The Department of Tourism (DOT) has suspended another contract with ad agency DDB Philippines, Tourism Secretary Christina Frasco announced on Tuesday.
This, after the agency terminated its other contract with DDB for a botched tourism video that used stock footage from abroad.
During the budget briefing of DOT, OFW party-list Rep. Marissa del Mar Magsino noted that the DOT had another P124.45 million contract with DDB to provide counseling services for the promotion of Philippine islands as an award-winning destinations and tourism products which was supposed to end on Aug. 31, 2023.
Magsino also noted that there was a P12.99 million contract between DDB Philippines and the Tourism Promotion Board (TPB), a DOT-attached agency, for consulting services for the conceptualization and development of meetings, incentive travel, conventions and exhibitions.
“The contract concerning the video has since been terminated,” Frasco told the House Committee on Appropriations.
“With regard to the other contract that you mentioned, the same has been suspended by the Department of Tourism with the department’s exercise of the necessary due diligence to ensure that it safeguard the interest of the department as well as the country,” she added.
Frasco also told the lawmakers that DDB’s security bond was forfeited.
However, TPB chief operating officer Margarita Nograles said they were pushing through with the contract and that so far, deliverables were okay and ready for launch.
House Deputy Minority Leader and ACT Teachers Rep. France Castro meanwhile wants a case against DDB.
“The DOT should discuss filing a case against DDB because of the embarrassment it caused us,” Castro said.
DOT Undersecretary for Legal and Special Concerns Ma. Elaine Bathan left that option open.
“As of the moment, the priority of the department was to immediately terminate and cancel the contract and one of the serious considerations also is the…other courses of legal action, including filing of action in the proper courts should the same be warranted,” Bathan said.
She also assured lawmakers that the budget for the campaign was intact and that the videos created by DDB would not be used.
