PCAB board members no longer allowed to own construction firms - DTI

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Metro Manila, Philippines - Members of the Philippine Contractors Accreditation Board (PCAB) will no longer be allowed to own construction companies as part of the overhaul in the regulatory body, the Department of Trade and Industry said on Wednesday, Oct. 22.

In a press briefing at the Independent Commission for Infrastructure office in Taguig City, Trade Secretary Cristina Roque said all of PCAB board members will be replaced, adding she is just waiting for the appointment papers of new officials.

She added that even executive members of the Construction Industry Authority of the Philippines, the parent agency of PCAB, were changed.

In September, CIAP acting executive director Herbert Matienzo and two PCAB board members stepped down from their post at the height of the flood control mess.

Roque was summoned to the commission probing anomalous infrastructure deals to shed light on the accreditation process for contractors.

“We already made some changes na hindi na pwede ang board member (that board members will no longer be allowed) to own a construction company because it’s conflict of interest. So for now, they should have a construction background meaning they could be an engineer…I mean engineers that are part of a construction firm but they don’t own a construction company,” she told reporters.

Sen. Ping Lacson, former Blue Ribbon chairman, earlier called for a complete overhaul of PCAB, describing it as a “low-key yet corrupt-ridden regulatory body” for its supposed hand on questionable government projects.

The senator also flagged a number of issues, including the conflict of interest of at least two of PCAB board members who own construction companies bagging contracts from the government, and alleged extortion victimizing contractors. He also exposed the supposed “accreditation for sale” scheme – which the regulator denied.

Roque said additional checks will be in place to tighten the process in obtaining a license – a requirement for contractors to secure government contracts.

“Usually ang licenses kasi, approved by the PCAB board so ang mangyayari ngayon (usually licenses are approved by the PCAB board so what will happen now), the license will pass through the Office of the Secretary for the checking and from there we give it to the PCAB board,” she said.

Roque added that they are also looking at banning even the relatives of contractors involved in anomalous flood control deals.

The secretary also noted that the DTI has identified additional contractors that committed violations – on top of the initial 15 contractors it flagged – but she refused to divulge details.

“We have to make sure ‘yung violation nila (that their violation) is correct…some, if not most of them are part of the flood control so we really need to know what the violations are so we can also revoke the licenses of these contractors,” she said.

Roque said the ICI has also urged the DTI to probe certain contractors.

In September, the PCAB revoked nine contractor licenses of firms related to contractor couple Sarah and Curlee Discaya, in light of the former’s admission in a Senate inquiry that their companies have sometimes bid on the same government projects.