‘Moreno complains of body pains, but recovering’
Manila Mayor Isko Moreno is complaining of body pains and dry cough, but he is on his way to recovery from COVID-19 infection, an official of the Sta. Ana Hospital reported yesterday......»»
Bum deal brings pain
A contract inherited from the previous Land Transportation Office regime is now a major cause of headaches for the leadership of the agency and, in effect, the entire nation as it caused the delay in the release of driver’s licenses. German firm-led joint venture Dermalog introduced the Land Transportation Management System or LTMS which is a P3.4-billion project awarded in 2018. The dispute over the contract is the crux of the stalled distribution of the cards. The company has been disqualified from the contract to produce the plastic licenses, which it assumed from Allcard which failed to perform its obligations. Worse, in 2020, according to documents filed with the Ombudsman, Dermalog “interfered in and controlled the LTO’s printing system of driver’s license cards.” LTO Chief Assistant Secretary Jose Arturo “Jay Art” Tugade inherited the problem after he was appointed in November 2022. With the actions it took, Dermalog was considered by LTO officials a “threat to national security.” Post-qualification of Dermalog for the contract was based on the ground of its failure “to fully comply with its obligations under its 2017 contract with LTO.” A 2021 report of the Commission on Audit flagged LTO’s payment of P3.15 billion to Dermalog despite several defects that delayed and disrupted the system. LTO is conducting an extensive probe which may lead to the possible scrapping of the Dermalog contract. Congress is ready to probe the alleged “illegal payment” despite the “incomplete turnover of deliverables.” The circumstances proved that the contract was in clear violation of procurement and auditing rules, warranting an extensive probe. The German-led venture had reneged on the deal more than four years after the December 2018 delivery date as the system is still not fully functional and fully rolled out. The Dermalog system was incompatible with the LTO processes that needed to be adjusted to accommodate the new system’s functions. The Ombudsman in denying Dermalog’s petition to cite bidding committee officials for graft said: “Respondents (members of LTO bidding body) did not commit any irregularity when they objected to the post-qualification of the complainant (Dermalog) in the 2021 procurement.” “It also took Dermalog until 2 July 2021 to agree to turn over all “source codes,” in escrow, create an upload facility and include it in the Inventory Management System, thereby removing LTO’s dependency on it; and grant to LTO the exclusive right to use the watermark or hologram delivered to it, “recognizing in the process the need of the LTO to be independent of the vendor as a lesson from the past.” “Its avowed intention to turn over in escrow only means that it has not indeed fully complied with its obligations under the 2017 procurement,” according to the Ombudsman’s resolution. The Ombudsman said it was not inclined “to indict respondents (LTO bidding officials) for violation of Section 3 of Republic Act 3019 for delay under RA 9184 when the facts, as they are in this case, showed that Dermalog has not been candid in its business dealings with LTO and has, by itself, caused the delay it complains about.” The dispute over the contract has held hostage the LTO, the Department of Transportation, and Filipino motorists to Dermalog’s demand that the government pay it in full despite its shortcomings. Eventually, the deficiency from the deal reflects on the image of the administration since it has been quite a while since inefficiency has been a distinctive complaint against frontline service providers. The post Bum deal brings pain appeared first on Daily Tribune......»»
‘Moreno complains of body pains, but recovering’
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