Gencorp, a company linked to Vice President Sara Duterte, has secured P15.02 million in food and catering contracts from Davao City Hall and PhilHealth from 2022 to 2025. These contracts have sparked scrutiny over possible conflicts of interest amid the Vice President's ongoing impeachment proceedings.
Contract Breakdown and Political Context
The contracts include:
"The Vice President categorically denies any wrongdoing. Any suggestion that she used her office, undue influence, or political leverage to secure government contracts for any private firm is false," said Paolo Panelo, spokesperson for Sara Duterte.
Gencorp's financial records show a significant increase in revenue following the Vice President's rise to office. In 2022, the company reported a net income of P1.83 million, a tenfold increase from the previous year.
Legal Implications and Concerns
The contracts awarded to Gencorp raise questions under the 1987 Constitution, which prohibits the vice president from having financial interests in companies engaged in government contracts. Legal experts warn that if Sara Duterte's involvement in Gencorp is found to contravene the Anti-Graft Law, she could face severe repercussions, including disqualification from public office.
Moreover, Mayor Baste Duterte could share liability if evidence emerges that he facilitated these contracts despite knowledge of the potential conflict. Such legal ramifications are compounded by the ongoing scrutiny surrounding Sara Duterte's financial disclosures.
The Duterte Family's Legacy in Davao City
Davao City has been under Duterte family leadership for nearly four decades, with Sara Duterte's political career beginning as vice mayor in 2007. The city's governance has always been intertwined with the family's business interests, prompting calls for transparency and accountability.
As the impeachment trial unfolds, the implications of these contracts for both the Duterte family and the integrity of public procurement processes in the Philippines remain critical points of discussion.