Wednesday, February 16, 2011

The 2001 Purchase of Lockheed C-130K CT Planes

Malou Mangahas of the Philippine Center for Investigative Journalish shared her account on the circumstances surrounding the purchase of four, 30-year-old C-130K military transport and cargo planes from Lockheed Martin. Here's her story, posted in ABS-CBN News.com on 12 February 2011:

In 2001, for over two hours, I had interviewed Angie for a PCIJ story on the rushed, overpriced, and irregular purchase of four, 30-year-old C-130-K military transport and cargo planes and two sensor equipment for $41 million or P2.1 billion. The supplier was the world’s largest defense contractor, the U.S. firm Lockheed Martin.

The story had reached Angie’s doorstep because it was he, as Armed Forces chief of staff, who recommended the purchase, and approved the same weeks later, as Defense secretary, without public bidding. The purchase was enrolled for funding under the multi-billion-peso Armed Forces of the Philippines (AFP) Modernization Program when it was not supposed to be there at all. The program did not include the purchase of C-130s but only aircraft with night-vision sensors.

To push it, the AFP crafted the contract with Lockheed Martin to cover the acquisition of C-130s retrofitted with night-vision sensors. As it turned out, Angie had merely signed on to a deal endorsed by two presidents, one of whom was said to be close to the lobbying contractor. The Department of Budget and Management did not approve the contract until months later. The Armed Forces had a bad habit then of awarding supply contracts that the service commands or headquarters would later suspend or rescind, then bid and award again, for reasons like product specs mismatched with unit requirements and the change of commanders.

No comments:

Post a Comment