Lorenzana: Warship in controversial Navy frigate deal to be delivered in 2020

Despite the controversy it is embroiled in, the Philippine Navy's frigate acquisition project is continuing, with the warship expected to be delivered in 2020, Defense Secretary Delfin Lorenzana confirmed.

Lorenzana made this pronouncement on Wednesday after attending the House Committee on National Defense and Security inquiry into the deal, where he served as a resource speaker.

"So it is continuing now. It will be delivered in 2020. Medyo made-delay lang ng six months, but it will be delivered," he told reporters in an ambush interview.

The frigate deal came to national attention after it was alleged to have provisions that would be "grossly disadvantageous"  to the Philippine Navy and the Armed Forces of the Philippines.

But at the hearing, Lorenzana maintained that the frigate project was "above board," and the delivery of the warship would not have been delayed if not for the interference of the former Flag Officer in Command, Vice-Admiral Ronald Mercado.

"Because of personal interest, the Philippine Navy and the AFP in general have been negatively affected as being shadowed on the positive accomplishments we have accumulated through the years," he said.

Lorenzana said Mercado insisted on using Thales' Tacticos for the combat management system (CMS) of the frigate, in violation of contract agreement that gave Hyundai Heavy Industries the sole right to select the system to be installed.

This, he said, is a violation of the Government Procurement Reform Act.

Lorenzana also accused Mercado of usurping authority when he performed functions in the project that only the Secretary of National Defense can do, and insubordination for ignoring and not complying several orders.

But Mercado denied Lorenzana's allegations.

"I have never disobeyed any lawful order of my superior. It was my pure and honest intention to strictly implement the provisions of the frigate contract according to its literal and technical meaning consistent with the Commission on Audit rules and regulations," he said.

In the ambush interview, Lorenzana said the preference of the subcontractor for the CMS is irrelevant already.

"Kasi ang pinag-uusapan dito, according to procurement law, kung ano ang compliant, and both of them are compliant," he said.

"Parang ako, ang gusto ko ay Mercedes [Benz], pero ang kaya lang ng pera ko ay Toyota Innova, yun lang ang pagtitiyagaan ko, ganun lang 'yan," he said.

Adding to the controversy was the allegation that Special Assistant to the President Secretary Bong Go intervened in selecting one of the project's subcontractors Hanhwa Systems to provide for the ships' CMS.

Malacañang later said that it has conducted its own investigation into the matter and that the claims against Go were untrue.

Go has also denied the allegations leveled against him. — BM, GMA News