MANILA, Philippines — The Office of the Ombudsman has filed malversation and graft charges before the Sandiganbayan against former Ako Bicol party-list representative Elizaldy “Zaldy” Co and several Department of Public Works and Highways (DPWH) officials over an alleged P77-million “ghost” flood-control project in Balagtas, Bulacan.
The Ombudsman found probable cause to charge Co, eight DPWH officials and his staff members John Paul Estrada and Mark Tecsay with malversation of public funds through falsification of public documents and violation of the Anti-Graft and Corrupt Practices Act.
Records showed the riverbank protection structure along the Balagtas River in Purok 4, Barangay San Juan was declared 100-percent complete on May 2, 2025, but a subsequent inspection found that it was non-existent.
“However, upon inspection, it was non-existent,” the Ombudsman said in its resolution.
Investigators cited repeated approvals of payments despite irregularities in the Monthly Certificates of Payment and Statements of Work Accomplished, finding that these indicated the respondents’ participation in the alleged scheme.
The resolution also found implied conspiracy, alleging that kickbacks collected by DPWH official Henry Alcantara from contractors were delivered in advance to Co in exchange for having projects included in the National Expenditure Program and funded under the General Appropriations Act.
Alcantara was not included in the filing after he was admitted to the Witness Protection Program, while contractor Sally N. Santos’ perjury charge was referred back to the Department of Justice for proper disposition.
During the DOJ preliminary investigation, Alcantara and Santos were admitted to the WPP and will be granted immunity, with their testimonies to be used in the proceedings.
Separately, the Ombudsman dismissed for lack of probable cause a separate charge under Section 3(b) of Republic Act 3019, which prohibits public officials from receiving benefits or having prohibited financial interests in government transactions, against Co, Alcantara, Estrada and Tecsay.
