Audit finds fraud risk in P360-M Bulacan flood projects

Flood control projects worth over P360 million in Bulacan are under the scanner after the Commission on Audit (CoA) filed four fraud audit reports with the Independent Commission for Infrastructure (ICI), revealing serious irregularities in the Department of Public Works and Highways (DPWH) — Bulacan 1st District Engineering Office.

The audit body said Friday that inspections showed several projects were constructed at locations different from the approved sites, raising the possibility of “double-counted accomplishments” and underperformance.

In some cases, historical satellite imagery and site visits confirmed that existing flood control structures predated the contracts, casting doubt on the reported work.

In its report on SYMS Construction Trading’s P92.88 million project along the Angat River in Pulilan, Bulacan, CoA noted that “prior to the effectivity of SYMS’s contract on 25 February, a slope-protection structure already existed at the approved location.”

No explanation for location change

The commission added that DPWH-Bulacan 1st DEO representatives provided no explanation for the location change and failed to submit a significant number of critical supporting documents.

Those found liable include District Engineer Henry C. Alcantara, assistant district engineer Brice Ericson D. Hernandez, Planning and design section chief ernesto Galang, several project engineers and SYMS Construction Trading personnel.

Three projects implemented by Topnotch Catalyst Builders Inc., individually and through joint ventures, totaling nearly P267 million, also drew CoA’s scrutiny.

Site already occupied by another project

For a P69.48 million riverbank protection structure in Plaridel, CoA found that “the original site was already occupied by another flood control project attributable to a different contract altogether,” and DPWH representatives could not provide supporting documents for moving the site.

In a P98.99 million slope protection and waterways project in Barangay Bambang, Bocaue, CoA reported that “historical satellite imagery shows that there was already an existing flood control structure on the approved project site as early as 29 February 2024,” meaning the accomplishments attributed to the joint venture belonged to a different project.

Another P98.99 million slope protection structure along Bocaue River in Barangay Turo, Bocaue, was similarly found to have been built at a site where “the approved site already had an earlier existing flood control structure which could not have been built prior to the Joint Venture’s receipt of the Notice to Proceed.”

Graft and corruption charges

CoA warned that those involved may face charges for graft and corruption under RA 3019, malversation, falsification of documents under the Revised Penal Code, and violations of CoA Circular 2009-001 and the Government Procurement Reform Act. The commission stressed that “the initial list of liable persons is not final and may expand as the audit progresses, or new information becomes available.”

“The audit’s findings will be crucial for the ongoing investigation conducted by the ICI against those involved in irregularities in government infrastructure projects,” CoA said.

The audits follow a directive from CoA chairperson Cordoba, who on 12 August ordered an immediate review of all DPWH flood control projects in Bulacan from 1 July 2022 to 30 May.