Between July 2022 and May 2025, the first three years of President Ferdinand Marcos Jr.’s administration, the government funded 9,855 flood-control projects worth over ₱545 billion.
These projects, meant to protect Filipinos from worsening floods, have instead fueled a storm of controversy: unfinished or substandard works, contractors flaunting lavish lifestyles, and politicians tied to firms that raked in billions.
“Mahiya naman kayo,” Marcos thundered in his State of the Nation Address (SONA) last July, shaming contractors and officials accused of pocketing kickbacks from failed flood-control projects.
Senator Panfilo Lacson added more fire, claiming that up to 60% of infrastructure funds go to “commissions” for legislators, DPWH officials, auditors, and brokers. “The pie-sharing varies depending on the level of greed,” he said in a recent privilege speech.
The Philippine Center for Investigative Journalism (PCIJ) analyzed thousands of flood-control contracts, corporate records, and budget documents. Their findings paint a troubling picture of political capture and profiteering.
1. The “King and Queen of Flood Control”: The Discaya couple
At the top of the list is billionaire couple Pacifico “Curlee” II and Cezarah “Sarah” Discaya of Pasig. Their family controls at least six construction companies — Alpha & Omega, St. Timothy, St. Matthew, Great Pacific, St. Gerrard, and Way Maker.
Together, they secured 345 projects worth ₱25.2 billion, more than triple the ₱8.6 billion allocated for housing and community amenities in the 2025 budget.
Adding three other Discaya-linked firms — YPR, Elite, and Amethyst Horizon Builders — brings the total to 421 projects worth ₱31 billion.
Discaya-founded and linked companies (PCIJ data):
| Contractor | Projects | Project Value |
|---|---|---|
| Alpha & Omega Gen. Contractor & Dev’t Corp. | 103 | ₱7.3B |
| St. Timothy Construction Corp. | 101 | ₱7.0B |
| St. Matthew Gen. Contractor & Dev’t Corp. | 54 | ₱4.1B |
| Great Pacific Builders & Gen. Contractor Inc. | 45 | ₱3.6B |
| St. Gerrard Construction Corp. | 24 | ₱2.3B |
| Way Maker General Contractor OPC | 11 | ₱219M |
| Other linked firms (YPR, Elite, Amethyst) | 76 | ₱5.7B+ |
Total: 421 projects, ₱31 billion
The Discayas flaunt their wealth on television and social media, showing a multistory mansion adorned with chandeliers, crystal statues, and a garage of 40+ luxury vehicles worth up to ₱465 million.
2. The Co family of Bicol: Flood control royalty in Congress
If the Discayas rule the contracting world, the Co political dynasty of Bicol reigns in Congress.
Rep. Elizaldy “Zaldy” Co, former chair of the House appropriations committee, wielded power over the national budget — including flood-control allocations. During his term, companies tied to his family secured ₱15.7 billion in projects.
Co-founded and linked companies (PCIJ data):
| Contractor | Projects | Project Value |
|---|---|---|
| Sunwest, Inc. | 79 | ₱10.1B |
| Hi-Tone Construction & Dev’t Corp. | 57 | ₱4.4B |
| FS Co Builders & Supply | 9 | ₱699M |
| Hi-Tone/FS Co joint ventures | 4 | ₱427M |
Total: 149 projects, ₱15.7 billion
Their niece, Claudine Co, is a luxury vlogger-influencer whose lifestyle — private planes, Paris apartments, and a ₱25-million Mercedes-Benz — mirrors her family’s political fortune.
The Cos formally divested from their firms upon entering Congress, but PCIJ found continuing links through relatives, subsidiaries, and affiliates.
3. Lawmakers investigating… themselves?
The Senate and House are both investigating anomalous flood-control contracts. But PCIJ identified at least 18 lawmakers with direct ties to contractors.
Among them:
- Sen. Francis Escudero — tied to Centerways Construction, a major donor to his 2022 campaign.
- Sen. Bong Go — linked to CLTG and Alfrego Builders, owned by his relatives.
- Rep. Elizaldy Co (Ako Bicol) — founder of Sunwest and Hi-Tone.
- Rep. Bryan Revilla (Agimat) and Rep. Lani Mercado-Revilla (Cavite 2nd District) — tied to Graia Construction Corp.
- Rep. Caroline Agyao (Kalinga) — her husband’s family owns BHM Construction.
- Rep. Augustina Pancho (Bulacan 2nd District) — her family owns C.M. Pancho Construction.
This creates a stark conflict of interest. As Baguio Mayor Benjamin Magalong bluntly said: “Some lawmakers are paid 30–40% of contract costs by well-connected firms.”
4. Top contractors, poor performance
Of the 15 biggest flood-control contractors, 11 have checkered records.
PCES (Construction Performance Evaluation System) ratings show many received “poor” or “unsatisfactory” scores, which should disqualify them from future bidding.
Notable examples:
- Legacy Construction (₱9.5B projects) — four poor ratings; owner previously faced graft charges.
- Sunwest (₱10.1B projects) — poor ratings in Albay; linked to overpriced DepEd laptops and quarrying violations.
- St. Timothy (₱7.3B projects) — built a defective Navotas floodgate; pulled out of an election materials supply deal amid conflict-of-interest concerns.
- QM Builders (₱7.6B projects) — accused of causing landslides and flooding.
5. Unequal flood control: Mindanao left behind
Despite Mindanao having the largest flood-prone land areas, its provinces received the least funding.
Funding distribution (PCIJ analysis):
| Province/Area | Projects | Value (₱) | Land Area (sq km) |
|---|---|---|---|
| Metro Manila | 1,058 | ₱52.5B | 620 |
| Bulacan | 668 | ₱43.7B | 2,784 |
| Pampanga | 292 | ₱14.3B | 2,065 |
| Pangasinan | 313 | ₱13.6B | 5,451 |
| Maguindanao (5th most flood-prone) | 37 | ₱2.5B | 10,144 |
| North Cotabato | 68 | ₱3.5B | 9,317 |
| Tawi-Tawi | 0 | ₱0 | — |
Metro Manila, 16 times smaller than Maguindanao, got 20 times more flood-control funding.
