Metro Manila (CNN Philippines, November 29) — The Commission on Elections (Comelec) disqualified its long-time technology provider Smartmatic from participating in any public bidding process “to uphold the integrity” of the polls amid unresolved bribery allegations against the company.
The Comelec en banc promulgated the decision on Friday, saying it cannot overlook the controversy surrounding Smartmatic, particularly claims that it bribed former Comelec chairman Andres Bautista in exchange for being awarded a contract for election machines for the 2016 elections.
Bautista has denied the bribery allegations.
In the 17-page resolution, the Comelec en banc said the US government has sought its assistance in obtaining official records as early as October 2022, as the latter probed Bautista and other entities for alleged violation of US laws, including the Foreign Corrupt Practices Act, conspiracy, wire fraud, and money laundering.
“Although these allegations, stemming from incidents potentially spanning at least three election cycles, have not been conclusively proven, their gravity and potential to damage public trust warrant the Commission (En banc’s) proactive measures to safeguard the integrity of elections and democratic institutions,” read the decision.
“Smartmatic Philippines, Inc. is disqualified and disallowed from participating in any public bidding process for elections, in the exercise of its administrative power to decide all matters affecting election and in pursuit of its constitutional mandate,” the ruling stated.
The commission also referred the matter to the Special Bids and Awards Committee for the 2025 automated election system (AES) for possible permanent disqualification and blacklisting of Smartmatic “from all government procurement proceedings, not just in relation to elections.”
In a statement, Smartmatic expressed “profound disappointment” over the decision. The company has been the country’s poll technology provider since 2010.
It maintained that it has “consistently adhered” to all procurement processes during biddings and contract execution, adding that in its 23-year history, no Smartmatic company has been indicted in the United States or any other country in connection with any election-related contract.
“We urge Comelec officials to conduct this search independently, and to show to the public any indictment against Smartmatic. We are confident there is no such indictment in the United States,” it wrote.
Asked if Smartmatic can still appeal the decision before the Comelec, Garcia only said the poll body’s decision is “immediately executory unless restrained.”
“Mahirap po sabihin kung ano dapat remedy nila [It’s hard to say what their legal remedy should be]. It’s for their lawyers to decide],” he also told reporters in a message.
‘No irregularities in 2022 elections’
While the Comelec en banc was deciding on a petition filed by the group of former Information and Communications Technology Secretary Eliseo Rio and ex-Comelec Commissioner Augusto Lagman, Garcia noted that the disqualification is not based on the allegations of Rio’s group.
In June, the petitioners asked that the Comelec review Smartmatic’s qualifications and possibly disqualify the company from participating in the procurement for the 2025 AES due to alleged irregularities in the 2022 national elections.
But the commission said that at this stage of the procurement process, it cannot yet review Smartmatic’s qualifications. It also pointed out the “procedural infirmity” of the petition filed by Rio’s group.
It said the petitioners cannot insist on the disqualification of Smartmatic because of their “non-compliance with the procedural rules for blacklisting.”
The Comelec also maintained its stance that there were no irregularities in the conduct of the polls last year.
“The allegations of petitioners pertaining to the alleged consistency in the ratio of transmitted results, the use of single IP address, and alleged discrepancies in the transmission and election returns have been sufficiently addressed by the Commission at length,” the decision stated.
Still, the en banc noted that during its hearings in October, it said that it may authorize — upon motion — a recount by opening the ballot boxes of every region in the country.
Dissenting opinion
Of the six Comelec commissioners who voted, only Commissioner Aimee Ferolino argued against Smartmatic’s disqualification.
Ferolino said while it may be proper to consider the criminal case filed in the US against Bautista, this “does not warrant an outright condemnation of persons or entities involved,” since the case is still under investigation and there is no supporting evidence on record.
“It strikes me that a distant matter has been interjected into this case,” she wrote in a separate opinion.
The commissioner also said the bribery claims were only raised in the petitioners’ motion for early resolution dated October. With this, she argued that Smartmatic was deprived of its right to be properly notified of the allegations and was not given an opportunity to defend itself.
“We value greatly the faith and confidence of the people in the integrity of the electoral process; thus, we must afford them with the utmost degree of prudence in all our actions,” Ferolino said.
