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The Manny V. Pangilinan-controlled Cagayan de Oro Bulk Water Incorporated , which supplies about half of Cagayan de Oro’s tap water via the COWD, gave the water district only until April 12 to pay P426 million, a debt which the latter refused to acknowledge. The Commission on Audit also called out the COWD for its purchases from Rio Verde and issued notices of disallowances, stating that the payments “had no legal basis.”
The contract was crafted and awarded in a manner that apparently benefited Rio Verde unduly, as it substantially deviated from the model contract included in the bid documents.
Cagayan De Oro Water Supply Bulk Water Supplier City Council State Auditors
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