Tax evasion case filed vs. BGC boys
A tax evasion case was filed against several former officials of the Department of Public Works and Highways (DPWH) First Engineering District in Bulacan, or the so-called “BGC Boys” or “Bulacan Group of Contractors.”
Sandra Aguinaldo’s report on “24 Oras” looks into the lifestyle of the former DPWH engineers based on their Statement of Assets, Liabilities, and Net Worth (SALN) obtained by GMA Integrated News Research.
GMA Integrated News Research found that former Bulacan First District engineer Henry Alcantara did not declare any real property, even his own home and land, since 2019.
Former assistant engineer Brice Hernandez did not also declare his luxury cars in his SALN.
The largest amount that he declared for his cars was P15.8 million, which is far from the value of his surrendered Lamborghini Urus, which is worth P30 million. This is apart from the GMC Yukon Denali he surrendered, which is priced at P12 million.
The Bureau of Internal Revenue (BIR) said that the lifestyle of the so-called BGC Boys does not match their income.
This is why the BIR filed tax evasion charges against Alcantara, Hernandez, and former Assistant District Engineer Jaypee Mendoza this month, following a lifestyle check on them.
“Yung asset na nadeklara ibabangga natin doon sa buwis or income na idineklara. At kung tumutugma ba yung buwis na ibinayad or income na dineclare nila ay tumutugma sa capacity nila nag mag-acquire ng assets na ‘yon,” said BIR Commissioner Charlito Mendoza.
(The asset that was declared, we will compare that against the tax or income that was declared. And whether the tax they paid or the income they declared matches their capacity to acquire those assets.)
In Alcantara's SALN, his net worth of over P6.4 million in 2019 climbed to P17.7 million in 2024. This is almost a 176% growth in wealth.
Meanwhile, Hernandez experienced a significant financial increase, with his declared net worth soaring by over 250% from 2019 to reach ?28.7 million in 2023. However, his net worth decreased substantially to approximately ?8.7 million in 2024, a decline attributed to a ?20 million bank loan he had incurred.
Mendoza’s net worth, on the other hand, increased by more than 226% from an initial value of over ?10 million. He subsequently declared a net worth exceeding ?33.6 million.
The "BGC Boys” have reportedly admitted that they received kickbacks from flood control projects in Bulacan. They claim these funds came from budget insertions made by certain lawmakers, and that the total amount of money involved in this sharing scheme is estimated to be in the billions of pesos.
An expert said that among the things that should be monitored in the SALN is the increase in the wealth of a government employee and whether it matches their income.
“Ang SALN nila na dineclare kahit tumaas significantly from P8 million to P28 million, or P8 million to P18 million, parang hindi naman ganoon kataas yung increase. But compared to yung lifestyle nila, at ang dami nilang luxury vehicles, parang hindi naman equivalent yung pag-increase ng kanilag SALN,” said former UP National College of Public Administration dean Maria Fe Mendoza.
(The SALN they declared, even if it increased significantly from P8 million to P28 million, or P8 million to P18 million, the increase doesn't seem that high. But compared to their lifestyle, and the number of luxury vehicles they have, the increase in their SALN does not seem equivalent to their spending.)
“Ang dami nilang luxury vehicles, lahat ba ‘yun nakapangalan sa kanila? So hindi lahat ipapangalan sa kanila.”
(They have many luxury vehicles, are all of them registered under their name? So, not all of them will be registered under their name.)
Mendoza added that it’s not sufficient that one only files his SALN, it must be verified if everything declared on it are true.
“Yung SALN hindi lang siya dapat na siya lang yung instrument against corruption. Ang kaakibat nito dapat ay yung lifestyle check,” she said.
(The SALN should not just be the sole instrument against corruption. It must be accompanied by a lifestyle check.) —Vince Angelo Ferreras/LDF, GMA Integrated News