3-Day Nationwide Rally vs. Flood Projects Corruption Set for Sept. 21 to 24

Public Works Secretary Vince Dizon and Baguio City Mayor Benjamin Magalong inspect flood control projects in Barangays Calumbaya and Acao, Bauang, La Union.

3-Day Nationwide Rally vs. Flood Projects Corruption Set for Sept. 21 to 24

By Wilma Yamzon & Bing Jabadan – TheNationWeek.Com | September 17, 2025

MANILA, Philippines — Various religious, political, and civil society groups are set to hold a three-day nationwide rally in protest against massive corruption in government flood control projects.

The rally, slated for Sept. 21 to 24, seeks to hold accountable alleged corrupt contractors, legislators, engineers, and officials from the Department of Public Works and Highways (DPWH).

Church organizations joining the demonstration include the Church Leaders Council for National Transformation, Clergy for Good Governance in Batangas, Cubao, and Manila, and the Institute for Studies in Asian Church and Culture.

In the civil society sector, those participating are 1Sambayan, Action Against Violence and Exploitation, Akbayan Women, Al Mujadilla Women’s Association Inc., Alliance of Women Advancing Reform, Alyansa ng Nagkakaisang Mamamayan, ANIM-MUP 4 United PH, ANIM-TNTRio, ANIM-P4GG:KK, ANIM-RAM, Alyansa ng Samahang Pantao, Alyansa Tigil Muna, August Twenty-One Movement, Baigani Feminist Collective, and Comme, Bagong Kamalayan Prostitution Survive Collective.

Political groups in the rally include the Akbayan Partylist, Liberal Party, Magdalo, Mamamayang Liberal, and Partido Manggagawa.

In the academe are Adamson University, Miriam College – Women and Gender Institute, and the Institute for Studies in Asian Church and Culture.

135 Bank Accounts, 27 Insurance Policies Frozen

On Tuesday (Sept. 16, 2025), the Anti-Money Laundering Council (AMLC) revealed that the Court of Appeals has sanctioned the freezing of 135 bank accounts and 27 insurance policies linked to public works officials and contractors allegedly involved in questionable flood control projects.

AMLC Executive Director Matthew David disclosed that preliminary investigations suggest a possible money laundering operation misappropriating public funds allocated for flood control.

While specific account holders remain undisclosed, DPWH Secretary Vince Dizon confirmed that the accounts belong to individuals currently under scrutiny in an ongoing complaint with the Ombudsman.

Those under investigation include Sarah Discaya, Pacifico “Curlee” Discaya, and Roma Angeline Rimando, all from St. Timothy Construction, and Mark Allan Arevalo, general manager of Wawao Builders.

The freeze order also covers former DPWH officials such as dismissed assistant regional director Henry Alcantara and former district engineer Brice Hernandez, who are alleged members of the “Bulacan Group of Contractors” (BGC Boys) accused of laundering public funds through casinos.

In its petition to the Court of Appeals, the AMLC indicated that the accounts may have been used for corrupt activities.

“Initial findings suggest a possible money laundering operation involving public funds intended for flood control projects,” David said.

The AMLC is now assessing the account balances of contractors, as banks are mandated to report information within 24 hours of the freeze order.

Banks have also been directed to provide suspicious transaction reports to track withdrawals made before the freeze.

Dizon stressed that the move marks the beginning of asset freeze requests as the DPWH continues its investigation into corruption within public works.

“This is just the start. We expect many more asset freeze requests in the coming weeks and months,” he said.

He described the scale of corruption in the flood projects as unprecedented.

“We are observing a pattern of corruption that I believe is unparalleled. We will pursue the evidence wherever it leads us,” he declared.

BSP General Counsel Roberto Figueroa noted that the case is the first being applied under the Anti-Financial Account Scamming Act.

“The BSP is employing AFASA for the first time to assist other agencies in investigating and prosecuting those allegedly involved in these crimes, aiming to uphold the integrity of our financial system against criminal activities,” Figueroa said.

Asset Freezing Linked to DPWH Officials, Contractors

The AMLC has secured judicial approval to freeze the bank accounts of individuals implicated in anomalous government flood control projects.

The move aims to prevent the movement of misappropriated public funds and recover any money that may have already been transferred.

In conjunction with this, the Bangko Sentral ng Pilipinas is applying a newly enacted law to investigate financial accounts suspected of being used to divert taxpayer funds allocated for flood mitigation projects.

David reported that the Court of Appeals granted a freeze order on Sept. 16 for 135 bank accounts and 27 insurance policies linked to individuals and companies in questionable flood control projects.

The decision followed a petition submitted by the AMLC in collaboration with the Office of the Solicitor General, prompted by a letter from Dizon on Sept. 12 requesting assistance in filing the freeze petition.

The letter included the names of 20 DPWH officials and six private contractors, some of whom are currently being probed by the Senate Blue Ribbon Committee for suspected irregularities in flood control projects.

Among those listed are the so-called “BGC Boys,” alleged to have laundered billions of pesos through casinos.

They include former DPWH Bulacan district engineer Henry Alcantara, his assistant Brice Hernandez, construction unit head Jaypee Mendoza, and project engineer Arjay Domasig.

More Accounts Probed

Implicated private contractors include Ma. Roma Angeline Rimando of St. Timothy Construction Corp.; spouses Pacifico “Curlee” and Cezarah “Sarah” Discaya of St. Timothy Construction; Mark Allan Arevalo, general manager of Wawao Builders; Sally Santos, owner and manager of SYMS Construction Trading; and Robert Imperio, owner and manager of IM Construction Corp.

David explained that preliminary findings from the AMLC suggest a potential money laundering operation involving public funds designated for flood control efforts.

The freezing of accounts will begin once the banks receive the court order.

“Following the issuance of the freeze order, the AMLC will continue to enhance its investigation to ascertain the full scope of the laundering activities and identify all parties involved in these flood control projects,” David stated.

When an account is frozen, activities such as fund transfers, deposits, withdrawals, and account closures are prohibited.

Banks will then review the accounts and analyze past transactions to determine if they were utilized for illegal activities.

The findings from the evaluation will be forwarded to the AMLC.

If additional freeze orders are issued for more individuals and companies, David explained that funds withdrawn before the directive may still be subject to investigation.

Dizon expects numerous asset freeze requests in the upcoming weeks and months.

“We have received reports of significant withdrawals from various accounts belonging to contractors and their family members,” David disclosed.

“Through our processes at the AMLC, we can still trace and scrutinize the funds withdrawn by these individuals.”

BSP General Counsel Roberto Figueroa announced that the central bank has initiated a separate investigation into the bank accounts of those connected to the corruption scandal, supported by the recently enacted Anti-Financial Account Scamming Act (Republic Act 12010), also known as the AFASA law.

The investigation will focus on money-muling activities, which involve using third parties to conceal assets, an act criminalized by AFASA.

Project Examinations Underway

The growing corruption scandal has prompted Dizon to investigate additional flawed flood mitigation projects, particularly in La Union province.

Dizon highlighted a concerning trend of “substandard” projects after he and Baguio City Mayor Benjamin Magalong evaluated flood control initiatives in Bauang, La Union.

Magalong was appointed last week as adviser to the Independent Commission for Infrastructure formed by President Ferdinand Marcos Jr. to investigate project anomalies.

Substandard Projects

Following their inspection, Dizon and Magalong noted that flood control projects along the Bauang River Basin were so poorly constructed that they had deteriorated after only a few days of rain.

“Clearly, this is not a ‘ghost’ project, as there are visible constructions. However, based on my observations with Mayor Benjie, these appear to be substandard,” Dizon told reporters.

Information from the DPWH indicated that the two flood mitigation structures they inspected were valued at P89.7 million each and were awarded to Silverwolves Construction Corp.

Both projects were officially marked as completed on March 16, 2025.

“Evidently, it is not completed. We will verify that. What’s crucial here is that we are witnessing a pattern of either ‘ghost’ or substandard projects,” Dizon said.

“Another significant pattern we noted is that almost all the projects we visited lacked plans. These should serve as the foundation for assessment. We cannot evaluate a project without them,” he added.