P3.8-B car plate deal illegal – COA

THE Commission on Audit (COA) has found the P3.8-billion motor vehicle license plate procurement deal illegal and ordered officials of the Department of Transportation and Communications (DOTC) to settle the P477.9 million it initially paid the plate supplier.

In a 10-page Notice of Disallowance (ND) dated June 13, 2015, COA stated that the multibillion-peso transaction was considered unlawful because the contract, which was awarded to the joint venture of Knieriem BV Goes and Power Plates Development Concept Inc. (JKG-PPI), was not in accordance with procedures prescribed under Republic Act (RA) 9184 or the Government Procurement Reform Act.