LRT-2 execs face P170 million graft raps

MANILA, Philippines — The Light Rail Transit Authority (LRTA) has filed graft cases against five former and incumbent LRT-2 officials linked to the allegedly anomalous purchase of substandard equipment for the rail line amounting to P170.3 million.

The complaint for violation of Republic Act 3019 or the Anti-Graft and Corrupt Practices Act was filed on Dec. 7 with the Office of the Ombudsman.

Named respondents were Antonio Laigo, LRT-2 operations department manager and designated representative to the Bids and Awards Committee of the Procurement Service of the Department of Budget and Management; Julito Bernales, project management office manager for rehabilitation; engineer Rommel Correa; Fernando Quiambao, former LRTA head executive assistant and project implementation officer, and former employee Robert Ruiz.

Also charged as private respondents were contractors Kempal Construction and Supply Corp. as well as the joint venture of Ma-an Construction Inc. and IFE Elevators Inc.

“The filing of the cases is in line with the anti-corruption efforts of the Duterte administration and Transportation Secretary Arthur Tugade’s call to protect the interest of the riding public,” LRTA officer-in-charge Paul Chua told reporters.

Chua, LRTA deputy administrator for operations and engineering, was designated by the board of directors as OIC following the death of administrator Reynaldo Berroya last November.

In December 2019, a fact-finding committee was formed by Berroya to look into several LRT-2 contracts.

These include the P138-million contract for the supply, delivery, installation and commissioning of conveyance system awarded to Ma-an Construction and IFE Elevators, the P25.8-million contract for the supply of rolling stock diagnostic tools given to Kempal Supply and Construction-Dafang and the P6.5-million deal for the supply of re-railing equipment awarded to Kempal Construction.

2 contractors  blacklisted

Tugade ordered the blacklisting of Ma-an Construction and IFE Elevators for the delivery of substandard escalators for the LRT-2.

Kempal Construction was also blacklisted for the delivery of substandard equipment such as re-railing and diagnostic tools.

The LRTA discovered that 13 escalators installed at the Recto station in Manila were operating below the required carrying capacity.

The capacity required under the contract is 9,000 passengers per hour, but the installed escalators can accommodate only 6,000 passengers per hour, the LRTA said.

Out of 13 escalators installed, only one remains operational, with the rest having broken down even before the expiration of the warranty period, according to the LRTA. – Elizabeth Marcelo, Ghio Ong