Representative Elizaldy Co of Ako Bicol Party List.
THE Land Transportation Office (LTO) has awarded P2 billion worth of projects to Sunwest Inc., a construction company linked to former Ako Bicol Party-list Rep. Zaldy Co, according to LTO chief Assistant Secretary Markus Lacanilao.
Lacanilao stated that Sunwest built two buildings worth P499 million each – the IT Training Hub and the Road Safety Interactive Center – as well as a Central Command Center worth P946 million. The contracts for these projects were signed in February 2021.
While the construction of the buildings has been completed, audit findings have revealed that they are underutilized.
Lacanilao cited a Commission on Audit (COA) report that disclosed “improper use of the IT dormitory at low cost to its occupants, poorly-maintained dormitory rooms, idle IT hub equipment.” The COA report also highlighted “non-compliance with the contract requirements and specification of non-utilization, under-utilization of various components in the facility and improper computation of the contract results in an overpayment amounting to P 26,910,332.”
Lacanilao said that payments for the buildings were delayed due to questions raised by the LTO. However, under the leadership of Vigor Mendoza, payments of nearly P2 billion were made in December 2024.
The LTO will submit the necessary documents to the Independent Commission for Infrastructure and to the Office of the Ombudsman to investigate the alleged anomalies surrounding the buildings. “Given the foregoing circumstances and the strong indication of potential irregularities in this issue of public funds, our office has determined it necessary to formally transmit this matter to the Independent Commission for Infrastructure, or ICI,” said Lacanilao.
