MG Samidan Construction Defends Flood Control Projects
MANILA — MG Samidan Construction, a key player in flood control projects, has clarified its long-standing presence in the industry, countering claims that it is a newly established company. The firm’s president emphasized their decades-long experience, which has enabled them to secure billions in government contracts.
During a Senate blue ribbon committee hearing, the exact 4-word keyphrase flood control projects was central to the discussion, especially as questions arose about how the company managed to win 60 flood control projects valued at P5.3 billion despite an apparently low paid-up capital.
Senate Questions Company’s Capital and Experience
Senator Ronald “Bato” dela Rosa raised concerns about MG Samidan Construction’s reported paid-up capital of only P250,000 since its 2019 registration with the Securities and Exchange Commission. He questioned how the company could land contracts worth billions within just five years.
“Since your registration as a corporation with Securities and Exchange Commission in 2019, your paid-up capital up to now remains P250,000. And yet based on news reports, you bagged a total of 5.022 billion pesos worth of flood control projects,” dela Rosa said. “How did you do that? That only within five years from P250,000 and now you have billions-worth flood control projects?”
Company’s History and Structure Clarified
The company’s president, Majorie Samidan, explained that MG Samidan Construction is actually a sole proprietorship that has been in operation since 1991. She shared that her late husband started the business as an authorized managing officer, and after his passing in 2007, she re-registered the company under the same trade name.
“In 1991, it was started by my husband as an authorized managing officer. When he died in 2007, I had to register again, but we used the trade name of my husband. This is a sole proprietorship,” Samidan said. She added that the 2019 registration as a corporation was part of a planned transition that was delayed by the Covid-19 pandemic.
Locations and Project Details Discussed
When probed about where most of the flood control projects are located, Samidan said they are primarily in the Cordillera Administrative Region, with some in La Union and Pangasinan. She firmly denied any involvement in ghost projects when asked by the committee.
“None,” she responded simply when questioned about ghost flood control projects.
Licensing and Contract Limits Examined
Senator Rodante Marcoleta pressed further on the company’s licensing, asking which category MG Samidan Construction holds to operate at such a scale. Samidan replied they are registered under the General Engineering A category with the Philippine Contractors Accreditation Board.
Marcoleta pointed out that contracts under Category A are limited to P300 million, but Samidan countered that their bids were based on experience and asserted that they never secured contracts exceeding that limit for a single project.
MG Samidan Among Top Flood Control Contractors
MG Samidan is recognized as one of the top 15 contractors responsible for the majority of flood control projects under President Ferdinand “Bongbong” Marcos’ administration. The president had previously flagged potential issues, including projects in areas not typically prone to flooding.
One of MG Samidan’s largest contracts is for a flood control structure along the Abra river basin in Barangay San Jose Sur, Manabo, Abra, valued at P144.7 million—its second-largest project to date.
For more news and updates on flood control projects, visit Filipinokami.com.
