Palace to probe planned P200-M lease of used printing machines

MANILA, Philippines - Malacañang yesterday hinted that it will look into concerns raised by workers of the Asian Productivity Organization – one of government’s official printing arms – about the reported plan to lease refurbished equipment for nearly P200 million a year.

“It’s a good thing you (reporters) asked about that. I’m sure that Secretary (Herminio) Coloma will look into it, considering that there are some concerns on that, and we will ask Secretary Coloma to enlighten us,” presidential spokesman Edwin Lacierda said.

Coloma heads the Presidential Communications Operations Office which has jurisdiction over APO Production Unit Inc., like the National Printing Office, another state-run printing agency.

“We will get an answer from Secretary Coloma. We will check on what is really its status, and if there is indeed truth to those claims,” Lacierda added. 

“I’m not privy to that. That’s not under us, so better for Secretary Coloma to enlighten us,” he said.

APO employees raised concerns about the reported plan of the agency to lease second-hand printing machines that will cost the government almost P200 million yearly, nearly triple the cost of acquiring a brand-new unit which is only P70 million.

Efforts to modernize the agency might be for naught, according to the APO employees, once this refurbished rotogravure printing equipment are acquired.

Coloma, however, clarified that the “machine will not just be used for Bureau of Internal Revenue stamp receipts but for other security printing jobs” as well.

Secondly, the equipment is merely “being leased as APO cannot afford outright purchase” and that the agreement is in “compliance with the Philippine Government Electronic Procurement System (PHILGEPS),” said Coloma in a message sent to Palace reporters.

Rotogravure printing presses are known for their speed and durability, and are preferred by government to handle its voluminous printing requirements.

The machines will be used to produce security strip stamps intended for collecting billions of pesos in so-called “sin taxes” on alcohol and tobacco products.

APO is a government-owned and controlled corporation and is directly under the PCOO based on Executive Order 4 that President Aquino signed in July 2010.