A regional trial court in Muntinlupa City has ordered the release of Mayor Abundio JP Punsalan of San Simon, Pampanga, who was arrested last month in an alleged extortion scheme.

Judge Desiree Gertrude Orquila-Mordez of the Regional Trial Court Branch 206 granted a petition for habeas corpus filed on behalf of Punsalan on Tuesday.

The judge directed the National Bureau of Investigation to release the mayor and six others, including businessman Ed Ryan “Doc Yang” Dimla and Punsalan’s security detail.

To recall, Punsalan and his group were arrested on 5 August by NBI agents in Clark, Pampanga. The operation was launched after RealSteel Corporation filed a complaint on 30 July, claiming it was being extorted by individuals linked to the local government.

The NBI said the scheme began when a man posing as a municipal officer ordered the company to stop construction. Shortly after, Dimla, who introduced himself as the town’s “External City Administrator,” allegedly demanded P30 million to prevent further municipal action and another P125 million to reimburse the mayor’s political campaign expenses.

According to investigators, the threats included revoking RealSteel’s business permits and canceling a municipal ordinance that granted the company tax incentives. A sting operation was set up, leading to the arrest of Punsalan and Dimla as they allegedly received marked money from the complainant.