Manila: Contractor Pacifico “Curlee” Discaya II on Tuesday revealed a scheme where some lawmakers allegedly pre-arranged Department of Public Works and Highways (DPWH) projects by ‘purchasing’ them even before the bidding process commenced.
According to Philippines News Agency, Discaya, owner of St. Gerrard Construction and several other firms, informed senators in a Senate Blue Ribbon Committee hearing that contractors were coerced into participating in sham biddings only to receive a ‘share’ for losing. He explained that the true ‘taker’ of the project is its real owner, who has already arranged with the Bids and Awards Committee (BAC) to ensure the project is awarded to them. The project may have already been bought from a congressman, and the bidding process is merely a facade.
Discaya disclosed that this scheme was widespread across the nation, with losing bidders typically receiving 1 to 3 percent of the project’s approved budget as a payoff. Members of the BAC allegedly played a direct role in favoring selected contractors by disqualifying competitors through technicalities, such as declaring documents ‘non-compliant’ or even damaging papers.
Discaya elaborated on the roles within the scheme: the ‘taker’ is the political backer who secured the project; the ‘negotiator’ arranges which contractors can participate; the ‘royalty’ lends licenses for a fee; and the ‘player’ participates only to lose in exchange for a share. He claimed that the bidding process was controlled from start to finish by BAC officials and political allies, who determine the outcome.
Despite attempts to report these practices, Discaya noted that contractors who refused to comply faced harassment, disqualification, or threats of blacklisting. He pledged to cooperate with the Senate investigation and provide records of transactions.
Meanwhile, the Regional Basic Sector Coordinating Council (RBSCC) of Central Luzon, under the National Anti-Poverty Commission (NAPC), expressed outrage over the ‘persistent and systemic corruption’ in the DPWH, citing ghost flood control projects from 2016 to 2025. In a statement on its official Facebook page, the council criticized the misuse of funds for flood mitigation and infrastructure, leaving Central Luzon more vulnerable to flooding despite the allocation of billions of pesos.
The RBSCC described the alleged corruption as a ‘direct assault on the people’ and a ‘crime against the most vulnerable communities.’ It called for a “full, independent, and fearless” investigation into the ghost projects, demanding accountability from contractors, middlemen, and high-ranking officials who allegedly facilitated the anomalies. The council urged investigative agencies, oversight bodies, and lawmakers to uncover the truth, prosecute those responsible, and recover public funds.