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PostPosted: Mon Feb 19, 2018 12:38 am 
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This scandal had previously seen the resignation of a top Philippine Navy official after a member of President Duterte's cabinet tampered or "intervened" in the program.

ABS-CBN (Philippine TV station)

Defense chief says gov't didn't know firm in Navy deal was blacklisted

Posted at Feb 19 2018 11:31 AM

MANILA - The Duterte administration was not aware that the Korean firm tapped to supply 2 warships for the military had been banned by Seoul from participating in public projects, Defense Secretary Delfin Lorenzana admitted Monday.

The Aquino administration started the P15.74-billion acquisition project with Hyundai Heavy Industries (HHI). In August 2016, the Duterte administration signed the notice of award for the firm to supply 2 missile-capable ships to the Philippine Navy.

During a Senate probe into the deal, Senator Panfilo Lacson said HHI was an "improper" business entity when it entered negotiations with the Philippines.

HHI executives in 2015 were found guilty of bribing a Korean official to become the supplier of reactors for a power plant in UAE. The firm was then banned from joining state-led bids for the next 2 years, he said.


Plus a 2nd article with more details from last year when the scandal began:


PH Navy chief steps down after disagreement over P16-B warships
(UPDATED) Vice Admiral Ronald Mercado, who is supposed to serve as Philippine Navy chief until March 2018, has been assigned to the office of the AFP chief

Carmela Fonbuena
Published 2:17 PM, December 19, 2017
Updated 2:49 PM, December 19, 2017

MANILA, Philippines (UPDATED) – Vice Admiral Ronald Mercado on Tuesday, December 19, stepped down as chief of the Philippine Navy 3 months before his term was supposed to expire in March 2018.

Three sources in the military confirmed this information.

The development comes after Mercado tried to stand up to the Department of National Defense over the implementation of the Navy's P16-billion project to acquire two modern warships or frigates, based on information gathered by Rappler.


"Haijun" means "navy" in Mandarin Chinese.

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