Two House of Representatives lawmakers on Wednesday called on Commissioner Mario Lipana of the Commission on Audit (COA) to resign, amid the discovery that his wife is a contractor doing business with the government and allegations that he received funds from flood control projects.
During the discussions on COA’s proposed 2026 budget at the plenary, Mamamayang Liberal party-list Rep. Leila de Lima and ACT Teachers party-list Rep. Antonio Tinio called on the current COA leadership to ask Lipana to tender his voluntary resignation.
Lipana was named by former Undersecretary Roberto Bernardo of the Department of Public Works and Highways (DPWH) as among those who allegedly took cuts from allocations intended for infrastructure projects.
‘So how then do we reconcile the sacred mandate with the testimonies made during the Senate blue ribbon committee hearing directly implicating a sitting COA commissioner – Mario Lipana – in the 25 percent commission scheme involving DPWH flood control projects?’ de Lima asked.
‘Of course, there is still the presumption of innocence, this remains to be allegations, but given the fact that he’s supposed to be a high official in the commission, supposed to be the independent fiscal watchdog of our country, and we cannot afford to have that particular issue surrounding a commissioner taint the Commission,’ she added.
According to de Lima, she had asked COA Chairperson Gamaliel Cordoba to talk to Lipana, who is on a medical leave from August 1 to October 31, to just resign.
If Lipana does not resign, de Lima said there will be no other choice but to initiate impeachment proceedings against him, as the official is supposedly dragging down COA’s reputation.
‘I have told Chairperson Cordoba, actually urged him to talk to him and convince him to tender his resignation given the conflict of interest situation borne out of the reports about the fact that his wife appears to be, or has been confirmed to be, a contractor,’ de Lima said.
‘And that’s why I was urging the Chairperson to talk to the Commissioner to, if he can tender his resignation or apply for early retirement, because his scheduled retirement would be in 2027. This is better than forcing us to initiate impeachment proceedings against him, because as an impeachable official, he can only be removed via impeachment proceedings,’ she added.
Tinio, on the other hand, stressed that Lipana violated provisions of the 1987 Constitution – specifically Article IX, Section 2 – states that no constitutional commission member should be directly or indirectly in contract with franchises or privileges granted by the government.
‘It is clear, again, under the constitution, no member of a constitutional commission shall during his tenure hold any other office or employment, neither shall he engage in the practice of any profession or in the active management or control of any business which in any way be affected by the functions of his office, nor shall he be financially interested directly or indirectly in any contract with, or in any franchise or privilege granted by the government,’ Tinio said.
‘So again, what I am saying is, there should be no direct or indirect financial interest for any commissioner of a constitutional commission, and this includes COA,’ he added.
According to Tinio, Lipana should consider the welfare of COA as an institution.
‘My point is that it is clear that there is a constitutional violation, we prohibit this, and yet Commissioner Lipana is still there. So once again, Mr. Speaker, we strongly call on the commissioner to consider the status of COA as an institution, because its credibility has been badly damaged as we have a commissioner whose wife is one of the flood control contractors,’ he said.
‘That’s why again, our call is that Commissioner Lipana should resign immediately so that we can regain and restore the credibility and reputation of COA,’ he added.
Medical leave
De Lima also asked the budget sponsor, Davao del Sur Rep. John Tracy Cagas, if Cordoba has discussed with Lipana her advice – that Cordoba talk with Lipana about the voluntary resignation.
In response, Cagas said that Cordoba has yet to discuss the issue with Lipana because the latter cannot speak due to his medical condition.
‘So has the Chairperson done that already? Talked to him about it, the possibility of tendering resignation or early retirement?’ de Lima asked.
‘Mr Speaker, the Chair has not conversed with the mentioned commissioner, Mario Lipana, for the reason that Commissioner Lipana cannot talk, the cause of which is stated in a medical certificate,’ Cagas replied.
‘He cannot talk. So is he in the hospital? He does not have someone to watch over him? Can’t we do it through a written communication or an exchange of communication with him?’ de Lima asked again.
De Lima said she does not want to sound insensitive as it seems that Lipana is facing a serious medical issue, but public interest should be upheld at all times.
The spotlight on flood control projects came after Marcos’ speech at his fourth State of the Nation Address, where he condemned government officials and firms who allegedly earned kickbacks at the expense of people suffering from heavy flooding even during mild rain showers.
Marcos said these officials and contractors should be ashamed of themselves.
Eventually, Marcos inspected different flood control projects that were labeled completed – which he later found out to be either substandard or completely non-existent.
Both the House and the Senate investigated the issue, but eventually, senators and House members were dragged into the discussions.
At the Senate blue ribbon committee hearings, several lawmakers were name-dropped by contractor-couple Pacifico ‘Curlee’ Discaya and Cezarah ‘Sarah’ Discaya for allegedly receiving kickbacks from the projects.
Then during the House tri-committee hearing, former Bulacan assistant district engineer Brice Hernandez said that Senators Joel Villanueva and Jinggoy Estrada brought funds to Bulacan’s first district for anomalous flood control projects, where the two senators asked for a 30 percent cut from the project cost.
Lawmakers, along with Villanueva and Estrada, separately denied these accusations.
But eventually, former Bulacan district engineer Henry Alcantara tagged Villanueva, former Ako Bicol party-list Rep. Elizaldy Co, former senator Bong Revilla, and Bernardo as allegedly involved in the kickbacks scheme for infrastructure projects.