The Office of the Ombudsman recently filed graft charges against former Manila mayor Alfredo Lim for his role in an allegedly anomalous parking meter deal in 2012.
Along with Lim, Tokagawa Global Corp. vice president Rorie Cariaga and Matsuyama Corp. managing officer Napoleon Ibalio were also named as respondents.
“Former mediaman Ricardo Santos Cruz, through lawyer Moses Pua, alleged that on Sept. 17, 2012, Lim and the two firms signed a 25-year contract for the installation of parking meters and management devices in the city that is allegedly extremely unfavorable to the government,” reports Michael Punongbayan in The Philippine Star.
The contract allowed Matsuyama to provide parking meters and management devices to the city government. The meters and devices will be installed, operated and maintained by Tokagawa. The agreement stipulates that the city government would receive 20% of the net proceeds while Tokagawa and Matsuyama would receive 80%.
Cruz said that based on the city auditor’s report, Lim entered into the deal through an ‘unsolicited proposal.’
He added that “the city auditor also noted that the parking meter project ‘does not fall under any of the eligible types of projects’ under government procurement laws.
Citing the city auditor, Crus pointed out that “the firms invested only PHP11.6 million to start the project but earned PHP216 million since operating in 2013.”
Thus, as Cruz further indicated, “the two firms could earn about PHP3.46 billion for the duration of the 25-year contract while the government would earn only PHP693.5 million.”
In effect, Cruz is saying that the city lost PHP3.46 billion in projected revenues in the deal.
“The city of Manila could have profited more from this project, had it not been for Lim’s machinations,” Cruz stated.
Photo: News clip
