Discayas name politicians allegedly involved in flood control mess, express willingness to become state witnesses

Top government contractors Sarah and Curlee Discaya on Monday, Sept. 8, accused several congressmen and officials of the Department of Public Works and Highways of being involved in corruption in flood control projects.

Alleging that these officials forced them to join such initiatives, the couple expressed willingness to become state witnesses, claiming to expose more anomalies.

During the Senate Blue Ribbon Committee Hearing, Curlee, in his sworn statement, mentioned the following officials who allegedly get a kickback ranging from 10% to 25% in projects:

• Quezon City 1st District Rep. Arjo Atayde
• Quezon City 3rd District Rep. Reynante Arrogancia
• Quezon City 4th District Rep. Marvin Rillo
• Quezon City 5th District Rep. Patrick Michael Vargas
• Quezon City 6th District Rep. Marivic Co-Pilar
• Caloocan 3rd District Rep. Dean Asistio
• Pasig Rep. Roman Romulo
• Marikina Rep. Marcy Teodoro
• San Jose del Monte, Bulacan Rep. Florida Robes
• Laguna 4th District Rep. Benjamin Agarao Jr.
• Romblon Rep. Eleandro Jesus Madrona
• Occidental Mindoro Rep. Leody "Odie" Tarriela
• Zamboanga Sibugay 2nd District Rep. Antonieta Eudela
• USWAG Ilonggo Party-list Rep. Jojo Ang
• AGAP Party-list Rep. Nicanor Briones
• Former Office of the Presidential Assistant for the Visayas Usec. Terence Calatrava
• Former Aklan 2nd District Rep. Teodorico Haresco Jr.
• Former An Waray Party-list Rep. Florencio Gabriel Noel

Curlee claimed that the following officials imposed the 25% kickback on him and his wife:

• DPWH Region V Regional Director Virgilio Eduarte
• Unified Project Management Offices Director Ramon Arriola III
• DPWH Bulacan 1st District Engineer Henry Alcantara
• DPWH Visayas Usec. Robert Bernardo
• DPWH Metro Manila 1st District Engineer Aristotle Ramos
• DPWH North Manila DEO District Engineer Manny Bulusan
• DPWH Bulacan Sub-DEO District Engineer Edgardo Pingol
• DPWH Quezon 2nd DEO District Engineer Michael Rosaria

“Paulit ulit kaming ginamit ng mga nasa pwesto sa sistemang ito," Curlee said. "Wala kaming magawa dahil kung hindi kami makikisama, gagawan nila ng problema ang project na na-award sa amin sa pagitan ng mutual termination o pagkakaroon ng right of way problem na parehong nagdudulot ng hindi matuloy ang implementasyon ng mga proyekto."

“Matapos naming manalo sa mga bidding, may mga opiysal mula sa DPWH ang lumalapit sa amin para humingi at kumuha ng bahagi niya sa halaga ng proyekto. Ang hinihingi nilang porsyento ay hindi bababa sa sampung porsyento at umaabot pa ng 25% na naging kondisyon upang hindi maipit ang implementasyon ng programa,” he added.

Curlee said he and his wife are willing to become state witnesses and supposedly tell everything they know about the alleged corruption.

"Handa kaming tumestigo na walang pilit at kusang loob bilang state witnes at sabihin ang lahat ng nangyayaring katiwalian ng Kamara, DPWH, at iba pang mga kawani ng gobyrno para gawin ang tama," he said.

He also asked Committee Chair Sen. Rodante Marcoleta and President Ferdinand "Bongbong" Marcos Jr. for protection amid supposed claims on their lives.

Hard to beat the system?

In the couple's joint sworn statement, Sarah claimed that their construction firm, St. Gerrard Construction, which they had founded in 2003, participated in private construction projects before entering the government's.

She pointed out that they joined fair bidding processes.

After some time, Sarah said she and Curlee decided to establish more companies, including Alpha & Omega Gen. Contractor & Dev’t Corporation.

As time went by, she claimed that district engineers, DPWH regional directors, and congressmen's chiefs of staff approached them for projects.

"Noong una, sinubukan naming labanan ang mga ito sa pamamagitan ng pagrereport sa DPWH at pagpapadiyaryo ng mga tiwaling kawani ng gobyerno, subalit hindi sila natitinag sa mga ito," she said. "Sabi nila, dapat tanggapin namin ang realidad na dapat kaming magbayad sa mga mambabatas kung gusto namin magpatuloy na magkaroon ng projects sa gobyerno. Kung hindi, binabalaan nila na matatanggal sa listahan ang kumpanya namin at di na makakakuha ng kahit anong proyekto."

Sarah claimed that they only carried on out of need to provide for their family and to keep their employees on payroll.

"Dahil sa aming paglaban sa mga tiwaling bidding, maraming beses na naming naranasan na ma-disqualify ng bids and awards committee ng DPWH na hawak ng mga mambabatas na nagpondo sa proyekto," she claimed. "Dahil naiipit na ang aming negosyo, lumulubog na kami sa lumalaking utang ng kumpanya at peligro sa buhay ng aming pamilya, napilitan kaming makisama sa kalakaran kahit labag sa aming kalooban."

Co, Romualdez dragged into the mess

Later on, Curlee claimed that the DPWH officials he had mentioned say the money is meant for Ako Bicol Party-list Rep. Zaldy Co, who's also the chief executive officer of the Sunwest Group of Companies. The company was among the top 15 construction firms that secured contracts with the DPWH for P100 billion worth of flood control projects nationwide over the last three years.

"Karamihan sa mga kawni ng DPWH na nabanggit sa itaas ay paulit-ulit na binabanggit ang delivery ng pera ay para kay Zaldy Co, na dapat ay at least 25%," Curlee said.

Curlee also claimed that Rillo always mentions the name of House Speaker Martin Romualdez as a close friend.

"Sinasabi pa ni Cong. Rillo na lahat ng kanyang request para sa pondo ay galing pa mismo sa unprogrammed funds at insertions na inaaprubahan ni Speaker," he said.

Romualdez denied the claim, calling it "false, malicious, and nothing more than name-dropping."

"Let me be clear: Wala akong kinalaman, wala akong pahintulot, at wala akong basbas sa mga ganyang gawain," he said.

"Congress debates and approves the budget. It does not release funds. It does not implement projects. That is the sole duty of the Executive and agencies like the DPWH. If anyone involved my name, they did so without my knowledge and consent. At kung ginawa nila 'yun para kumita, sila ang mandaraya at sila ang dapat managot."

"I have never, and I will never, accept a bribe from anybody. Walang sinuman ang kayang manuhol sa akin. Alam 'yan ng lahat ng House Members," he stressed. "I am self-made, and I have been blessed with the trust of the Filipino people. I do not need—and will never allow myself—to be corrupted by money that does not belong to me."

Sen. Erwin Tulfo asked Curlee how much money was being taken from the projects.

"Iisa lang po ang pattern, insertion or unprogrammed, 25% po lagi," he said. "Lagi kong naririnig na salita, para kay Speaker at kay Zaldy Co."

Asked whether the names Curlee mentioned personally approached him for the money, he said the officials usually send their assistant men, citing Romulo, Ramos, Madrona, and Teodoro as examples.

Curlee recalled talking to Calatrava in his condo in Makati, and the latter soon had a staff who allegedly got the money from Curlee's office.

"Kadalasan po, ako ang nagbibigay. Minsan, may inuutusan ako, nagtatawagan lang kami," he said.

Curlee also directly gives it on certain occasions, such as when having drinks with Rillo.

Asked if he can prove his claims through documentation, Curlee claimed there the transactions have no paper trail.

He, however, said there's a ledger containing the amount of money the mentioned officials received.

"Ledger lang po sa office namin 'yun, pero kumbaga, di sila pipirma doon. Para lang matandaan namin na noong panahon na ito at araw na ito, nagbigay kami ng ganitong halaga. Records lang po namin," he said.

Tagged politicians deny corruption claims

During the hearing, Curlee claimed that Eduarte returned the money to him three days ago.

"Mukhang naramdaman niya na magasalita na ako, kaya isinauli niya ang 25% (kickback) plus parking fee, kulang pa nga," he said. "'Yung engineer/driver niya ang nagsauli."

Eduarte, during the hearing, denied Curlee's claims.

"No, I did not return any money to him," he said.

Alcantara also slammed Curlee's accusations, saying, "I respectfully deny... 'yung sinasabi niya pong 25% (kickback)."

Romulo likewise denied the corruption claims. "Not true. I'm just chairing a committee meeting," he told ABS-CBN News.

Teodoro, meanwhile, said he didn't have a relationship with or influence over DPWH at the time.

He also noted that his name was dragged into the issue after he exposed the DPWH project in the 2026 National Expenditure Program.

"Malinaw pa sa sikat ng araw na ito ay diversionary tactics ng mga sindikato para malihis sa tunay na issue ng corruption and anomalies sa flood control project ng DPWH," he said.

Teodoro pointed out that he wasn't congressman yet when contracts were awarded to the Discayas, as it was still the late Bayani Fernando in charge.

"In fact, ang mga DPWH projects na napunta sa mga Discaya ay bago pa ako maupo bilang congressman—around 2020 or 2021, hindi 2022 pataas," he said.

"Kaya malinaw na ang mga akusasyong ito ay mali, malisyoso, at walang ibang layunin kundi sirain ang pangalan ko at ang tiwala ng mga taga-Marikina sa akin."

Teodoro said he's contemplating filing charges against the Discayas, including perjury.

Madrona also said he's strongly denying Curlee's claims.

"I strongly deny the accusation, sinasabing statement ni Curlee ng mga Discaya na kesyo na kasama ako doon sa nagdedemand sa kanila, wala ako dinidemand sa kanila,” Madrona told ABS-CBN News.

Madrona, however, admitted to visiting the Discayas to request donations for the construction of a church.

“Yung sinasabi nilang pagbisita ko, wala naman siyang binigay sa akin. But that was to request for the donation ng sa simbahan," he said.

Tarriela vehemently denied Curlee's claims, saying he received no money or favors from the latter.

"Ang pagpapatuapd ng mga proyektong pang-imprastraktura ng pamahalaan ay tungkulin lamang ng Department of Public Works and Highways," he said in a statement. "Hindi natin alam at wala tayong kinalaman sa anumang proseso nito."

Tarriela pointed out that the only role of congressmen is to propose projects—such as roads, bridges, multipurpose buildings, classrooms, markets—that barangays or cities request to be inserted into the General Appropriations Act.

"Ang pagtukoy at pagpapapondo ng malalaking national government projects tulad ng flood control ay trabaho ng DPWH Regional o National Office, at hindi ng congressman," he added.

Co-Pilar also denied Curlee's claims in a text message sent to ABS-CBN News.

Vargas also did the same, noting that the Discayas had no projects in their district. "Zero. This is confirmed and certified," he said.

Robes, meanwhile, she'd file a libel case against Curlee.

"Kitang-kita naman ng marami kung gaano na kaganda ang San Jose del Monte ngayon. Walang ghost project dito at pang-world class ang aming mga infrastructure," she added.

Atayde on Instagram Story categorically denied Curlee's accusations.

"I categorically deny the allegation that I benefited from any contractor," he said. "I have never dealt with them. Hindi po totoo ang mga akusasyon na ito. I have never used my position for personal gain, and I never will. I will avail of all remedies under the law to clear my name and hold accountable those who spread these falsehoods."

Atayde's wife, Maine Mendoza, also came to his defense and called out Curlee's "baseless allegations."

"Please refrain from throwing hate and personal attacks at him, including me and our family until facts come out," Mendoza said on X. "I am with my husband in this. Wala siyang ginagawang masama sa loob. He has been doing his best to serve the people of his district in Quezon City since the beginning. I sincerely hope and pray that the people who are TRULY responsible will be held accountable and that innocent individuals be spared from this mess. Napaka-unfair."

Fraud audit reports handed over, referral for investigation made

Newly appointed DPWH Sec. Vince Dizon and Commission on Audit Chairperson Gamaliel Asis Cordoba handed over fraud audit reports, as well as a referral for investigation and filing of criminal charges before the Office of the Ombudsman in Quezon City.

The complaints were filed against government officials and private construction firms allegedly involved in multiple anomalous flood control projects implemented by the DPWH Bulacan First District Engineering Office.

Alcantara on Sept. 4 has been officially dismissed amid ghost flood control projects in the province.

Alcantara approved several flood control projects in his area, including a P55 million reinforced concrete river wall in Brgy. Piel in Baliuag.

Marcos inspected the project on Aug. 20 and noted it was a ghost project. The government has already paid P43.4 million to the contractor SYMS Construction Trading, plus another P5.9 million.

Marcos told reporters covering his inspection that he's "very angry" with what's happening there.

The project's actual start date indicated was Feb. 2, 2025, and the contract expiry date was Oct. 22, 2025. Yet Marcos said that the report stated the project was already completed and fully paid for in June.

During the House infrastructure committee hearing on Sept. 2, Alcantara was quizzed about his background before becoming a DPWH contractor. He said he earned his engineering degree from the University of Santo Tomas before working as a job order employee at the DPWH in 1994.

In 2019, then-DPWH Sec. Mark Villar appointed Alcantara as the district engineer of Bulacan's first engineering district.

Data from the Sumbong ng Pangulo website showed that Alcantara's office had the largest project cost among the DPWH's implementing offices, with 450 flood control projects worth P28.9 billion from 2022 to 2025.

Alcantara handled 13 localities in Bulacan, including the flood-prone Hagonoy, Baliwag, Calumpit, and Malolos. He also signed two more contracts for other questionable flood control projects in Bulacan: one with Sarah Discaya's St. Timothy Construction Corporation worth P94.6 million and another with Wawao Builders worth P74.6 million.

Massive flooding in July

The issue in the government's flood control projects began in July as the rains triggered massive flooding in the metro.

Economist JC Punongbayan, in a Facebook post, questioned why flooding persists despite having billions of pesos in flood control allocations over the years.

Using data from the Department of Budget and Management, he shared a graph showing the steadily increasing flood control allocations: P141.6 billion in 2021, P209.9 billion in 2022, P282.5 billion in 2023, and P351.3 billion in 2024. This year’s allocation stands at P349.4 billion and, despite being less than the previous year’s allocation, Punongbayan noted it’s still roughly a third of the national infrastructure budget.

“Bakit grabe pa rin ang baha?” he asked. “Bakit parang hindi ramdam ang pagbuhos ng budget sa flood control systems?”

At the time, Sen. Ping Lacson told dzBB that since 2011, about P1 trillion allocated for flood control projects may have been lost to corruption.

Adding to the national attention and outrage over the anomalies was how internet users noticed several children of politicians and contractors, branding them as "nepo babies," who flex their designer clothing and fly to different countries in seemingly unapologetic fashion—and even vlogging about their comforts.

The matter has become so alarming that many celebrities and personalities have decided to speak up.