ILIGAN City ― Iligan City Mayor Frederick Siao expressed dismay over a Construction Industry Arbitration Commission (CIAC) ruling ordering the city to pay BM Marketing, a terminated contractor, 99.4% of the project’s budget.
Speaking to reporters over the weekend, Siao confirmed that the city has filed an appeal with the Court of Appeals to contest the CIAC’s Writ of Execution.
The CIAC had ruled that BM Marketing completed 99.4% of the project, prompting the issuance of the writ.
However, the city’s Project Implementation Unit reported the project as only 73% complete, while the Commission on Audit (COA) assessed it at 69%. Siao stated that the COA’s assessment should take precedence.
“I am not against the previous administration of then-Mayor Celso Regencia, but I strongly oppose the actions of the contractor,” Siao said.
BM Marketing was contracted in February 2020 for a project worth over PHP 580 million, with an original completion date of December 31, 2021.
The contractor requested seven extensions and further delays, prompting Siao’s administration to terminate the contract due to safety concerns and unmet deadlines.
Following its termination, BM Marketing sought legal recourse, but a Regional Trial Court ruled that the matter fell under the CIAC’s jurisdiction.
The arbitration commission’s decision has now led to the current dispute.
The project has since been reassigned to a new contractor, with completion expected by April 2025.
