Digital 8’s contract with PCSO above board: source

A well-placed source in Digital 8 Inc., the media company that was recently embroiled in controversy, has clarified that new Presidential Communications Office (PCO) Secretary Jay Ruiz is not connected with the company nor with its subsidiary, D8TV.

The clarification followed accusations that Ruiz was involved in securing government contracts, including a multi-million-peso deal, to air the lottery draws of the Philippine Charity Sweepstakes Office (PCSO).

Speaking on the condition of anonymity, the source said Digital 8 secured a ₱170-million contract with PCSO, not ₱206.05 million as initially reported, through a public bidding.

“This contract is between IBC and PCSO. We are just on the production side. The contract pertains to broadcast and transmission, which is IBC’s responsibility, while we handle production,” the source clarified in a phone interview with DAILY TRIBUNE.

The contract, which covers the airing of the PCSO’s lottery draws, was awarded to IBC-13 as the principal bidder. Digital 8’s role was specifically as a production partner, responsible for producing the broadcasts.

The source also emphasized that this was not a “midnight deal” or a cornering of a government contract, stressing that the bidding process was fair and transparent.

“In fact, People’s Television (PTV), a government-owned network, was one of the bidders,” the source said.

Ruiz responds

On Tuesday, Ruiz rejected claims made in an article on Politiko, an online news portal, that suggested he had co-founded Digital8 with former ABS-CBN reporter and ex-PTV 4 general manager Ana Puod.

The article also alleged that the company had secured a P178.5-million contract in October 2024 and a P27.55-million deal in December.

Ruiz dismissed the allegations as fake news and insisted that he had no financial or ownership ties to Digital 8.

“The story is completely inaccurate. I did not co-found Digital 8, nor did I have any ownership or direct involvement in its operations,” Ruiz said in a statement. “I was merely a representative in the joint venture agreement due to my position of overseeing sales and marketing.”

Digital 8’s legal standing and operations

Digital 8’s certificate of incorporation, obtained by DAILY TRIBUNE, showed the company operates as a full-service multimedia production company.

Established in 2012, it specializes in producing audio-visual presentations, commercials, TV and web documentaries, and organizing live events.

Digital 8 has worked with various organizations, including Net25, Cignal and Globe Telecom, on media campaigns and productions.

The source from Digital 8 emphasized that the company complied with all the necessary legal requirements when it participated in the PCSO bidding process.

“To qualify for the bidding, we had to present updated business permits, tax clearances, and a certification from PHILGEPS (Philippine Government Electronic Procurement System). We’ve been certified by PHILGEPS for years, and our most recent certification was obtained in August 2024,” the source said.

PHILGEPS is a key government platform that ensures transparency and fairness in the procurement process. By using this system, government agencies and suppliers, including contractors like Digital 8, are able to participate in public biddings for government projects.

Concerns over financial capacity

However, a government source had raised concerns over Digital 8’s financial capacity. Under the procurement law, bidders are required to demonstrate that they had previously handled contracts of similar size to the one they are bidding for, which is known as the Net Financial Contracting Capacity (NFCC) rule.

This rule aims to prevent fly-by-night contractors from winning government deals.

Digital 8’s authorized capital stock, as listed in its Amended Articles of Incorporation, is P1 million.

While the source from Digital 8 maintained that the company had met all legal requirements, this concern over the financial capacity rule may lead to further scrutiny of the bidding process.

Clarification on Ruiz’s role and D8TV

In addition to the bidding controversy, a front-page photo published by DAILY TRIBUNE showed a table place marker at a PCSO press conference in January 2025 that identified Jay Ruiz as “Digital 8 President.”

The source from Digital 8 explained that this was an error by the event organizers, not an indication of Ruiz’s involvement in the company.

“The marker was a mistake. What matters are the legal documents. It’s unfair to imply anything about Jay Ruiz. He has been a supporter of the administration and has never had a financial stake in Digital 8,” the source said.

The source also denied that Ruiz and Puod were affiliated with D8TV, the media company’s subsidiary.

“Jay Ruiz and Ana Puod have no ownership or operational ties to D8TV. D8TV is just a brand name we acquired for a channel network from Beam. They are not involved in any capacity with the company,” the source said.

In response to the controversy, the PCO issued an official statement asserting that Secretary Ruiz has never been an incorporator or director of Digital 8 and does not own any shares in the company.

Ruiz’s role was as the authorized representative in the joint venture agreement due to his position as head of sales and marketing.

On 15 January, Ruiz resigned from Digital8, more than a month before his appointment as PCO secretary. His resignation was formalized in a board resolution on 17 January.

The PCO emphasized that the joint venture won the PCSO contract in a transparent public bidding process, in full compliance with all relevant rules and regulations.

“There is no conflict of interest in this case,” the PCO said. “We hope this clears up any confusion.”