DTI chief says long procurement process reason why funds still with PITC

The tedious procurement process is the reason why agency funds still remain within the Philippine International Trading Corp. (PITC), a state trading firm under the Department of Trade and Industry (DTI), its top official explained Monday.

Trade Secretary Ramon Lopez on Monday responded to reports that over P33 billion in government funds are supposedly parked in the PITC, after being flagged by Senator Franklin Drilon, citing a Commission on Audit (COA) report.

Senate budget deliberations last week found that the P9.6 billion of military fund was still with the PITC, the same case with the Department of Information and Communications Technology's P3.5 billion.

As a government-owned or -controlled corporation (GOCC), PITC is mandated to engage in both export and import trading new or non-traditional products and markets not normally pursued by the private business sector and provide export-oriented auxiliary services to the private sector.

"Ang bidding, PITC lamang ang procurement agency pero ang technical procedure, ang technical evaluation, kasama po diyan ang mga agency so it's really a whole of government process at wala pong perang ika nga nawawala," Lopez said during the Laging Handa public briefing.

"Ito pong mga procurement process po natin, actually, they undergo ho 'yung very strict na procedures, kasama na ho diyan 'yung proseso rin ng pag-finalize ng mga terms of reference. Ito ho 'yung kung ano 'yung mga technical specification na bibilhin at 'yan hong proseso na 'yan, diyan ho nagtatagal," he added.

Lopez also said that once a bidding is successful, the funds are automatically released for payment. While those for failed biddings, the funds are returned to the respective agency, and later on the Bureau of the Treasury (BTr).

"Ang PITC may report po lagi ang COA at kumpleto po naman ang kanilang records which I have asked them also to document and submit the status and full accounting. I-submit sa Senate doon kina Senator Drilon na nagrerequest nito at Senator Recto," he said.

Moving forward, Lopez said the PITC will be asked to explain further as it is a self-sustaining corporation, and no funds are left within the agency aside from the revenues it generates which are used for government dividends and to sustain operations.

"Ang gagawin po natin, mabuti pa, pag-explain-in natin ang PITC kasi talagang at any given point in time meron pong siyempre in process habang pina-finalize ang terms of references," he said.

"Ibig sabihin in any given point in time, siyempre merong naka-budget diyan sa agency, PITC has all the records at ma-e-explain naman ang status diyan," added Lopez.—AOL, GMA News