Discaya-owned firms face P300-B penalties for rigging DPWH flood contracts

Construction companies owned by Pacifico “Curlee” Discaya and Cezarah Rowena “Sarah” Discaya could face fines totaling P300 billion for allegedly rigging more than 1,200 flood control contracts with the Department of Public Works and Highways (DPWH).

- BY TRIXEE ROSEL

DPWH Secretary Vince Dizon said on Friday, Oct. 3, that the nine Discaya-owned companies cornered 1,214 projects worth P77.934 billion from 2016 to 2025.

The violations prompted the revocation of their contractor licenses and the referral of two cases to the Philippine Competition Commission (PCC) for possible penalties under anticompetitive practice laws.

"The maximum penalty is P250 million per contract, so the penalty is actually higher than the value of the contracts," Dizon said.

He added that the Discayas admitted under oath during a Senate Blue Ribbon Committee hearing that their firms sometimes competed against each other for the same projects, exposing systemic manipulation that undermines public trust in government spending.