Joselito Malig

Zaldy Co, ex-DPWH Bulacan execs face malversation, graft raps over P77-M ‘ghost’ flood project

Article (news)

Kaxandra Salonga

ABS-CBN News

MANILA — The Office of the Ombudsman on Thursday filed malversation and graft charges against fugitive former Ako Bicol Rep. Zaldy Co and several former Department of Public Works and Highways officials over an alleged P77.2-million ghost flood control project in Bulacan.The graft-busting body said it found probable cause to charge former DPWH officials Brice Hernandez, Arjay Domasig, Jaypee Mendoza, Niño Morales, Juanito Mendoza, Floralyn Simbulan, and Christina Pineda with the same offenses.Co’s staff members John Paul Estrada and Mark Tecsay, were also indicted.According to the charge sheet, the riverbank protection structure along the Balagtas River in Purok 4, Barangay San Juan, Balagtas, Bulacan, which was awarded to SYMS Construction Trading, was declared completed despite being found non-existent.“The project supposedly started last February 24, 2025 and was declared to be 100% accomplished on May 2, 2025. However, upon inspection, it was non-existent,” the resolution read.The Ombudsman also questioned the repeated approval of payments to SYMS despite alleged irregularities in the project’s Monthly Certificates of Payment and Statements of Work Accomplished.“[These] are strong indication of their participation in the devious schemes of misappropriating the funds for flood control projects,” the ruling stated.It also alleged that Co’s participation in the scheme involved the insertion and funding of flood control projects after kickbacks were allegedly delivered to him.“In exchange for the kickbacks collected by Alcantara from contractors and delivered in advance to Co, the latter ensured that the project will be inserted in the NEP and eventually funded in the General Appropriations Act (GAA). Co’s participation was therefore necessary or indispensable in this elaborate scheme of embezzling funds intended for flood control projects,” the resolution stated.The Ombudsman said the alleged scheme continued after the release of the advance payment.“The modus did not end after the delivery of the advance payment to Co. The project was eventually awarded to SYMS which was owned by Santos. However, and which is apparent in the scheme used by the respondents, there was no intention to actually complete the project,” the ruling added.The Ombudsman also cited the repeated failure of officials responsible for reviewing, inspecting and certifying the project to exercise the diligence expected of public officials.It said these failures could not be dismissed as ordinary lapses or isolated errors.“Here, respondents acted with evident bad faith and/or gross inexcusable negligence when they issued the pertinent documents and certifications that led to the diversion of public funds… for a project that turned out to be non-existent or incomplete. The repeated failure to exercise due diligence is very telling,” the resolution stated.The malversation case was raffled to the Sandiganbayan’s Fourth Division, chaired by Associate Justice Michael Musngi, while the Fifth Division, led by Associate Justice Zaldy Trespeses, will handle the graft case.Co is also facing malversation and graft charges over an allegedly anomalous road dike project in Naujan, Oriental Mindoro.Hernandez, Domasig, Pineda, and the two Mendozas are also co-accused with former Sen. Ramon “Bong” Revilla Jr. in separate malversation and graft cases over the alleged ghost flood control project in Pandi, Bulacan.The graft-busting body dismissed for lack of probable cause the complaint against Co, Alcantara, Estrada and Tecsay for violation of Section 3(b) of Republic Act 3019, or the Anti-Graft and Corrupt Practices Act.Meanwhile, the Ombudsman referred the perjury complaint against Sally Santos back to the Department of Justice.Alcantara and Santos, who were admitted to the Witness Protection Program, were granted immunity in the cases in which they are set to testify.

The Office of the Ombudsman on Thursday filed malversation and graft charges against fugitive former Ako Bicol Rep. Zaldy Co and several former Department of Public Works and Highways officials over an alleged P77.2-million ghost flood control project in Bulacan.

The Office of the Ombudsman on Thursday filed malversation and graft charges against fugitive former Ako Bicol Rep. Zaldy Co and several former Department of Public Works and Highways officials over an alleged P77.2-million ghost flood control project in Bulacan.