THE Senate Blue Ribbon Committee yesterday approved the issuance of subpoenas to eight of 15 contractors who snubbed the panel’s hearing on alleged anomalous flood control projects as disclosed by President Ferdinand Marcos Jr.
Sen. Rodante Marcoleta, panel chairperson, approved the motion of Sen. Ronald dela Rosa to subpoena the eight contractors – Cezarah C. Discaya, president of Alpha and Omega General Contractor and Development Corp.; Ma. Roma Angeline D. Rimando, owner/manager of St. Timothy Construction Corp.; Eumir Villanueva, president, Topnotch Catalyst Builders Inc.; Aderma Angelie Alcazar, president/CEO, Sunwest Inc.; Edgar S. Acosta, president, Hi-Tone Construction and Development Corp.; Romeo C. Miranda, president, Royal Crown Monarch Construction and Supplies Corp.; Mark Allan V. Arevalo, general manager, Wawao Builders; and Luisito R. Tiqui, president, L.R. Tiqui Builders.
Marcoleta’s office said no schedule has been set for the issuance of subpoenas.
A subpoena would compel the contractors to attend the next hearing which has yet to be scheduled. They can be cited for contempt, and prompt the committee to issue warrants for their arrest, if they fail to show up at the next hearing.
Rodolfo Noel Quimbo, committee director general, said invitations were sent to the 15 contractors on Friday last week but only seven “are represented by the owner himself or a representative. Others simply replied but did not send representatives.”
Marcoleta said he hopes that the contractors’ absence would not mean “a sign of disinterest on their part because this meeting is called precisely to get to the bottom of this problem.”
Those physically present were Alex Abelido, president, Legacy Construction Corp.; Allan Quirante, owner/proprietor, QM Builders, Erni Baggao, owner/proprietor, EGB Construction Corp.; Lawrence Lubiano, president, Centerways Construction and Development Inc. (identified as Senate President Francis Escudero’s top campaign contributor during the 2022 elections); Wilfredo Natividad, owner/general manager, Triple 8 Construction and Supply Inc.; Marjorie Samidan, authorized managing officer, MG Samidan Construction; and Ryan Willie Uy, proprietor, Road Edge Trading and Development Services.
Sen. Erwin Tulfo, committee vice chairperson, said the contractors better have a good reason for their absence as they have apparently disregarded the Senate panel’s invitation.
“It seems they are making a fool of us by giving reasons such as they are sick, on vacation, or have a prior schedule, on a vacation. Which is more important, their prior schedule or this investigation? Because we are talking about P544 billion, not a small change, Mr. Chair,” he said in mixed Filipino and English.
The committee started its motu proprio investigation on the more than P100 billion flood control projects awarded to 15 contractors, five of which have projects in almost all regions in the country.
In his opening statement, Marcoleta said the panel conducted the investigation into the serious allegations of malfeasance, misfeasance, and nonfeasance concerning the award and implementation of flood control projects “that have been disproportionately concentrated among a select group of contractors.”
He said the cause of the irregularity “boils down to the rampant corruption entangled within the core or our government.”
“Records will show that billions are spent every year to fund flood control projects that are supposed to control or mitigate flooding in our country. The magnitude of this issue cannot be understated: funds are wasted over questionable projects. Lives and properties are lost due to failures in flood control. Enough is enough!” he added.
He said the people should not “accept these misfortunes” simply as effects of climate change because government failed to act properly over the years to solve the problem, despite the billions of pesos poured into flood control projects annually.
The 2026 proposed national budget has an allotment of some P274 billion for flood control projects.
Meanwhile, Sen. Sherwin Gatchalian, chairperson of the finance committee, threatened the Department of Public Works and Highways (DPWH) with “zero” budget for flood control projects next year unless it makes sure that new flood mitigation projects would help solve the problem.
He said the DPWH should do away with its “business as usual” attitude in the construction of infrastructure projects.
“We will not think twice about giving a zero budget [for flood control projects] and just realign the funds to the education sector [for building classrooms] if these flood control projects will be useless and ineffective,” he said in Filipino.
He earlier said that the country still lacks more than 165,000 classrooms nationwide, which would need a budget of some P413.6 billion.
REALIGNMENT
The Department of Budget and Management (DBM) is open to realigning a significant portion of the P274.9 billion proposed flood control budget for 2026 to education for the construction of classrooms.
Budget Secretary Amenah Pangandaman said she has no opposition to the proposal of Batangas Rep. Leandro Leviste, a vice chair of the House Committee on Appropriations, to realign a portion of the proposed flood control budget to education.
“The Executive proposes the budget and then we leave it to Congress whether you think it’s wise to cut the flood control budget and move it to education, but we welcome such because, again, the theme of our budget for next year will be really to increase our investment and spending in education,” Pangandaman said during the Development Budget Coordination Committee’s (DBCC) briefing on the proposed P6.793 trillion national budget for 2026 on Monday.
The DBCC, which is headed by the DBM, is composed of the Departments of Finance and of Economy, Planning and Development, the Office of the President, and the Bangko Sentral ng Pilipinas as adviser.
The body is responsible for reviewing and recommending macroeconomic targets, revenue forecasts, borrowing levels, aggregate spending limits, and expenditure priorities to the President and Cabinet.
Leviste, a son of Sen. Loren Legarda, told the briefing he wants a huge part of the 2026 flood control budget to address the shortage of 165,000 classrooms estimated by the Department of Education (DepEd), which is allocated only P13 billion to build new classrooms next year under Malacañang’s P6.793-trillion proposed national budget for 2026.
“The President has indicated that flood control projects are a possible source of corruption and the 2026 NEP includes over P250 billion in flood control projects while the provision for new classrooms is still approximately only P13 billion,” he said.
Leviste has been investigating flood control projects and other infrastructure damaged by recent typhoons with the help of engineers who have found many of these flood control projects to be substandard.
He said among these is the DPWH Binambang riverbank protection project in Balayan, Batangas, which was damaged by typhoon “Kristine” along with the Binambang Bridge in October 2024.
Leviste, a businessman, personally funded the repair of the Binambang Bridge in December 2024 at no cost to government.
“Based on the substandard and overpriced DPWH projects we have seen, closing the gap on DepEd’s classroom shortage seems to be a much more wise use of taxpayers money than DPWH flood control projects in the 2026 budget,” he said.
SECURITY THREAT
The Association of Generals and Flag Officers (AGFO) said it strongly supports President Marcos Jr’s move to address “deep-seated corruption” in the government, particularly involving critical flood control projects.
AGFO president Maj. Gen. Gerardo Layug Jr (ret.) said AGFO, composed of active and retired generals and flag officers, considers corruption a threat to national security.
“We view corruption not merely as a matter of graft, but as a direct and severe threat to national security,” Layug said in a statement.
“When funds intended to protect our communities from natural calamities are siphoned off by greed, it does not only steal from public coffers; it directly endangers lives, destroys livelihoods, displaces families, and erodes the people’s trust in the very institutions meant to serve them,” he said.
Layug said AGFO supports the President’s “clear and unequivocal stand against all forms of corruption within the government bureaucracy.”
“Our support is anchored on the principle that the integrity of our institutions is paramount. We believe that a government free from corruption is the bedrock upon which a strong and resilient nation is built,” said Layug. – With Wendell Vigilia and Victor Reyes
