Public Works and Highways Secretary Vince Dizon on Sunday directed regional officials and district engineers in the Bicol Region to hasten the termination of all infrastructure contracts awarded to companies linked to former Ako Bicol party-list Rep. Zaldy Co and contractor-couple Sarah and Pacifico Discaya who are facing corruption charges over alleged ghost flood control projects.
Dizon said once the contracts are terminated, the projects could be immediately subjected to rebidding with a view to finishing the stalled and defective projects.
“With thousands of these contracts, we will not do much except bid them out and find new contractors to finish the projects,” he said.
During an inspection tour in Bicol, Dizon said the situation in the region was particularly alarming as a significant number of projects were awarded to firms associated with Co, including Sunwest Inc. and Hi-Tone Construction.
Several of these projects have been flagged for delays and possible defects, he said.
Sunwest and Hi-Tone are no longer eligible to enter into government contracts due to pending cases, and their bank accounts have been frozen, according to Dizon.
“We know that Sunwest and Hi-Tone can no longer bid for contracts because of the pending cases. Their accounts are frozen. These contracts must be terminated,” Dizon said.
Among the projects inspected by Dizon was the multimillion-peso Malabog Flyover in Daraga, Albay, which has remained unfinished, although construction began in 2021, spanning less than one kilometer.
The DPWH said the flyover was meant to serve as an alternate route for motorists exiting the Bicol International Airport and to ease traffic flow along the Maharlika Highway.
The first two phases of the Malabog Flyover were awarded to Hi-Tone Construction, while the third phase was bagged by the Discaya-owned Alpha & Omega General Contractor and Development Corp.
“If they really wanted this completed, it should not have been split into phases. Obviously, the project has been abandoned,” Dizon said.
Dizon announced that the contract with Alpha & Omega will be terminated, with the project set for rebidding as early as February. Funding for the flyover is secured until 2026.
“This is a Discaya project — Alpha Omega. We are terminating it. We will rebid it this February. The funds are there until 2026. We just need to terminate the contract and finish it. Maybe we can complete it in one year to one and a half years,” Dizon said.
