Philippines Launches Commission to Investigate Flood Project Scandal

The Philippine government announced on September 13, 2023, the establishment of an independent commission to investigate a growing scandal surrounding fraudulent flood control projects. The inquiry has already implicated numerous lawmakers and is intended to address what are being termed “ghost infrastructure projects.” This initiative follows heightened public scrutiny after President Ferdinand Marcos highlighted the issue during his state of the nation address in July, after a series of devastating floods.

Claire Castro, the presidential press officer, confirmed that the commission’s members have no connections to any agencies or contractors currently under investigation. The commission will focus on infrastructure projects initiated within the last decade. Castro emphasized, “As the president said multiple times, there will be no sacred cows here – even relatives, friends and allies.”

The commission includes former Department of Public Works and Highways (DPWH) secretary Rogelio Singson and certified public accountant Rossana Fajardo as its members. Benjamin Magalong, the mayor of Baguio City, will act as a special adviser and investigator. The appointment of a commission chairman is expected in the coming days, according to Castro.

The formation of this body follows serious allegations made by owners of construction firms and a former DPWH engineer, who claimed that at least 28 lawmakers and government officials were involved in the scandal. These individuals allegedly demanded kickbacks ranging from 10 to 25 percent of allocated funds for flood control initiatives.

Commission’s Powers and Legislative Context

The newly formed commission will have the authority to conduct hearings, take testimony, and gather evidence related to these allegations. An executive order issued by President Marcos outlines its powers, which include the ability to request the freezing or seizure of funds and property from individuals suspected of involvement in fraudulent projects. While the commission can gather evidence, it lacks the direct authority to take independent legal action.

In a related political development, former Philippine Senate president Francis Escudero was replaced by Vicente Sotto III amid ongoing investigations. Escudero’s name surfaced in connection with one of the country’s leading flood control project contractors, a situation he described as a “demolition job” aimed at undermining his credibility and position within the Senate.

The Department of Finance has estimated that the Philippine economy suffered losses of up to 118.5 billion pesos (approximately USD 2 billion) from 2023 to 2025 due to corruption linked to flood control projects. This significant financial impact highlights the urgent need for accountability and reform within the sector.

As the investigation unfolds, the commission’s findings could lead to substantial political and financial consequences, reshaping the landscape of infrastructure development in the Philippines. With the commitment to transparency from the government, the public awaits further developments in this critical matter.