Philippine National Police (PNP) acting chief Lt. Gen. Jose Melencio Nartatez Jr. has expressed openness to the possibility of the national government offering a reward for the capture of ex-Rep. Zaldy Co.
Meanwhile, the Securities and Exchange Commission (SEC) has revoked the corporate registrations of two construction firms owned by the contractors Curlee and Sarah Discaya for submitting false beneficial ownership information.
Nartatez said they have been working closely with the Department of the Interior and Local Government and the Office of the President on all possible measures to fast-track efforts to locate and arrest the former lawmaker.
Malacañang earlier disclosed that it is amenable to offering a reward for information leading to the arrest of Co, who is facing corruption and malversation charges tied to flood-control project irregularities. He is believed to be hiding in Portugal.
The PNP is currently studying the implications of recommending a bounty while reinforcing its manhunt operations in coordination with the NBI, AFP, and local government units.
“At this point, the Philippine National Police has not yet made a formal recommendation but we are ready to support whatever policy decision the national government may take. Our focus remains on locating and arresting Zaldy Co using all legal means available,” Nartatez said.
A reward system, he explained, may widen the scope of actionable information from communities.
The SEC’s Enforcement and Investor Protection Department in separate resolutions issued last Nov. 26, cancelled the certificates of incorporation of St. Timothy Construction Corp. and St. Gerrard Construction General Contractor and Development Corp., two construction companies allegedly linked to the flood control corruption scandal.
The SEC also directed St. Timothy and St. Gerrard to pay ₱2 million each as a penalty under Section 11, I-A of SEC Memorandum Circular No. 10, Series of 2022, along with an administrative fine of ₱1,000 per day of continuing violation under Section 158 of Republic Act 11232, or the Revised Corporation Code.
The SEC also disqualified the directors of both companies from serving as a director, trustee or officer of any corporation for five years for failure to ensure the accuracy of the companies’ beneficial ownership declarations.
During a Senate Blue Ribbon Committee hearing on Sept. 1, Cezarah Rowena Cruz-Discaya said she was the owner and officer of both St. Timothy and St. Gerrard.
However, based on SEC records, Cruz-Discaya was not disclosed in the beneficial ownership declarations of St. Timothy from 2022 to September 2025 and of St. Gerrard from 2022 to 2024.
The SEC said the firms’ failure to disclose Cruz-Discaya as their beneficial owner violated SEC Memorandum Circular No. 15, Series of 2019, as amended by MC No. 10, Series of 2022, which requires companies to submit beneficial ownership information in their general information sheets.
The SEC said corporations must “accurately and truthfully disclose beneficial ownership information.” It added that failure to comply, “whether by omission or by submission of incorrect information,” undermines market integrity and will be met with sanctions.
Corporations are expected to respond promptly when given the opportunity to clarify or correct their filings.
