. Sugay, AHI legal counsel, told reporters.

Elmer A. Soneja, DOTC assistant secretary, said AHI had failed to submit a “complete proposal” including a feasibility study, company profile, list of completed works and latest financial statements, to comply with Section 10.5 of the Implementing Rules and Regulations of the Build-Operate-Transfer (BOT) law.

Soneja said AHI also failed to disclose its financial and technological partners, making it impossible for the DOTC to determine its financial and technical capabilities.

Marinelle B. O’Santos, AHI legal counsel, however, contested Soneja’s claims.

“As far as we are concerned we have complied with all the requirements, including the technical studies and feasibility studies. We were not informed that we lacked any requirements until recently,” she said.

AHI estimated the cost of the broadband project at $240 million to be constructed under a BOT arrangement.

Earlier, the National Economic and Development Authority approved the project, which would be finance by official development assistance (ODA) from China. The project would be completed in three years.

This project aims to create seamless connectivity among state agencies down to the barangay offices of local government units (LGUs) to enhance delivery of government services.

The project also aims to cut the government’s communication and travel costs.
--Darwin G. Amojelar

  
 

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