2 Discaya Firms In P2.4-B NBI Building Contract

The National Bureau of Investigation is turning its scrutiny inward after learning that two construction firms owned by the Discaya family – the same companies implicated in anomalous flood control projects – are the contractors of the P2.4-billion soon-to-rise NBI headquarters in Manila.

In a chance interview on Wednesday, Sept. 17, resigned NBI director Jaime Santiago confirmed that Way Maker General Contractor Opc and St. Gerrard Construction Co., both Discaya-owned, won the bidding conducted by the Department of Public Works and Highways (DPWH) for the renovation of the NBI building on Taft Avenue.

“When this issue on flood control project corruption broke out, I asked who the contractors were for our headquarters. It turned out to be two Discaya companies,” Santiago said in Filipino.

“I’m not saying there is wrongdoing, but we will investigate. What if our building is left incomplete or, worse, built with substandard materials? What if an earthquake strikes and the building collapses while we’re inside?” he asked.

Santiago said the investigation will cover whether the firms followed engineering standards, especially in the building’s foundation.

“So far, the foundation is still being laid. We will have engineers check if the depth is correct. For example, if it should be 20 feet but only goes three feet deep, that would be a problem,” he added.

Santiago said the NBI will coordinate with DPWH Secretary Vivencio Dizon on whether construction should be suspended once the investigation begins.

The project started in 2023 under the watch of Santiago’s predecessor, former NBI director Medardo de Lemos. Originally targeted for completion by 2027 or 2028, construction remains at “ground zero.”

“This is our house, our building. We will investigate on our own initiative,” Santiago said.

He acknowledged that the involvement of Discaya-owned companies in the project could further delay the NBI’s long-awaited move to its new headquarters.

The Discaya family, through its firms, has been linked to billions worth of questionable flood control projects flagged by the government.

Now, the irony looms large: the agency probing the alleged anomalies may soon be housed in a building constructed by the same firms under investigation.

Positive results

The NBI’s investigation has yielded “positive results, so far, for the people” as it prepares to submit reports on ghost and substandard flood control projects in Bulacan and Oriental Mindoro before the Department of Justice (DOJ).

The NBI has also identified up to eight contractors with “interlocking” boards of directors, based on documents from the top 15 firms that bagged the most deals nationwide, obtained from the Securities and Exchange Commission (SEC).

“There will be an investigation, we will coordinate with prosecutors and then case build-up,” Santiago said.

Malacañang said on Tuesday, Sept. 16, that both the DOJ and the NBI would work alongside the newly formed Independent Commission for Infrastructure (ICI) to support the three-member body in the probe.

For its part, the DOJ has established the Public Works Corruption and Bid-Rigging Task Force to look into anomalies and bid-rigging in flood control projects, with the NBI’s Public Corruption Division acting as lead investigator.

According to the resigned NBI chief, engineers and accountants are part of the task force to provide technical expertise.

Santiago said the bureau is mandated to go after anyone the ICI directs them to, even if that individual is a politician. “We will only show honest-to-goodness results to the public.”

On Monday, Sept. 15, Justice Secretary Jesus Crispin Remulla cited the NBI’s discovery of at least three ghost flood control projects worth P100 million each, using the coordinates provided on the Sumbong sa Pangulo website.

It is also coordinating with the SEC and Anti-Money Laundering Council to trace irregularities involving top contractors.

“A, B, C, D, E contractors have the same set of officers, so we are seeing how the bidding process is rigged,” Santiago said, adding, “No matter who wins, the same officer still benefits.”

Santiago noted the NBI has the capability to detect public funds funneled outside of normal bank transactions.

He also assured the public that investigators are not only of high caliber but also of high integrity, yet admitted that the probe faces significant obstacles from “powerful people” that he did not specify.

Despite this, Santiago expressed confidence that, with the backing of the President and the public, “we should proceed come what may.” – With EJ Macababbad