ASEANEWS HEADLINE | MANILA: 3 senators being probed for contractor donations
Ridon says House may probe contractors’ donations to politicians | ANC
House Committee on Public Accounts Chairperson and Bicol Saro Party-list Rep. Terry Ridon on Saturday said their investigation into alleged anomalies in flood control projects will focus on the initiatives, not personalities.
Comelec: Both personal and company donations banned
MANILA, Philippines — Campaign contributions of at least four bets during the 2022 elections are currently under review to determine if they received donations from government contractors, according to Commission on Elections (Comelec) Chairman George Garcia.
The poll body chief said the review covers three senators and one local bet in Bulacan. He did not specify their identities.
The announcement comes amid heightened scrutiny of government contractors connected to alleged irregularities in flood control projects.
Garcia said the Comelec’s motu proprio investigation, the results of which will be out in two to three weeks, extends to all candidates, not just the ones generating headlines.
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“We should not only focus on the personality who came out last week, but also on other personalities,” he told “Storycon” on One News yesterday, referring to Senate President Francis Escudero.
In a report that Escudero slammed as a “demolition job,” it was revealed that he received P30 million from Lawrence Lubiano, president of Centerways Construction and Development Inc., during his 2022 comeback run. Centerways is among 15 contractors that cornered 20 percent of all flood control deals, amounting to P545 billion.
Escudero admitted that he is “friends” with Lubiano—his top donor—but denied helping the Sorsogon-based firm bag contracts when he was the provincial governor from 2019 to 2022.
Philippine election law prohibits government contractors from donating to campaign kitties. Section 95(c) of the Omnibus Election Code states that “natural and juridical persons who hold contracts or sub-contracts to supply the government…with goods or services or to perform construction or other works” are banned from directly or indirectly contributing to partisan political activity.
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Comelec has a five-year prescriptive period to pursue any contractor found violating this law.
In Escudero’s Statement of Contributions and Expenditures (SOCE), Lubiano, not his firm, is listed as a contributor, raising questions about whether the Senate President can assert that his friend donated in a personal capacity.
“Take note, Section 95(c) states ‘natural or juridical person’ without distinguishing [company] president or personal capacity,” Garcia said.
The poll body chief brought up potential legal loopholes in election laws that complicate the process of holding either candidates or government contractors accountable.
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For one, it is unclear if the section extends culpability to the candidates themselves. For another, candidates are only required to list their contributors’ occupations.
One can only write ‘businessman’ without mentioning that he or she is a government contractor,” Garcia said.
House tri-comm to probe questionable flood control projects
The leadership of the House of Representatives approved on Wednesday night a resolution directing three committees, dubbed as tri-comm, to conduct a probe on the multibillion-peso flood control projects of lawmakers and contractors in the regions.
The House plenary approved Resolution 145 authorizing the committees on public accounts, public works and highways, and good government and public accountability to conduct an inquiry on the implementation of flood control projects undertaken by the Department of Public Works and Highways and other agencies.
Bicol Saro party-list Rep. Terry Ridon, chairman of the committee on public accounts, made it clear last week that the House is authorized to look into questionable flood control projects, particularly those identified by President Marcos as the top 15 contractors who bagged the projects.
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This runs counter, however, to the position of Marcos’ son, House majority leader Sandro, who earlier told congressional reporters that it would not look good if they themselves conduct the inquiry, especially since some lawmakers have allegedly been involved in the anomaly.
But Ridon clarified that any House member who will be implicated will be given an opportunity to respond. The panel will then recuse itself from the probe, and endorse it to a third-party body.
Opposition Rep. Leila de Lima of party-list Mamamayang Liberal, however, raised an objection and invoked conflict of interest.
“I take the position that it would not be prudent on the part of this House, as it might entail possible conflict of interest,” she said.
“The House itself is investigating the issue, when there are so many reports, when there are so many speculations about the possible involvement of certain members of the House,” the lawmaker added.
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Senators slam flood control corruption racket
Senators yesterday slammed the corruption racket in the country’s flood control works as exposed by Sen. Panfilo Lacson in his privilege speech.
Senate President Pro Tempore Jinggoy Estrada said that “heads must roll” following Lacson’s allegation that corrupt lawmakers, district engineers, auditors, and contractors colluded to corner contracts which end up being substandard or ghost flood control projects.
Estrada said he will continue looking into the anomalous flood control in Bulacan, a province Lacson said is notorious for non-existent projects.
Lacson in his privilege speech Wednesday named Wawao and Darcy and Anna Builders and Trading as the contractors behind non-existent riverbank protection structures in Malolos city and Hagonoy.
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According to the Sumbong sa Pangulo flood control projects list analyzed by The STAR, Wawao Builders bagged 43 projects worth P3.98 billion in Bulacan from 2022 to 2025. Wawao is among the top 15 contractors flagged by the President. Meanwhile, Darcy and Anna Builders and Trading has 16 Bulacan projects worth P1.46 billion from 2023 to 2024.
In a dzBB interview, Sen. Sherwin Gatchalian expressed outrage at the corruption racket of dividing the flood control projects into phases, repeatedly funding the project for repair, and earning kickbacks through commissions instead of fully utilizing the budget.
Lawmakers offended by Magalong
House leaders yesterday took offense on the statement made by Baguio City Mayor Benjamin Magalong who labeled as “moro-moro” the upcoming congressional inquiry into the anomalies in the multibillion flood control projects.
“As a Muslim, I take offense at the casual use of the term moro-moro to describe an investigation. Words carry history. We can debate corruption with vigor, but we should never trivialize the struggles of Moro communities by turning that term into an insult,” House deputy majority leader and Lanao del Sur Rep. Zia Alonto Adiong said in a statement.
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“I hope the language should not be that way. In fact, the attack should not be like that. We ask Mayor Magalong, please, be sensitive in your language,” Adiong said.
“If you believe some House members are guilty, name them and present the proof. Do not condemn the entire House. Let us not generalize. Many of us are innocent and are just working,” Adiong added.
For his part, Manila 6th district Rep. Bienvenido Abante said public accusations must be anchored on verifiable proof and delivered with care befitting the gravity of the issue.
“Does mayor Magalong’s statement that our investigation here in Congress is moro-moro means we are in conspiracy. Be careful with accusations. It is easy to throw words, but it is difficult to prove it,” Abante said in a statement.
“If he believes that there are some who are guilty here, he should not generalize. His statements are an insult to the institution that we work hard to preserve and promote. I hope he takes back what he said,” he added. “If he believes some are guilty, name names, submit documents and testify under oath. That is how we clean up the system.”
Abante stressed that blanket characterizations erode public understanding of a probe that is already moving through formal channels.
A House tri-committee has been formed to examine the alleged anomalies, with witnesses to be called and records to be reviewed in aid of legislation, and the mayor is free to appear and present what he knows so it becomes part of the official record.
DBM variance report
Meanwhile, Manila 2nd district Rep. Rolando Valeriano said yesterday that a variance report on the 2025 national budget from the Department of Budget and Management (DBM) will settle allegations that the House of Representatives was behind questionable insertions.
Valeriano said the General Appropriations Bill (GAB) the House approved in plenary was in order. However, Valeriano noted that by the time the measure went through the Senate, the bicameral conference committee, and was enacted as the General Appropriations Act (GAA), the final version was already different.
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Valeriano recalled asking Budget Secretary Amenah Pangandaman during a recent budget hearing to confirm whether DBM received copies of both the GAB from Congress and the final version of the GAA.
“That is why I asked the DBM secretary during the hearing last Monday if she received a GAB from Congress? She said yes. Is there a final version of the budget? She also said yes. So, there is a variance,” Valeriano said.
“So once and for all, that is what I am requesting from the DBM. The DBM secretary promised to bring the copy of the control bill of GAB and the final version,” he added.
“And from there we will see the variance, the difference and we will also see where the insertion really came from and the spinning around in 2025,” Valeriano further said.
Valeriano said the DBM also committed to submit the list of For Later Release or FLR projects in the 2025 budget. He said the list will be critical in identifying items not part of the original National Expenditure Program, underscoring that this will further disprove claims that the House engineered the insertions. – Delon Porcalla, Jose Rodel Clapano, Marc Jayson Cayabyab
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