Jamaine Punzalan

Department of Trade and Industry Secretary Ma. Cristina Aldeguer-Roque attends a press briefing in Quezon City on August 3, 2024. Maria Tan, ABS-CBN News/File

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Jervis Manahan

RG Cruz

ABS-CBN News

<div class="twitter-tweet twitter-tweet-rendered" style="display:flex;max-width:560px;width:100%;margin-top:10px;margin-bottom:10px"><iframe id="twitter-widget-0" scrolling="no" frameBorder="0" allowtransparency="true" allowfullscreen="" style="position:static;visibility:visible;width:441px;height:249px;display:block;flex-grow:1" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&amp;embedId=twitter-widget-0&amp;features=eyJ0ZndfdGltZWxpbmVfbGlzdCI6eyJidWNrZXQiOltdLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X2ZvbGxvd2VyX2NvdW50X3N1bnNldCI6eyJidWNrZXQiOnRydWUsInZlcnNpb24iOm51bGx9LCJ0ZndfdHdlZXRfZWRpdF9iYWNrZW5kIjp7ImJ1Y2tldCI6Im9uIiwidmVyc2lvbiI6bnVsbH0sInRmd19yZWZzcmNfc2Vzc2lvbiI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9LCJ0ZndfZm9zbnJfc29mdF9pbnRlcnZlbnRpb25zX2VuYWJsZWQiOnsiYnVja2V0Ijoib24iLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X21peGVkX21lZGlhXzE1ODk3Ijp7ImJ1Y2tldCI6InRyZWF0bWVudCIsInZlcnNpb24iOm51bGx9LCJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3Nob3dfYmlyZHdhdGNoX3Bpdm90c19lbmFibGVkIjp7ImJ1Y2tldCI6Im9uIiwidmVyc2lvbiI6bnVsbH0sInRmd19kdXBsaWNhdGVfc2NyaWJlc190b19zZXR0aW5ncyI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9LCJ0ZndfdXNlX3Byb2ZpbGVfaW1hZ2Vfc2hhcGVfZW5hYmxlZCI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9LCJ0ZndfdmlkZW9faGxzX2R5bmFtaWNfbWFuaWZlc3RzXzE1MDgyIjp7ImJ1Y2tldCI6InRydWVfYml0cmF0ZSIsInZlcnNpb24iOm51bGx9LCJ0ZndfbGVnYWN5X3RpbWVsaW5lX3N1bnNldCI6eyJidWNrZXQiOnRydWUsInZlcnNpb24iOm51bGx9LCJ0ZndfdHdlZXRfZWRpdF9mcm9udGVuZCI6eyJidWNrZXQiOiJvbiIsInZlcnNpb24iOm51bGx9fQ%3D%3D&amp;frame=false&amp;hideCard=false&amp;hideThread=false&amp;id=1961223603502158021&amp;lang=en&amp;maxWidth=560px&amp;origin=https%3A%2F%2Fod2-workbench-web.abs-cbn.com%2F%23%2Fworkspace%2Fmonitoring%3Fitem%3Durn%3Anewsml%3Aod2-workbench-api.abs-cbn.com%3A2025-08-29T01%3A59%3A33.840575%3A57ace664-21fe-4ae6-b765-1de2fe453a7f%26action%3Dedit&amp;sessionId=b383158c7656a1cffb6cfb7dfde0fc33e4731fbc&amp;theme=light&amp;widgetsVersion=2615f7e52b7e0%3A1702314776716&amp;width=550px" data-tweet-id="1961223603502158021"></iframe></div><script async="" src="https://platform.twitter.com/widgets.js" charSet="utf-8"></script><div><br/></div><p>MANILA — The Department of Trade and Industry Philippines said Friday it was looking into allegations that the Philippine Contractors Accreditation Board (PCAB) was “selling” accreditation to <a href="https://www.abs-cbn.com/news/nation/2025/8/25/escudero-oks-subpoenas-vs-contractors-who-skipped-senate-flood-probe-1145">contractors of government projects.</a></p><p>Sen. Panfilo Lacson this week alleged that the scheme was being conducted in exchange for<a href="https://www.abs-cbn.com/news/nation/2025/8/27/lacson-says-contractor-accreditation-for-sale-at-gov-t-agency-2334"> at least P2 million per accreditation.</a> He made the allegation following questions on how some contractors landed billions in pesos worth of flood control projects. </p><p>PCAB, the agency tasked to screen and set standards for contractors, is attached to the DTI and is one of the implementing boards in the Construction Industry Authority of the Philippines. Under the law, all contractors need to secure a PCAB license before they can conduct business, the agency said on its website. </p><p>&quot;There are certain requirements that are needed to be able to come up with a license,&quot; Trade Secretary Cristina Roque told reporters. </p><p>The trade chief said they were conducting hearings about the matter and would give updates as soon as information is available.</p><p>&quot;We are definitely checking now,&quot; she said.</p><div><a href="https://www.abs-cbn.com/news/2025/8/28/bir-begins-lifestyle-check-on-contractors-who-flaunt-lavish-assets-to-look-into-gov-t-officials-1501">BIR begins lifestyle check on contractors who ‘flaunt’ lavish assets</a></div><p>In an earlier statement, PCAB warned the public against individuals and entities &quot;misrepresenting&quot; themselves as PCAB. It said it was </p><p>conducting its own investigations.</p><p>&quot;We wish to assure the public and our stakeholders that the integrity of the PCAB licensing system remains our foremost priority,&quot; the agency said on Wednesday. &quot;PCAB licenses are not for sale.&quot;</p><p>Contractors of <a href="https://www.abs-cbn.com/news/nation/2025/8/27/platform-to-monitor-flood-control-projects-launched-1921">flood control projects</a> came under fire after reports of either unfinished or ghost projects were bared by the administration of President Bongbong Marcos Jr.</p><div><a href="https://www.abs-cbn.com/news/nation/2025/8/25/dpwh-lack-of-coordination-over-flood-control-projects-irks-lgus-1019">DPWH lack of coordination over flood control projects irks LGUs</a></div><p>Some small contractors were also able to bag billion peso projects, which raised questions on propriety and legitimacy.</p><div><a href="https://www.abs-cbn.com/news/regions/2025/8/26/coa-orders-inspection-of-ongoing-completed-flood-control-projects-in-bulacan-1800">COA orders inspection of ongoing, completed flood control projects in Bulacan</a></div><div><br/></div><div><strong>CALLS FOR REVIEW OF PCAB PROCESSES </strong></div><div> </div><p>Meanwhile, Lacson said that “instead of merely denying reports of misconduct involving what they claim to be scammers misrepresenting them, PCAB leadership should look at their own people and police their ranks.”       </p><p>Senate Finance Committee Chair Sherwin  Gatchalian said he wanted to review PCAB&#x27;s accreditation process because the agency is “basically the first step of regulating these contractors.” </p><p>He noted that PCAB assigns a rating for contractors based on their capability. For example, big contractors are classified as AAA, while medium-sized ones are AA. </p><p>“But like I said, some of these contractors have questionable capital. And they will claim they are AAA rating or AAAA rating, but their capital is not adequate enough to secure multi-billion projects,” Gatchalian said.   “This actually raises a red flag. And so we will also look at the process of PCAB on how it accredits and rates contractors so that these contractors are only legitimate contractors that can secure big projects,” he said. </p><p>He also pointed out that the practice of contractors to subcontract projects circumvents PCAB&#x27;s rating process.</p><p>&quot;For example, this contractor is rated AAAA. It will be allowed to get multiple projects of billions in sizes. But it doesn&#x27;t actually build the project, it subcontracts the project. So it defeats the ratings. The rating doesn&#x27;t mean anything. And it defeats the purpose of rating the contractor if somebody else will eventually build that project,&quot; he said.    </p><p>Gatchalian is also looking to the Department of Public Works and Highways to review their accreditation process.</p><p>&quot;The other possibility that we&#x27;re studying is to suggest to DPWH to look at their process of accrediting contractors. Because right now, they only look at the net financing contracting capability. They only look at very broad general items, for example, the PCAB license,” the senator said. </p><p>“But they don&#x27;t look at the capitalization. They don&#x27;t look at the capability of the contractor… We all know sole proprietors are created for small businesses, but in this case, even sole proprietors can bid for multi-billion projects,” he said. </p><div><br/></div><div><strong>MORE STORIES ON FLOOD CONTROL: </strong></div><div><a href="https://www.abs-cbn.com/news/nation/2025/8/29/richard-gomez-claims-media-spin-after-reporters-sought-his-side-on-flood-issue-0838">Richard Gomez claims &#x27;media spin&#x27; after reporters sought his side on flood issue</a><br/><a href="https://www.abs-cbn.com/news/nation/2025/8/26/200-flood-control-projects-in-manila-have-no-permits-isko-moreno-1905">200 flood control projects in Manila have no permits: Isko Moreno</a><br/><a href="https://www.abs-cbn.com/news/nation/2025/8/25/group-rejects-lawmaker-led-probe-into-flood-control-mess-1611">Group rejects lawmaker-led probe into flood control mess, eyes &#x27;shame campaign&#x27; vs crooks</a></div>

<p>The Department of Trade and Industry Philippines said it was looking into allegations that the Philippine Contractors Accreditation Board (PCAB) was “selling” accreditation to <a href="https://www.abs-cbn.com/news/nation/2025/8/25/escudero-oks-subpoenas-vs-contractors-who-skipped-senate-flood-probe-1145">contractors of government projects.</a></p>

The Department of Trade and Industry Philippines said it was looking into allegations that the Philippine Contractors Accreditation Board (PCAB) was “selling” accreditation to contractors of government projects.

DTI looking into ‘contractor accreditation for sale’ allegation

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DTI looking into ‘contractor accreditation for sale’ allegation

Jervis Manahan,

RG Cruz,

ABS-CBN News

Published Aug 29, 2025 09:06 AM PHT

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Updated Aug 29, 2025 01:01 PM PHT

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