Palace: No conflict of interest over Calida’s security agency bagging multi-million contracts with state agencies

May 28, 2018

There was no conflict of interest even if Solicitor General Jose Calida's family security agency bagged multi-million peso contracts in various government agencies, Malacanang said on Monday.

News reports claim Calida and his family owned Vigilant Investigative and Security Agency which allegedly secured P150 million contracts from several government agencies, such as National Parks Development Committee,  National Anti-Poverty Commission, and the National Economic and Development Authority.

"My reading of the Constitution and the Anti-Graft Law supports the conclusion made by the SolGen that there is no conflict of interest," Presidential Spokesperson Harry Roque said in a press briefing.

He said Calida resigned as a corporate officer of his family's security agency when he became the government's lawyer.

"I think mere stock ownership is not prohibited for as long as you declare it in your SALN (statement of assets, liabilities and net worth)," he said, citing the constitutional provision that "Cabinet members shall not during their tenure directly or indirectly practice any other profession, participate in any business or be financially interested in any contract or with any franchise or special privilege granted by the government or any subdivision agency or instrumentality thereof including GOCCs (government-owned or -controlled corporations) or their subsidiaries."

"Stock ownership obviously is not covered, ‘no. So it has to be, you have to be part of management to be guilty of violating Section 13 and this is also mirrored in RA 6713 (Code of Conduct and Ethical Standards for Public Officials and Employees)," Roque said.

He added Calida's situation was different from that of resigned Tourism Secretary Wanda Teo.

"He has not entered into any contract with his own office, the Office of the Solicitor General. So, I think there is a world of a difference between the Wanda Teo transaction and Solicitor Calida," he said.

Roque also expressed the belief that the issue hurled against Calida was connected to the quo warranto petition that the SolGen filed against ousted Chief Justice Maria Lourdes Sereno.

"His enemies are getting back at him, those who have hurt on the quo warranto ruling. It's very obvious," he said.

Voting 8-6, the Supreme Court granted the quo warranto petition by Calida to declare as null and void Sereno's appointment as chief justice due to her failure to submit the required SALNs when she was applying for the position. Celerina Monte/DMS