Government Contractors Prohibited from Election Donations, Officials Warn

Strict Ban on Government Contractors’ Election Donations

Government contractors are prohibited from donating funds to election candidates, officials reported on Thursday. This rule, emphasized by the Commission on Elections (Comelec), aims to uphold the integrity of the electoral process by preventing undue influence.

Comelec Chairman George Erwin Garcia clarified the application of this rule when asked if contractors could donate after a candidate has already won. He explained that the restriction applies regardless of the timing, ensuring fairness throughout the election period.

Legal Basis for the Prohibition

According to Section 95(c) of the Omnibus Election Code (OEC), “No contribution for purposes of partisan political activity shall be made directly or indirectly by any of the following: natural and juridical persons who hold contracts or sub-contracts to supply the government or any of its divisions, subdivisions, or instrumentalities with goods or services, or to perform construction or other works.”

Garcia pointed out that this provision clearly prohibits donations from contractors at any point, whether before or after elections. “It means that if you have contracts with the government… public works and other services were also mentioned, and those are prohibited donations by a donor,” he said in Filipino during a broadcast interview.

Penalties and Enforcement

The Comelec chairman warned that any contractor who makes such donations is committing an election offense punishable by one to six years of imprisonment. “If their names are mentioned and they have contracts with the government, or are about to have contracts, that is an election offense punishable by one to six years of imprisonment, especially for the contractor who gave the donation,” he added, mostly in Filipino.

Furthermore, Garcia noted that the offense has a five-year prescriptive period. This means the Comelec retains jurisdiction over violations even after the elections have concluded.

Recent Context: Flood Mitigation Projects and Donations

President Ferdinand Marcos Jr. disclosed that out of a ₱545-billion budget allocated for flood mitigation projects from July 2022 to May 2025, only ₱100 billion has been awarded to 15 out of 2,409 accredited contractors. This highlights the concentration of contracts among a small group of firms.

One such contractor, Centerways Construction and Development Inc., reportedly donated ₱30 million to Senate President Chiz Escudero’s 2022 senatorial campaign. While Escudero acknowledged receiving the contribution, he denied any involvement in securing contracts for the company. “The firm had been winning projects even before I joined the Senate and I am not a business partner of the company,” he said, according to community members.

Ensuring Fair Elections and Transparency

The prohibition on donations from government contractors safeguards the electoral process from potential conflicts of interest and corruption. Officials stressed the importance of transparency and adherence to election laws to maintain public trust.

By enforcing these rules, authorities aim to prevent undue influence in political campaigns and ensure that government contracts are awarded fairly and without bias.

For more news and updates on election regulations and government transparency, visit Filipinokami.com.

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