Philippines forms independent body to probe anomalies in infrastructure projects

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MANILA (Reuters) -Philippine President Ferdinand Marcos Jr. formed an independent commission on Thursday to investigate alleged corruption in infrastructure projects, with a focus on flawed flood control facilities that have shocked an already graft-weary nation.

Flood control projects have been thrust into the spotlight in recent months after allegations of mismanagement emerged during a period of monsoon rains and storms that inundated towns and cities across the disaster-prone nation. Marcos last year touted the completion of more than 5,500 projects to curb flooding.

Inquiries into the allegations in both chambers of Congress have gripped the country, with accusations of industrial-scale corruption playing out on television and social media, and contractors accusing politicians of taking bribes or extorting money in exchange for projects.

Marcos granted sweeping powers to the three-member commission to uncover wrongdoing and hold people involved to account. It will have the power to summon government officials, recommend the filing of criminal complaints and propose reforms when it comes to carrying out infrastructure projects. Members of the commission have not been officially named.

Marcos last month disclosed the results of an internal audit into flood control projects, revealing troubling patterns of irregularity that prompted calls for action from business and civil society groups outraged by what they described as “excessive corruption”.

Key findings showed that out of 545 billion pesos ($9.54 billion) of spending on flood control since 2022, thousands of projects were either substandard, poorly documented, or even non-existent.

Some recorded identical costs even though they were in different locations, and 15 out of more than 2,000 accredited contractors were able to corner 20% of the total budget.

Marcos’ directive also authorises the body to request or recommend that government bodies freeze or seize assets and funds believed to be linked to anomalous infrastructure projects pending an investigation.

The controversy has already led to the resignation of the public works secretary, and his successor has suspended all bidding for locally-funded flood control projects, ordered courtesy resignations of all public works officials, and vowed to permanently blacklist contractors involved in fraudulent projects.

While Indonesia and Nepal have been convulsed by uprisings over government excesses, anger in the Philippines has remained online up to now, though there have been pockets of protests, and more are being planned over the coming days.

($1 = 57.15 Philippine pesos)

(Reporting by Karen Lema; Editing by David Stanway)