COA submits fraud audit report on P360-million flood control projects in Bulacan

The Commission on Audit said former and incumbent Department of Public Works and Highways (DPWH) Bulacan First District Engineering Office officials and contractors are liable for graft, malversation of public funds over P360 million worth of flood control projects which were built on an unapproved location or a repetition of a project already finished.

According to fraud audit reports that COA submitted to the Independent Commission on Infrastructure, the flood control projects include:

• P92.9 million construction of flood control Structure along Angat River at Barangay Santo  Cristo/Barangay Taal, Pulilan, Bulacan  by Syms Construction Trading
• P69.5 million construction of Riverbank Protection Structure (Package A) at Barangay Bulihan
• (Sitio Dulo), Plaridel, Bulacan by Topnotch Catalyst Builders, Inc.
• P99 million construction/improvement of Slope Protection and Waterways, Barangay Bambang, Bocaue, Bulacan by joint venture Topnotch Catalyst Builders, Inc. and Beam Team Developer Specialist, Inc 
• P99 million construction/improvement of Slope Protection Structure and Waterways along  Bocaue River, Barangay Turo (Sitio Hangga), Bocaue, Bulacan by joint venture Topnotch Catalyst Builders, Inc. and Beam Team Developer Specialist, Inc.

“These individuals and others involved may face charges for graft and corruption, malversation, and falsification of documents under the Revised Penal Code, as well as violations of COA Circular No. 2009-001 and the Government Procurement Reform Act,” COA said.

P96 million under Syms Construction Trading

COA said that during its inspection of the P96 million flood control project, Syms Construction Trading, DPWH-Bulacan officials representatives pinpointed a project site different from the approved location and failed to explain why the location of the project changed.

Before the effectivity of SYMS’s contract on February 25, 2025, COA said it also discovered that a slope-protection structure already existed at the approved location.

“COA stated in its report that this modus raises the possibility of double-counted accomplishments,” state auditors said.

COA said those found liable include District Engineer Henry C. Alcantara, Assistant District Engineer Brice Ericson D. Hernandez, Planning and Design Section Chief Ernesto Galang, Engineer III John Michael E. Ramos, Project Engineer Lemuel Ephraim SD.  Roque, Engineer II Jolo Mari V. Tayao, and Sally N. Santos of SYMS Construction Trading.

Topnotch Catalyst Builders, Inc.

As for the P69 million flood control project built by Topnotch Catalyst Builders, Inc., COA said DPWH-Bulacan officials also pinpointed a mismatched project site to COA personnel last September 16 and failed to explain the reason why the mismatch occurred.

State auditors then discovered that the original site was already occupied by another flood control project attributable to a different contract altogether, and that the structure that was pinpointed by DPWH personnel falls short of the specifications stated for the project.

As early as August 2025, COA had already issued a Notice of Disallowance to DPWH Bulacan 1st DEO for the agency’s failure to submit the disbursement vouchers and supporting documents on time.

“Those found liable include Alcantara, Hernandez, Galang and Eumir S. Villanueva  of Topnotch Catalyst Builders, Inc., as well as the company’s officers and members  of the board,” COA said.

Joint ventures

COA said the joint venture flood control projects worth P99 million each were no better since these were also built in project sites that did not match the approved location, with the DPWH personnel failing to provide any supporting documents/justification.

“COA discovered that historical satellite imagery shows that there was already an existing flood control structure on the approved project site as early as February 29, 2024 for the P99 million project in Barangay Bambang, Bocaue, Bulacan,” COA said.

Those found liable for the Barangay Bambang, Bocaue, Bulacan project include Alcantara, Hernandez, Galang, Maintenance Section OIC  Chief Jaime R. Hernandez, Project Engineer John Carlo C. Rivera, Engineer II  John Michael E. Marcos, Engineer II Claudine Magdalene S. Magsakay, Engineer II Ericka Justine P. Chico and the Joint Venture’s Allan Kevin Payawal as well as the JV’s corporate officers and members of the board.

COA said that the P99 million flood control project in Barangay Turo (Sitio Hangga), Bocaue, Bulacan, already had an earlier existing flood control structure, which could not have been built before the Joint Venture’s receipt of the Notice to Proceed.

Further, COA also found discrepancies between the original plan for the structure and what was actually built by the JV.

Those found liable for the Barangay Turo, Bocaue, Bulacan project include Alcantara, Hernandez, Galang, Ramos, Project Engineer Emelita V. Morales, J. Hernandez, Chico, Engineer II Isiah Lor V. Galang, and the Joint Venture’s Gian Carlo Galang and as well as the JV’s corporate officers and members of the board. –NB, GMA Integrated News