The Department of Transportation (DOTr) denied on Wednesday that it entered into contracts and procured “overpriced” COVID-19 supplies with the beleaguered Pharmally Pharmaceutical Corporation.
During the Senate blue ribbon committee hearing on Tuesday, Senator Risa Hontiveros questioned Pharmally corporate secretary and treasurer Mohit Dargani over the medical equipment the firm sold to DOTr-Philippine National Railways at an allegedly more expensive price.
In the same hearing, Dargani confirmed that they entered two contracts in April and March 2020 with DOTr-PNR which sold infrared thermometer at P3,200 per unit, goggles at P212.50 per piece, and face shield at P179.20 per piece.
This was higher than Pharmally’s price list for the items which indicated that one thermometer costs from P1,999 to P2,200, goggles costs from P149 to P159, and face shield costs from P95 to P109.
Dargani said this was because the contracts with DOTr-PNR was perfected in April 2020 while the price catalog for the items was released a month later.
But DOTr contradicted Dargani’s claim, saying that it only enters “honest” and “transparent” contractual obligations and transactions.
“First, allow us to state, for the record, that the DOTr itself did not procure or enter into any contract with Pharmally Pharmaceutical,” the transportation department said in its press release.
“The subject of the said issue, which involves the amount of P619,000 for the procurement of infrared thermometers, goggles, and face shields at the height of the pandemic last year, is the Philippine National Railways (PNR),” it added.
Further, DOTr said its attached agency, PNR, can present its proof of regularity of its Emergency Procurement of critical items for the use of its personnel.
“PNR is most ready to present or submit the necessary documentary proofs of its small value procurement, such as relevant market studies or canvasses at that time, as needed,” it said.
Also, the DOTr hoped that the “truth” will come out in the investigation so that it would focus on implementing its programs.
During the resumption of the Senate hearing, Hontiveros also slammed the Pharmally officials for offering prices that were grossly disadvantageous to the government even during the pandemic.
As of Tuesday, the Dargani siblings, who lead Pharmally’s operations, were cited in contempt for refusing to provide documents that were asked by senators.
Senators have directed the Sergeant-at-Arms to bring the two to Senate premises.
The upper chamber has been investigating the supposedly overpriced COVID-19 equipment sold by Pharmally to the Department of Budget and Management- Procurement Service. Pharmally had earned P8 billion worth of contracts from the government despite having a capital of P625,000.—AOL, GMA News
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