CONTRARY TO LAO'S CLAIMS

Face masks bought before Bayanihan 1 Law’s effectivity –senators

Senators on Tuesday countered the claim of former Department of Budget and Management Procurement Service (PS-DBM) chief Christopher Lloyd Lao that the Bayanihan to Heal As One Law or Bayanihan 1 covered the government procurement of face masks from Pharmally Pharmaceutical Corporation.

During the continuation of the Senate Blue Ribbon panel’s probe into the alleged overpriced pandemic supplies, Senator Richard Gordon asked Lao if they had suspended the net financing contracting capacity requirement for Pharmally.

Lao cited the Bayanihan 1 law, which said that procurements should be made “judiciously, economically, and expeditiously” in exemption from the provisions of Republic Act 9184 or the Government Procurement Reform Act

“The IRR, which you are showing, is an IRR implementing [RA] 9184 which Bayanihan 1 clearly exempts the procuring entity. So, it’s like telling me you should not comply with a law which Bayanihan 1 tells us that we are exempt,” Lao argued.

However, Senator Francis Pangilinan asked Lao the date when the Bayanihan 1 Law took effect.

Lao responded, saying the law took effect on March 25 last year.

“March 25? Therefore, it was already compliant and the transaction falls under Bayanihan 1? Mr. President, we have to look into this because the effectivity of Bayanihan 1 was after posting, and it was on April 6,” Pangilinan noted.

“This is a matter of documentary evidence and Mr. Lao is mistaken to say that it is effective March 25,” Pangilinan asserted.

Still, Lao argued that the bill was passed by Congress on March 23, signed by the President on March 25, and was published in the Official Gazette on March 25.

“The Bayanihan 1 and the rules, Mr. President, took effect April 6. The purchases that were delivered on March 25 were not yet covered by Bayanihan 1,” Pangilinan said.

Senator Richard Gordon backed Pangilinan’s point, saying Lao “did not apply the law properly.”

Senate President Vicente Sotto III also said there was no Bayanihan Law on March 25.

Senators have been investigating the PS-DBM's purchase of COVID-19 supplies last year, during which Pharmally Pharmaceutical Corporation bagged more than P8 billion in government contracts for the procurement of personal protective equipment (PPE).

The PPEs were allegedly overpriced. — DVM, GMA News