Discaya secures P149-million project in Liloan

Local

CONTROVERSIAL contractor Sarah Discaya, who earlier faced a Senate Blue Ribbon probe over alleged irregularities in government infrastructure projects, has also secured projects in Cebu, including a P149.5 million contract to build drainage and river defenses along the Cotcot River in Liloan town.

Based on documents obtained by the media on Thursday, September 4, the Department of Public Works and Highways (DPWH) awarded the project under Contract ID No. 24H00016, part of its “Organizational Outcome 2: Protect Lives and Properties Against Major Floods, Flood Management Program.”

The contract, signed on April 1, 2024, authorized Alpha & Omega Gen. Contractor & Development Corp./MC Geometric Proportions, Inc. (JV), represented by Discaya, to complete the work within 330 calendar days, including 35 predetermined unworkable days.

The agreement covers the construction and maintenance of flood mitigation structures, drainage facilities, and protective works along the Cotcot River, which has repeatedly caused flooding during heavy rains.

The total bid amount is P149,549,060, with major allocations for structural concrete, rubble concrete, and more than P72 million worth of structural steel sheet piles.

Contract documents also show that the scope of work includes excavation, embankment, tree removal, seedling planting, the construction of field offices for engineers, mobilization costs, and a P727,320 occupational safety and health program.

The contractor must also maintain an all-risk insurance policy, comply with safety and environmental standards, and pay taxes in full and on time.

The DPWH may impose liquidated damages equivalent to 0.10 percent of the project cost for each day of delay and may terminate the contract for non-performance or violations of procurement laws.

The media sought comment from Cebu Fifth District Rep. Vincent “Duke” Frasco, whose district covers Liloan, to ask whether he was aware of the project and its current status.

He has not yet responded as of press time.

Although the contract was awarded in 2024, Discaya’s name resurfaced in recent weeks after the Senate Blue Ribbon Committee summoned her to explain alleged irregularities in flood control projects.

She initially skipped the hearing but later appeared on September 1, 2025, where senators accused her of orchestrating “mock bidding” by letting her nine construction firms compete against each other for the same DPWH projects.

Records presented at the hearing showed her companies cornered at least 400 contracts worth P30 billion between 2022 and 2025.

During the inquiry, Discaya admitted her firms sometimes bid against one another, a practice lawmakers said violated procurement and licensing rules.

Senators also flagged her family’s ownership of 28 luxury vehicles valued at nearly P200 million, fueling questions about the source of her wealth.

In response, the Philippine Contractors Accreditation Board (PCAB) announced it would institute action against her companies.

Days later, PCAB formally revoked the licenses of all nine Discaya-owned firms, citing violations of the contractor’s license law and procurement law.(MyTVCebu)