Acting PCAB, CIAP heads named

MANILA, Philippines — Taking the first step toward her promised cleanup of the Construction Industry Authority of the Philippines (CIAP) and the Philippine Contractors Accreditation Board (PCAB), Trade Secretary Cristina Roque has appointed the acting heads of the two agencies currently embroiled in the controversy over substandard and non-existent multi-billion peso flood control projects.

In a statement yesterday, Roque named Doris Gacho and Sergie Retome as acting executive directors of the CIAP and PCAB, respectively.

“These designations are part of the ongoing efforts to clean up and revamp both agencies,” the DTI chief said.

Earlier, Roque announced the resignation of Herbert Matienzo as acting executive director of CIAP and PCAB, for personal reasons.

She said PCAB board members Erni Baggao and Arthur Escalante also stepped down from their posts.

Gacho and Retome will temporarily manage CIAP and PCAB, respectively, until permanent replacements are appointed in accordance with Civil Service Commission rules and procedures, Roque said.

Gacho is executive director of CIAP implementing boards such as the Philippine Overseas Construction Board and the Philippine Domestic Construction Board. Retome is division chief of the Technical and Financial Evaluation Division at PCAB. “This will ensure continuity of operations during the revamp,” Roque said.

To restore integrity and transparency, Roque has placed both the CIAP and PCAB under her direct supervision.

She is also in the process of recommending new members for the PCAB Board. President Marcos will select the new board members.

Roque also announced the creation of a fact-finding team to lead in the investigation of PCAB, including in recovery efforts related to current PCAB licensing concerns.

“This mechanism will safeguard public interest, ensure accountability and maintain stakeholder confidence,” Roque said.

Meanwhile, Sen. Erwin Tulfo said a former PCAB board member is the alleged true owner of Wawao Builders, one of the firms implicated in ghost flood control projects in Bulacan.

Tulfo said Wawao general manager Mark Arevalo was not an executive but a mere front for EGB Construction Corp., a company owned by resigned PCAB board member Baggao.

“He was just an ordinary clerk, not an executive. He was there to give face, so that the real owner would not have to surface and show his own,” Tulfo said, referring to Arevalo.

“The real owner is EGB,” he added, apparently referring to Baggao by his initials.

He added that EGB would be summoned to the Senate Blue Ribbon committee to clarify its role in Wawao.

Baggao’s resignation from the PCAB came after he was found to have signed contracts with the Department of Public Works and Highways (DPWH) while serving as PCAB board director.

Another board member, Arthur Escalante, was also flagged by Sen. Panfilo Lacson for conflict of interest, as he and Baggao held authority over licensing and penalties for contractors while running their own construction companies.

Arevalo drew suspicion last week after refusing to answer questions and invoking his right against self-incrimination during a Blue Ribbon hearing.

Senate Minority Leader Vicente Sotto III has said the use of dummies is widespread in DPWH’s multibillion-peso flood control projects, with even more companies suspected of hiding government officials as beneficial owners.

Tulfo said Arevalo should not be allowed to be a state witness, saying he was a mere “messenger” and has no idea about the dealings of either Wawao or EGB.

Asked about other potential state witnesses, Tulfo said controversial former Bulacan district engineer Henry Alcantara is currently speaking with members of President Marcos’ forthcoming independent probe body, for a possible plea bargain.

“I believe somebody’s already contacting him for plea bargain. Instead of getting charged with plunder, he should just pinpoint and get shorter prison terms, possibly 20 to 30 years with possibility of parole,” Tulfo said.

But he admitted having doubts over Alacantara’s getting qualified as state witness, considering the extent of his alleged involvement in the ghost project racket in Bulacan.

“If you look closely, he is also involved in ghost projects. It’s becoming evident he was the mastermind based on our investigation,” the senator said.

The Senate Blue Ribbon committee is set to resume hearings this week, with senators poised to question more of the 15 contractors subpoenaed.