Coalition raises alarms over potential conflict of interest
A watchdog coalition, the Right to Know, Right Now (R2KRN), has flagged COA Commissioner Mario Lipana for potential conflicts of interest related to the construction of the agency’s New COA Building. In a document titled “The Watcher Entangled, Conflict of Interest at COA’s Doorstep,” the group asserts that a DPWH contract awarded in late 2021 to a joint venture linked to Lipana’s extended network could compromise COA’s independence.
The contract details and possible ties
According to R2KRN, the Department of Public Works and Highways awarded a contract for the New COA Building to a joint venture of R.U. Aquino Construction & Development Corp. and Le Bron Construction, valued at over 9.59 million pesos. The contract was signed by Moises Nicdao Jr., the authorized managing officer of Le Bron, who is also listed as an incorporator of Iron Ore, Gold, and Vanadium Resources (Phils.) Inc.
The coalition notes that Lipana’s wife, Marilou Lauro Lipana, is identified as president of Iron Ore, creating a potential family nexus between project contractors and senior COA officials. R2KRN says COA should explain whether Lipana or his family’s business interests had any influence over the award decision.
Marilou Lipana’s broader business footprint is part of the coalition’s concern. R2KRN highlighted that she serves as president and general manager of Olympus, a construction firm that has won substantial DPWH flood-control contracts, including sizable engagements along the Angat River. The group argues these overlapping connections could undermine perceived independence at the country’s audit institution.
Past and present roles raise questions
R2KRN points out that Lipana held a COA role in 2021 before his appointment as commissioner in January 2022. While the coalition concedes he was a senior COA official at the time, it contends that the timing of project awards to firms tied to Lipana’s family raises concerns about impartiality during the transition period and beyond.
Scope of the allegations and requested actions
Beyond the New COA Building contract, R2KRN highlights that Marilou Lipana is listed under different names in her business dealings, such as Marilou Laurio in some transactions, raising questions about disclosures and transparency. The group cites a DPWH contract worth more than 700 million pesos awarded to Gembar Enterprises (and its alternate name, Gembar Incorporated Enterprises Inc.) for fire-truck procurement, suggesting broader patterns of potential conflicts in government contracting.
R2KRN is urging multiple bodies to act: the COA, the Independent Commission for Infrastructure (ICI), and the Office of the Ombudsman should investigate the matters raised; the DPWH should conduct internal audits of projects awarded to Olympus Mining and Builders and their partners; and the Securities and Exchange Commission should provide access to pertinent corporate documents to researchers and the public for the last three years.
Looking ahead
The group’s document has been submitted to relevant agencies, including the COA, ICI, the Ombudsman, DPWH Secretary Vince Dizon, and SEC chair Francis Lim. The unfolding disclosures underscore ongoing debates about governance, transparency, and independence in a key national institution as it moves into a new headquarters. Whether these claims lead to formal inquiries or policy reforms will depend on investigations by the implicated agencies and the substantiation of the connections described by R2KRN.
