Resigned lawmaker Zaldy Co’s alleged kickback scheme did not occur solely during the secretive bicameral conference committee but, according to the Independent Commission for Infrastructure (ICI), started from the very beginning when the budget was proposed in the National Expenditure Program (NEP).
The ICI’s interim report, which was released to the media, details these findings.
Citing the testimony of former Department of Public Works and Highways (DPWH) engineer Henry Alcantara, the ICI reported that Co proposed projects through three different channels: the NEP, the bicameral conference committee (bicam) and the unprogrammed funds.
From 2022 to 2025, Co allegedly requested a 20% to 25% share from the projects he proposed.
Under the alleged scheme, Co would have received the following portions:
NEP: A project proposed during the NEP would allegedly give Co 10%, with an additional 10% to 15% once it is approved in the General Appropriations Act (GAA), the measure that creates the national budget.
Bicam: A project proposed during the bicam would allegedly give Co 10% after the budget is submitted to the House, with the remaining 10% to 15% once the GAA is signed into law.
Unprogrammed Allocations (UA): For projects proposed under the UA, Co would allegedly request the full 25% of the kickbacks.
Both the bicam and the UA have come under scrutiny following the corruption allegations. In previous years, the bicam has been a closed-door meeting where legislators make last-minute changes to the General Appropriations Bill before it is submitted to the president.
The bicam has introduced several controversial changes in the past, including the removal of PhilHealth’s subsidy budget for 2025.
Meanwhile, the UA has also become a point of contention among lawmakers, with some describing it as a form of pork barrel. While the House of Representatives has retained the UA in their version of the budget, senators are pushing for its complete removal.
Questions have also arisen over the possibility of Co influencing projects in the NEP, particularly regarding how a lawmaker could affect projects in the executive branch’s proposed budget.
The Department of Budget and Management (DBM) is responsible for consolidating the proposed budgets of various agencies into the NEP. Together with the Development Budget Coordination Committee, it then submits the budget to Congress for months-long deliberations.
Asked for a reaction on the ICI’s findings about the NEP, the DBM told Philstar.com that politicians do not speak to the agency during the budget preparation stage.
Co is currently outside the country, and his whereabouts remain unknown. The former lawmaker is suspected of being a key figure in the massive corruption scheme uncovered in the DPWH.
The ICI has previously recommended filing charges against Co over his alleged involvement in an anomalous P289.5-million flood control project in Naujan, Oriental Mindoro.
The full ICI report can be accessed here: