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Aquino stops helicopter deals over alleged graft
Topic Started: Oct 6 2010, 01:38 PM (2,761 Views)
israeli
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Aquino stops helicopter deals over alleged graft
Agence France Presse
First Posted 19:34:00 10/05/2010


MANILA, Philippines—President Benigno Aquino has blocked the purchase of nine military helicopters worth nearly $93 million after allegations of corruption, military spokesmen said Tuesday.

The Philippine Navy and Air Force both rejected the allegations of collusion to favor a particular supplier of the seven air force attack helicopters and two navy helicopters saying the correct process had been followed.

However the military deferred to Aquino's decision to review the contracts, according to navy Lieutenant-Colonel Edgard Arevalo and air force Lieutenant Colonel Miguel Ernesto Ocol.

"It's not possible to rig that (process) to cater to anybody's requirement," Ocol insisted.

He said the specifications for the P3.2 billion ($73 million) air force contract, which was awarded to Polish firm PZL Swidnik on September 9, were based on Philippine military flight requirements.

"When you come up with that circular of requirements you look at it based on doctrine and based on actual operational use," Ocol told reporters.

"It isn't possible to influence the specs (specifications) to suit a particular manufacturer in that bottom-up process," Arevalo said in a statement.

The Philippine Star newspaper reported Tuesday that the navy contract was yet to be awarded.

The navy's deadline to accept bids for the P850 million contract lapsed last Monday, it added.

"Given the specs, there certainly are other companies who can comply, but the budget could be the major delimiting cause why other bidders may have backed out," Arevalo said.

"We hope that the issue can be resolved really soon. We have an acute need for air assets like helicopters," Arevalo added.

Aquino came to power on June 30 after winning a landslide election, campaigning on a platform of good government and vowing to prosecute predecessor Gloria Arroyo for alleged corruption.

Aquino estimates the government loses P300 billion a year to corruption, or the equivalent of this year's budget deficit forecast.
"To secure peace is to prepare for war." - Carl Von Clausewitz
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spearhead
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DoctorNO, Your Neutral Observer.
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Meron bang pamalit si Pnoy sa order na ito? O talaga bang inutil na sya na kahit wala nang bagong gunships ang AFP basata wala lang kurapsyon. Dapat sa kanya magtayo nalang ng sarili nyang perfect na bansa eh na puro anghel lang kasama nya. :sad2:
"Men of War must learn the art of numbers or he will not know how to array his troops." - Plato

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truegrit


I wonder what's the basis of PNoy's decision that the Bidding is tainted with Corruption if the AirForce Officials where following the procedure... I guess there is some Wiseguy beside PNoy doing some technical work or review on the Helicpter specifications thinking he knows better than the real PAF Pilots about the requirement...
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edwin
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Anak ng pating..What do they want.?? Nobody will bid to our armed forces if they continue to have the attitude of indecision making.

If they want a good well known combat helicopter then additional funds or budget is required.. As simple as that..

In fairness to our president, maybe he wants to show that corruption is not part of his agenda.. :lollol:

or maybe there is really something fishy going on in that deal.. :dunno:
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It is difficult to say what is impossible, for the dream of yesterday is the hope of today and reality of tomorrow.
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mazingu
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http://www.aviationweek.com/aw/generic/sto...By%20Corruption

Philippine Helo Competition Mired By Corruption

Oct 13, 2010



By Leithen Francis Leithen_Francis@aviationweek.com
SINGAPORE

Corruption allegations are miring the Philippine military’s efforts to procure helicopters, but delivery of trainer aircraft and moves to purchase a secondhand Lockheed Martin C-130 appear to be on track.

Derco Aerospace, a Sikorsky aerospace services company, appears likely to win a contract to sell a refurbished C-130H to the Philippine air force, according to officials at the service and the Philippine defense department.

The C-130H arrived in the Philippines on Oct. 11, and if it passes the air force’s technical evaluation, it will be selected, the officials say.

Local reports, quoting the department’s assistant secretary and head of the bids and award committee, Ernesto Boac, say Derco offered the aircraft for 1.747 billion Philippine pesos ($40 million).

The Philippine air force needs the aircraft because one of its C-130s crashed in August 2008 off the southern Philippines coast. An air force spokesman says the service has three other C-130s, but only one is in operation, as the other two are undergoing maintenance.

The defense department also invited the local media to observe the technical evaluation, possibly in an effort to promote transparency and head off controversy.

Corruption allegations have put a temporary stop to procurement of helicopters for the air force and navy.

AgustaWestland’s Polish subsidiary, PZL-Swidnik, was selected to provide seven W-3 Sokol attack helicopters for the air force in a deal reportedly worth $73 million. This contract is a separate from the one the Polish firm won last year to provide the air force eight W-3 Sokol utility helicopters.

Some politicians in the Philippines have raised concerns that corruption may have tainted the selection process for the attack helicopters.

“It is suspicious that five of the six interested bidders backed out of the bidding process,” says opposition politician and former investigative journalist Teddy Casino. “These included such big names as Boeing, Asian Aerospace Corp. [and] MD Helicopters, Eurocopter, Elbit Systems [and] Joavi Philippines and the Russian Federation [Rosoboronexport].”

Philippine Defense Secretary Voltaire Gazmin has responded by calling for a one-month investigation. Consequently, the decision to award the air force attack helicopter contract to PZL-Swidnik is being reviewed and authorities are holding off on awarding a contract for two helicopters for the navy, which PZL-Swidnik might also win.

Bids for the two multipurpose naval helicopters originally were due Oct. 4 and the purchase is reportedly budgeted at $19.5 million.

While the helicopter procurement is bogged down in controversy, the air force’s purchase of 18 Aermacchi SF-260 trainer aircraft has progressed.

The first SF-260 has been assembled in the Philippines and is undergoing flight tests, a Philippine air force spokesman says, adding that “we will officially receive it in the third week of October.”

The spokesman says the new aircraft are being delivered in batches, starting with four, and that deliveries will be completed in the first week of 2011.
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Blue Maxxx
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The Delivery of the SF260s Of James Bond's "Quantum Of Solace" Fame! Is good to hear thats is going forward! But regarding to the CUH and Multi-purpose Helicopters what in GOD's name is President Aquino doing!?.. Just because He heards a lot "hear says" in his own ranks it simply doesn't means he will immediately order an investigation and cancel the orders of these helicopters.. Damn! If this Administration keeps on doing this undecided decisions no foreign Defense companys and contractors will ever deal with the Philippines!. :headbang: :rifle:
Per Ardua ad Astra "Through Adversity to the Stars"! We Filipinos should always aim High! to the Stars! and Beyond them blue yonder!.
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Danilo
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“It is suspicious that five of the six interested bidders backed out of the bidding process,” says opposition politician and former investigative journalist Teddy Casino. “These included such big names as Boeing, Asian Aerospace Corp. [and] MD Helicopters, Eurocopter, Elbit Systems [and] Joavi Philippines and the Russian Federation [Rosoboronexport].”

Bayan Muna "Party" A-Lister Teddy Casino has a bleeding heart for the military? Lol...

It was said that USec Palugud is digging into it. Has sir Willie come out with his findings yet?
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el_ramon
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one step forward,two steps back.


nice to know these things are going out, to correct it. but happens now?
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PhilSwag
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maybe this deal was part of the past administration program, and aquino wants to ensure the people that the budget for the army are well distributed intended for the modernization not for corruption.
Gen. Douglas MacArthur US Army, Medal of Honor Recipient, Allied Supreme Commander of the Far East WW2 and i quote-
"Give me 100 Filipino soldiers and I will conquer the world."
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zwahzhal
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Yes, this bidding was from prev administration. All other have backed out because of the bid price as they cannot anymore provide a lower price by removing some important modern parts of their new helos.

PZL has offered a relatively fixed price exactly to our AH requirement. Pls note that this is separate from the CUH procurement, which we are just awaiting delivery and testing (come this Apr).

The suspension is just procedural. Bidding was way back 2009, review was remake Jun 2010 and approved 4thQ 2011. It's just a temporary setback. No higher price, no under the table. Should there be as like "sales commissionship" then it's the agents. Original PZL price for the attack variant is very authentic.
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