MANILA — Senator Panfilo M. Lacson has urged the Department of Trade and Industry (DTI) and the Construction Industry Authority of the Philippines (CIAP) to investigate members of the Philippine Contractors Accreditation Board (PCAB) over alleged corruption and conflict of interest.

“Paging PCAB — Instead of an outright denial, you should at least look into allegations against your own people’s improper conduct. Aside from reports of corruption in your ranks, there is potential conflict of interest involving your 2 board directors in violation of RA 6713,” Lacson said in a post on X.

Lacson named Engineers Erni Baggao and Arthur Escalante as PCAB directors allegedly holding overlapping positions as contractors while serving on the board. He said both had signed contracts with the Department of Public Works and Highways (DPWH) as presidents of their respective construction firms while also exercising regulatory powers as PCAB officials.

Baggao was reappointed for a three-year term in September 2023 while continuing as an officer of EGB Construction, a DPWH contractor. Escalante, meanwhile, serves as owner of A.N. Escalante Construction Inc. while sitting as a PCAB board member.

The senator said this violated provisions of Republic Act 6713, or the Code of Conduct and Ethical Standards for Public Officials and Employees, which prohibits conflicts of interest and bars officials from managing private enterprises regulated by their office.

Under RA 6713, public officials must divest from private business interests within 60 days of assuming office. Violations are punishable by imprisonment of up to five years, a fine of up to P5,000, and disqualification from public office.

Records show Baggao signed contractor’s licenses as a PCAB official while also inking DPWH project contracts on behalf of EGB Construction. Escalante appeared in the PCAB’s 2022 annual report as a board member while signing a DPWH contract in May 2022 for his own company.

Lacson also cited information from contractors alleging that PCAB was involved in “accreditation for sale,” with fees of at least P2 million. PCAB denied the claims, saying such activities were carried out by scammers, but the senator insisted the agency must explain how some firms were accredited after allegedly paying such amounts.

“The PCAB Board’s duties include limiting the operations of constructors to the bounds of their classifications and investigating violations of the law. With members themselves being contractors, they have undue advantage over their rivals,” Lacson said, pressing for charges against the board officials if proven guilty.

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