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Fake $600M Contract Exposed in the Philippines

The Department of the Interior and Local Government (DILG) has exposed a scam related to a forged procurement document purportedly approving a P600.5 million construction supplies agreement.

On Monday, the DILG cautioned people not to engage with those involved in the fraudulent activity.

The Department of the Interior and Local Government (DILG) issued a statement saying that the fraudulent document included counterfeit signatures from Interior Secretary Jonvic Remulla and other high-ranking officials. The document falsely asserted that the COBAC at the DILG Central Office had granted a contract to EAD4 Hardware Trading—allegedly run by Emily Marzan Bayudan—on June 11, 2024.

The public is notified that no such procurement process has taken place,” stated the DILG. “Furthermore, no contracts related to this have been released or granted by either the DILG or its COBAC.”

The department highlighted that the document is entirely fake and holds neither legal standing nor obligatory impact. This agreement, purportedly aimed at supplying building supplies, seems to be an orchestrated move intended to deceive possible collaborators or cheat the administration.

The Department reported that the plan became evident following notifications reaching the Office of the Secretary and the department’s legal team the prior week. Since then, the office has initiated an internal review and is collaborating intensively with police organizations to probe into the origins and motives surrounding the counterfeit paperwork.

"The seriousness of this issue cannot be understated. It is being addressed as a calculated effort to erode the integrity of the DILG and mislead stakeholders into engaging in an imaginary deal," stated the department.

Remulla instructed all relevant agencies to intensify their surveillance of comparable frauds and guarantee that the DILG's purchasing procedures stay open, protected, and in line with governmental regulations.

The department likewise advised the public, particularly those involved as contractors, suppliers, and members of local government units, to confirm any claimed procurement award or authorization directly with the DILG prior to taking action. Legitimate notifications and paperwork are disseminated exclusively via authenticated governmental outlets and the DILG’s official site.