ICI seeks charges vs. Villanueva, Estrada, Co, 3 others in flood control scandal

Metro Manila, Philippines - Two sitting senators, an audit commissioner, and three former public officials will be in the charge sheet to be recommended for filing by the ombudsman in court in relation to the multibillion-peso flood control scandal, the Independent Commission for Infrastructure disclosed on Wednesday, Oct. 29.

In a news briefing, ICI Chairman Andres Reyes named the following - senators Joel Villanueva and Jinggoy Estrada, Commission on Audit Commissioner Mario Lipana, former Ako Bicol party-list Rep. Zaldy Co, former Caloocan Rep. Mitch Cajayon-Uy, and former Public Works Undersecretary Roberto Bernardo - who supposedly took “bribes and unwarranted monetary benefits” from flood control project contractors.

Reyes said they may have committed direct and indirect bribery, corruption, and plunder. The charges would cover criminal and administrative liabilities.

“Based on the testimonies and narrations of the witnesses, the scheme starts from the proponent who is either a member of the Senate or the House of Representatives who will inform Engineer (Henry) Alcantara that he/she has a budget allocated for infrastructure projects. Additionally the scheme shall always involve flood control projects because the kickback is 25 to 30 percent,” he said, echoing testimonies in Senate hearings.

“If the list is forwarded to the DPWH (Department of Public Works and Highways) regional director, it will be included in the NEP (National Expenditure Program). On the other hand, if the list is given to the proponent itself, he or she would insert the projects in the House general appropriations bill called HGAB or bicameral insertions wherein it would be reflected in the General Appropriations Act (GAA),” Andres said.

He said once the projects are reflected in the NEP or GAA, dismissed DPWH Bulacan first district engineer Alcantara will choose contractors who will carry out the projects – which will eventually trigger payment and obligations to the proponent.

He said the 25 percent payoff is advanced by contractors to make sure they will bag the projects.

“An advance payment of the budget allocation where the NEP is released, while the remaining 15 percent will be paid off to the proponent when the GAA is passed. If the insertions were included in the GAA, the whole 25 percent SOP is given to the proponent,” he said.

Contractor-couple Sarah and Curlee Discaya earlier exposed the bribery scheme – with the 25 percent payoff allegedly for Co and former House Speaker and Leyte Rep. Martin Romualdez.

In a September Senate inquiry, Alcantara tagged Villanueva, Estrada, Co, and Uy in multimillion-peso budget insertions for flood control projects.

He also accused Bernardo as the middleman for lawmakers tagged in anomalous deals.

The dismissed engineer also linked Lipana to ₱1.4 billion in alleged insertions through questionable flood control projects.

Lipana’s spouse is a flood control project contractor. She is president and general manager of Olympus Mining and Builders Group Philippines Corporation, which won nearly P200 million in projects in 2024.

Villanueva, Estrada, Co, Cajayon-Uy, and Bernardo were on the charge list of the National Bureau of Investigation in September. Lipana is under investigation by the Ombudsman.

The ICI previously invited a number of resource persons, including Bernardo, the Discayas, Romualdez, senators, and government officials involved in the budget process.

In his statement, Reyes said the recommendation to file charges against six officials shows that the commission will spare no one from the investigation.

“We will continue to investigate, follow the evidence, pursue charges to the very last man involved. Justice will not be delayed this time,” he said.

In a statement, Villanueva said “the records of the Senate will show that I have been against flood control projects from the very beginning.”

Others have yet to issue statements.