Last Monday , Yvonne Chua of VERA Files came out with a report about the gross lopsidedness of the Smartmatic-Total Information Management contract with the Commission on Elections for computerized elections next year.
VERA Files said Smartmatic-TIM will get close to P3 billion, or 40 percent of the contract amount of the P7.2 billion even before it delivers all the 82,200 counting machines to be used in the elections.
Bloggers in my site further dissected the contract which was posted by VERA Files in its site (www.verafiles.org). Their discoveries are startling.
Many of us assumed that because the deal is staggering (P7.2 billion!) we are buying the counting machines. No, no.
Tongue-twisted pointed out that Article 4 of the contract states that “Comelec shall pay the Provider the aggregate contract amount of Seven Billion One Hundred Ninety One Million Four Hundred Eighty Four Thousand Seven Hundred Thirty Nine Pesos
and Forty-Eight Centavos (Php7,191,484,739.48), exclusive of value-added tax, if any, for the lease of Goods and purchase of Services under this Contract.”
The word is “lease.” If we want to buy the machines, the contract says we can have it for an additional P2.13 billion.
Invectives flew fast and thick in my blogsite.
Saxnviolins said: “Comelec has option to buy (the counting machines) for an additional P2 billion. So the real cost of the contract is P9 billion, not P7 billion.
“If the machines stay in the RP after December 10, 2010, because of election protests, and the need for an audit, then they are considered to have been bought.
“P … (invective), puwede namang iwanan ang hard drive kung kailangan lang ng audit. Why buy the whole machine?”
Saxnviolins dissected the 40 percent advance:
“Project Initialization, Set up Project Management Team (PMT) and Project Systems including all SW licenses & firmware 10%.
“Gawa na ito, from the Venezuelan referendum. It takes a few lines of programming code to change the choices from Si o No in the Venezuelan referendum to Erap, Chiz, etc.
“Delivery of Development Set (20 units) 5%.
“Gawa na, courtesy of previous the Venezuelan referendum and other exercises. Besides, arkila lang, so ano ang binabayaran ng Comelec?
“Report on Transmission and Logistics 5%.
“Five percent of P7 billion for a report? Anak ng kap…(invective).
“Delivery of Functional System and Software Agreement 5%.
“Computerese. Hindi ba’t dapat kasama sa “Development set” ang software? Ano, computer na walang OS (operating system)? Double dipping ito.
“Delivery of EMS and CCS (HW, SW and Website) 5%.
“Website? Five percent of P7 billion? Paggawa mo sa Pana (Bombay) yan, TY yan, just to get your business. I know, yung kakilala ko, ginawan ng Indian company ng kanyang New York lawyer website. TY.
“Complete System Including Customization and Voter Education Materials Website 5%.
“Paki-sub-contract sa akin please. I can easily translate your Venezuelan manual to English, Tagalog, Ilocano, and fractured Cebuano.
“Field Testing, Mock Election, TEC Systems Certification, Training of Trainors 5%.
“You will certify your own equipment for another 5 percent? Triple dipping na. Mock elections? You are mocking our stupidity. We may be stupid, but not brain-dead.”
The delivery of functional system and software agreement which Comelec has to pay P360 million which Saxnviolins said is “double dipping” is like delivering a car without a wheel. You have to pay for the wheel to have the car running. Lokohan nga.
Florry summarized the deal: “Comelec finance the capital – 40%; Smartmatic-TIM purchase their machines, funds from Comelec; Smartmatic rents out their machines to the financier, Comelec; Option for the Comelec, the financier-to buy machines for another P2.13 billion.
“Wow, What a deal!”
Chi threw another invective: “Tangina…Huwag nang ituloy ang computerized elections, hindi pa nagsimula, ay talo na ang bayan!”
