Senate panel launches probe into bogus flood control projects

THE Senate Blue Ribbon Committee launched on Tuesday, August 19, 2025, a motu proprio investigation on the bogus flood-control projects across the country.

Among the resource persons who attended the opening of the probe were Public Works and Highways Secretary Manuel Bonoan and the representatives of Centerways Construction and Development Inc., Sunwest Inc., QM Builders, Legacy Construction Corporation, Triple 8 Construction & Supply Inc., EGB Construction Corporation, MG Samidan Construction, and Road Edge Trading & Development Services, which were among the 15 construction companies that cornered 20 percent, or P100 billion worth of government flood control projects since July 2022.

The committee has issued a subpoena to the Alpha and Omega Gen. Contractor, St. Timothy Construction Corporation, Hi-Tone Construction and Development Corp., Royal Crown Monarch Construction and Supplies Corp., Topnothc Catalyst Builders, and Wawao Builders for their failure to attend the proceedings.

In his opening speech, the panel’s chairperson, Senator Rodante Marcoleta, said it is high time for an investigation on 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.

“The root of the issue before us boils down to the rampant corruption entangled within the core of our government -- tila sakit na kanser na siyang unti-unting sumisira sa ating bansa. 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,” he said.

“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! Pagod na ang mamayanang Pilipinong lumikas mula sa kanilang mga tahanan, maghakot ng kagamitan o simpleng paglisan sa kani-kanilang mga bahay upang makaligtas sa panganib na dulot ng rumaragasang tubig. We should not accept these misfortunes simply as effects of climate change. It will never be a valid justification for our failure to provide strong and protective shields against something inevitable but preventable,” he added.

In the probe, the committee seeks to:

* Establish the facts surrounding the concentration of flood control contracts among 15 contractors, and beyond, if warranted;

* Examine compliance with procurement laws, regulations, and due process requirements;

* Investigate probable irregularities in bidding processes, technical specifications, and project awards;

* Assess the quality and effectiveness of completed flood control projects;

* Identify systemic weaknesses in government procurement and project monitoring;

* Determine accountability for any malfeasance, misfeasance, or nonfeasance;

* Recommend legislative measures to prevent similar occurrences and strengthen oversight mechanisms.

The potential violations under scrutiny include:

* Government Procurement laws

* Republic Act 3019 (Anti-Graft and Corrupt Practices Act)

* Republic Act 6713 (Code of Conduct and Ethical Standards for Public Officials)

* Various DPWH and DBM procurement guidelines and circulars

Upon the questioning of Senate President Pro Tempore Jinggoy Estrada, Bonoan confirmed finding out about the “ghost” flood projects in Bulacan, one of the top 10 flood prone provinces in the country based on the National Adaptation Plan of the Philippines 2023-2050.

In particular, Estrada said the ghost flood projects identified in Calumpit, Malolos and Hagonoy were under the Wawao Builders.

Bonoan said investigation about these ghost projects is already ongoing and he expects a financial and physical report to be submitted to him next week.

He said Wawao Builders bagged 85 flood control projects in Bulacan amounting to nearly P6 billion.

From 2022 to 2025, Bonoan said Wawao Builders was awarded P9 billion worth of projects in various parts of the country.

Senator Sherwin Gatchalian also revealed that the QM Builders, Centerways Construction and Development Corporation, Triple 8 Construction & Supply Incorporated, Wawao Builders, and MG Samidan Construction Corporation were undercapitalized.

He said QM Builders was able to secure 93 projects amounting to P7.38 billion despite only having P1.25 million paid-up capital, while Centerways Construction and Development Corporation, which only had P1.25 million when it was formed and later went up to P45 million paid up capital, cornered 83 projects worth P5.1 billion under the administration of President Ferdinand Marcos Jr.

Centerways president Lawrence Lubiano was reportedly one of the campaign contributors of Senate President Francis “Chiz” Escudero in the 2022 national elections.

From the initial paid-up capital of P5 million, Triple 8 Construction & Supply Incorporated assets went up to P90 million. The firm was awarded 57 projects amounting to P3.91 billion.

Wawao Builders, which bagged 58 flood projects worth P4.2 billion, had a paid-up capital of P50 million, while MG Samidan had a paid-up capital of only P250,000, but was given 58 projects amounting to P5 billion.

Gatchalian, the chairman of the Senate Committee on Finance chairperson, sought the commitment of the DPWH for a more efficient flood mitigation infrastructure or they will have zero budget for flood mitigation.

“Hindi po kami magdadalawang-isip i-zero ho ito at ilagay na lang sa mga eskuwelahan kung itong flood control ay magiging ampaw lang na flood control at hindi po magiging epektibo. Dahil kung gagastos tayo ng P274 billion sa ampaw at di epektibong proyekto, ilagay na lang ho natin sa paaralan dahil yan po ang ipinaglalaban ni Senator Bam Aquino para makumpleto natin ang pagkukulang sa ating paaralan,” he said.

(We will not hesitate to give this a zero budget and instead allocate the funds to schools if this flood control project turns out to be an empty and ineffective one. Because if we are going to spend P274 billion on a useless and inefficient project, then we might as well put it into schools — as Senator Bam Aquino has been advocating — so we can address the shortage in our educational facilities.)

“Ang pakiusap ko kay Sec. Bonoan, tama na po ‘yung paulit-ulit na problema dahil nasasayang po yung ating pera at ang tao mawawalan ng tiwala,” he added.

(My appeal to Sec. Bonoan is to put an end to this recurring problem because our money is being wasted, and people will lose their trust.)

During his fourth State of the Nation Address, Marcos ordered for the conduct of an in-depth investigation on the irregularities in the flood control projects across the country in light of the recent massive floods that submerged communities during the onslaught of habagat (southwest monsoon) and the series of typhoons. (TPM/SunStar Philippines)