MANILA – The Bangko Sentral ng Pilipinas (BSP) on Monday said it fully complied with the agency-to-agency procurement guidelines and its agreement with the Philippine Statistics Authority (PSA) regarding the printing of national identification cards (IDs).
"The BSP did not subcontract the activity to AllCard Incorporated (ACI). BSP personnel conducted the operation, while ACI provided equipment, raw materials, and technical support," the BSP said in a statement.
The BSP issued the statement following reports that the Commission on Audit (COA), in its 2022 PSA Annual Report, said the central bank violated its agreement with the PSA by subcontracting the national ID production to ACI.
The BSP clarified, however, that the COA, which reviewed the transactions of BSP, did not include any findings related to subcontracting in its BSP Annual Review report.
"This is different from COA’s audit of PSA, which some parties are citing in their allegations and comments against the BSP," the BSP said.
"Unfounded questions about subcontracting may be diverting attention from the actual issue: AllCard’s failure to fulfill the contract approved by the Philippine Identification System (PhilSys) Council, which AllCard bid for, won, and accepted."
On Thursday, the BSP said the ongoing issue with ACI concerning its failure to meet contractual obligations is now under arbitration.
"This independent proceeding serves as the proper venue to resolve all issues raised by ACI, and the BSP shall abide by the decision of the arbitration committee. Considering the ongoing arbitration, the BSP will refrain from making further public statements on specific matters pertaining to the proceedings," it said.
In a separate statement also on Thursday, the PSA said the inquiry during the Senate budget hearing on Wednesday on whether there were violations in the contract between the agency and the BSP was "respectfully and duly deferred to the representative of the COA."
The PSA, however, said it echoes the BSP’s official statement that it has fully complied with agency-to-agency procurement guidelines under Republic Act 9184 regarding the printing of the national IDs.
Last month, the BSP announced that it has terminated the contract with ACI for the supply, delivery, installation, and commissioning of Lot 1 lease of card production equipment for national ID cards.
"This matter is currently under arbitration following AllCard’s filing in January 2024, restricting both parties from making public statements on certain issues under arbitration," it said.
The BSP assured that all its agreements and contracts are conducted with full transparency and in compliance with applicable laws and regulations. (PNA)