AMLC: Zaldy Co received P802M from flood project contractor

Former House appropriations committee chairperson and Ako Bicol party-list Rep. Zaldy Co received P802 million from Sunwest Construction, the contractor of the alleged ghost P289-million flood control project in Naujan, Oriental Mindoro, a witness from the Anti-Money Laundering Council (AMLC) said Tuesday.

Lawyer Jan Mark Busa of the AMLC, testifying for the prosecution, disclosed this during the trial proper of the malversation case against Co and 15 others before the Sandiganbayan Sixth Division.

Busa said Co received the P802 million through check deposits drawn from Sunwest accounts from 2019 to 2025.

The period covers Co’s tenure as an Ako Bicol party-list representative. As a public official, he is prohibited by law from having business interests.

Ombudsman prosecutors later told reporters that Co’s receipt of P802 million from Sunwest supports their claim that he remained the company’s beneficial owner and did not divest, contrary to his earlier statements.

“Co has no direct participation in the transaction [of the project] because the one contracting with the DPWH is Sunwest. But the fact that he’s the beneficial owner, which we are trying to prove, essentially shows that the benefits and amounts [from Sunwest] went to him,” the prosecution panel said.

Co and his co-accused, who are Sunwest officials, remain at large.

Meanwhile, his co-accused, who are former officials of the Department of Public Works and Highways (DPWH), are detained in Quezon City jail facilities.

Counsels for the nine DPWH officials opted not to cross-examine Busa, saying his testimony pertained only to Co and not to their clients.

Seizure of Co’s assets

In March, the Sandiganbayan ordered the seizure of at least 16 properties owned by businessman Zaldy Co in connection with the malversation and graft charges he faces over an alleged substandard flood control project in Oriental Mindoro.

The move aims to secure the potential payment of P215 million in civil liability should Co be convicted.

The order came after the anti-graft court granted the prosecution’s ex parte motion for the issuance of a writ of preliminary attachment against Co and his wife, Mylene, covering the 16 real estate properties.

The properties include:

Seven land properties (lots/house and lot):

• 1,212 sq m — Makati City
• 776 sq m — Pasig City
• 300 sq m — Quezon City
• 150 sq m — Lipa City, Batangas
• 125 sq m — Quezon City
• 100 sq m — Makati City
• 66 sq m — Quezon City

Five condominium units:

• 276 sq m — Pasig City
• 132 sq m unit with two parking slots — Makati City
• 109 sq m — Pasig City
• 70.869 sq m unit with 12.50 sq m parking — Pasig City
• 73.89 sq m — Makati City

Four condominium parking slots:

• Located in Pasig City, each measuring 12.50 sq m

“We grant the prosecution’s motion. The present case squarely falls within the ambit of Section 2(b), Rule 127, as it is predicated on a claim involving public funds allegedly embezzled, fraudulently misapplied, or converted by the accused Department of Public Works and Highways officers in conspiracy with the accused Co,” the Sandiganbayan said. —MCG, GMA News