Davao City Hall Confirms More Contracts for Gencorp, Linked to VP Sara Duterte

MANILA, Philippines – A Philippine Government Electronic Procurement System (PhilGEPS) official, and even Davao City Mayor Sebastian Duterte, confirmed that the company linked to Vice President Sara Duterte won more contracts than initially and exclusively reported by Rappler. PhilGEPS division chief Rendell Sopeña told the impeachment court on Tuesday, September 22, that according to its database, Gencorp Industries bagged P34.2 million in projects with the Davao City government, more than twice the P14.3 million in contracts previously identified by Rappler in its September 15 report. The younger Duterte said in a press release earlier Tuesday that Gencorp has P33.2 million in contracts with Davao City Hall since 2022, coinciding with the time his older sister became vice president and he assumed the mayorship of their hometown. The Davao City mayor’s confirmatory statement came with a claim that he did not have knowledge of his sister’s ties to Gencorp, and an assertion that all of city hall’s deals with Gencorp were aboveboard. “Any claim otherwise shall be duly supported with verified evidence and reliable documents,” Mayor Duterte said. The Vice President’s name is not in any Securities and Exchange Commission filing of Gencorp, but she claimed to be its stockholder in her Statement of Assets, Liabilities, and Net Worth. The prosecution believes the findings strengthen its case of unexplained wealth against the Vice President, which it said is a betrayal of public trust and a culpable violation of the Constitution. “This is where the conflict of interest comes in. Given the blood relationship between the local chief executive, Mayor Baste, and one of Gencorp’s shareholders, the company won a contract with city hall. On that aspect, there was a violation,” prosecution spokesman Zia Adiong said. “The Vice President should have divested.” The 1987 Constitution explicitly prohibits the Vice President from maintaining business interests while in office. Must Read Sara Duterte trial: Can a VP have business interests? – Rappler.com