Stradcom disowns move to stop bidding for new LTO-ICT contract

MANILA, Philippines - Information Technology (IT) firm Stradcom Corp. disowned what it called was a highly irregular case filed before the Quezon City Regional Trial Court QC RTC) seeking to stop the Department of Transportation and Communications (DOTC) from bidding out a new information communications technology infrastructure and database systems for the Land Transportation Office (LTO).

In a letter to DOTC Secretary Manuel “Mar” Roxas II and Undersecretary for Legal and Administration Jose Perpetuo Lotilla, Stradcom president and chief executive officer Cezar Quiambao said the group of businessmen led by Bonifacio Sumbilla had no authority to file the case and even present themselves as representatives, much more officials of Stradcom.

“For the record, Stradcom Corp., as duly represented by the undersigned as its lawful incumbent and judicially declared president, has not authorized the filing of the said case, and absolutely disowns the same, and we will accordingly take the necessary legal actions on this petition,” Quiambao said.

Quiambao referred to a petition for declaratory judgement questioning the validity of DOTC Special Order 2011-181 issued by Roxas starting the process for the conduct of a public bidding for a new LTO ICT infrastructure and systems contract alloted a budget of a whopping P8 billion.

The petition was filed by the group of Sumbilla and his business partner Aderito Yujuico, who had staged a failed takeover of Stradcom in December 2010 by claiming to be the chief officials of the IT firm which is the current LTO IT provider.

The Sumbilla group, in their petition, questioned the legality of the DOTC special bidding for a new LTO ICT contract, saying the DOTC had no authority to conduct the bid, arguing that it should be conducted by the LTO, which they said was the actual procuring agency that will use the infrastructure and IT services.

“As you may read from the petition, it clearly argues that the bidding of the DOTC Road Transportation IT infrastructure Project (LTO Component), be undertaken by the LTO- presently headed by no other than assistant secretary Virginia P. Torres and not the DOTC,” Quiambao said.