DBM hits allegations of restored 'kickback system'
MANILA, Philippines — The allegation that at least P100 billion worth of payables have restored the so-called kickback system is mere speculation, the Department of Budget and Management said Tuesday.
Rep. Rolando Andaya (Camarines Sur) earlier claimed that the practice of bribery has returned in the DBM and the Department of Public Works and Highways.
The DBM clarified that the the original budget approved for the DPWH in 2019 was P480.2 billion but P75.5 billion was added, making a total of P555.7 billion for the infrastructure spending target of the Development Budget Coordinating Committee.
"No less than DPWH undersecretary Maria Catalina Cabral admitted this as being part of the budget preparation process on the February 8, Friday hearing of the House Committee on Appropriations," the DBM said.
The Budget department stressed that it only releases spending authority and notice of cash allocations but implementing agencies are in charge of engaging with contractors.
The agency also pointed out that it has released a memo reminding all departments, particularly top spending agencies, to be more prudent in planning ahead their monthly disbursement.
"With regard to the cash requirements of the DPWH to respond to claims and billings of contracts, the DBM has already released funds to cover its full-year cash requirements, including payments for due and demandable obligations in fiscal year 2018," it said.
The DBM, along with the Bureau of Treasury, have been assisting the DPWH in cash planning and forecasting operations.
The agency also condemned "public and malicious imputation" of their transactions brought up by "certain personalities" to discredit the DBM as an institution.
"Not only are these allegations misplaced—as the DBM is not the proper party to address such claims—they are exaggerated and sensationalized to serve a political agenda and to destabilize the good work the DBM and the Duterte administration have done," the agency said.
Citing the Open Budget Survey of the International, the DBM emphasized that it is one of the best budget institutions in the worts with a score of 67 out of 100.
"We urge the public to be critical against the baseless accusations being peddled. The DBM as an institution has never been political, and we denounce the use of the department’s good name and reputation for political causes," the DBM said.
Following the allegations of Andaya that the DBM and the DPWH owe contractors at least P100 billion due to the "kickback system," Malacañang said there was no connection between unsettled obligations and corruption.
Presidential spokesperson Salvador Panelo said it should be the contractors and not Andaya who should be filing a complaint against the concerned government agencies.
"There seems to be no connection. There is corruption if contractors resort to bribes to get something. But if the government owes them something, I do not see the connection with corruption," Panelo said.
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