The Bureau of Internal Revenue (BIR) has filed criminal complaints against former Department of Public Works and Highways engineers Henry Alcantara, Brice Hernandez and Jaypee Mendoza in connection to P1.6 billion in alleged income tax deficiencies.
BIR Commissioner Romeo Lumagui Jr. on Thursday said the bureau conducted a lifestyle check on the three and found they had allegedly evaded taxes, willfully failing to supply correct and accurate information and file their respective income tax returns, in violation of the National Internal Revenue Code of 1997.
“We saw, based on the lifestyle check, the amounts they spent. We also got that from the Senate hearings. And their properties, we saw that they did not fit their actual incomes or their reported revenues and the taxes they paid,” Lumagui said.
Lumagui said Alcantara faces a tax liability of P900 million, followed by Hernandez with P600 million, and Mendoza with P180 million.
Investigation also revealed that the officials derived significant income from so-called “proponents’ shares” or kickbacks from ghost flood control projects, which they allegedly laundered by gambling in casinos.
Lumagui said that based on records of the Philippine Amusement and Gaming Corporation (PAGCOR) and various casinos, investigators confirmed that the three exchanged large amounts of cash for casino chips — far exceeding their declared sources of income.
Records from the Land Registration Authority (LRA) and Land Transportation Office (LTO) likewise showed they acquired luxury vehicles, prime properties, and other high-value assets — all grossly disproportionate to their declared incomes.
The BIR chief said the properties of the three could be seized if they still fail to pay their tax liabilities.
Lumagui said they can keep demanding payment because the debt is the officials’ personal liability until it’s settled, and that authorities will locate their properties.
Meanwhile, the BIR is also investigating government officials and private individuals allegedly involved in irregular flood control projects.
All the personalities involved will also be investigated as no one will be spared, particularly those mentioned in the probe, Lumagui said.
The filing against the DPWH officials is the second batch of criminal complaints filed by the BIR against personalities tagged in anomalous flood control projects.
Lumagui said the bureau has filed 10 criminal cases, with a total estimated tax liability of P8.86 billion, and more tax cases will be filed.