Ombudsman begins probe into alleged 'ghost internet' projects, DICT backs investigation
The Office of the Ombudsman is looking into "ghost internet" projects, in which contractors allegedly installed outdated or fake software, leading to overpricing.
"[The] government pays billions for IT systems with very specific technical requirements, the exact software that the agency needs," Assistant Ombudsman Mico Clavano said on Sept. 18. "But once the hardware, the machines, the routers are delivered and pass inspection, everyone assumes the software that is supposed to run on it is there as well."
However, Clavano raised a "loophole" in this process: "A contractor can install cheaper, outdated, or even fake software while still charging the government full price for the real thing."
The assistant ombudsman added that typically, the software isn't verified after the hardware is approved, leaving alleged overpricing undetected.
"It only comes out when the systems break down, or when somebody finally digs deep enough to catch it, which is what our investigation is doing now," he said.
According to Clavano, the investigation will revolve around the Department of Information and Communications Technology to determine whether connectivity and services billed to the government were delivered, and if the prices of hardware and software were reasonable.
On Sept. 19, the DICT said it "fully supports" the Ombudsman's investigation and pledged full cooperation.
"We are treating this matter with utmost urgency and stand ready to provide any records, technical information, and assistance necessary to support a thorough and impartial investigation," the agency said in a statement.
It added that it takes the alleged irregularities seriously.
"The department believes that every ICT project funded by public resources must deliver its intended services and benefits to the Filipino people. Any allegation involving non-performing systems, misrepresented project deliverables, or the misuse of public funds must be thoroughly examined and addressed in accordance with the law," the statement continued.
DICT's budget deferment
Earlier in the week, the House of Representatives deferred the DICT's P19.49 billion budget for 2027 due to unresolved concerns on harmful content online.
In a column for The Philippine STAR, Rep. Brian Poe Llamanzares, the DICT's budget sponsor in plenary deliberations, clarified that the House did not summon Meta CEO Mark Zuckerberg amid the safety concerns.
"It was also the DICT, not the House, that sought executive engagement from Meta, through letters addressed to Zuckerberg earlier this year."
