Baguio City Mayor Benjamin Magalong alleged that 67 members of Congress have been involved in arrangements with contractors for flood control projects, claiming some receive kickbacks as high as 40 percent.
Magalong said the issue is not limited to questionable bidding practices. He alleged that lawmakers instruct contractors to bid and take on projects, with some using their spouses, children, or relatives as supposed contractors to participate in the transactions.
He described what he called a “royalty fee” system, in which lawmakers allegedly collect about three percent of the project’s contract value in exchange for allowing contractors to serve as their fronts.
The statements followed a challenge from Bicol Saro Rep. Terry Ridon, who urged Magalong to present proof of his claims. Magalong responded that he is prepared to face Congress and submit evidence regarding the alleged 30 to 40 percent kickbacks.
Ridon stressed that Magalong should disclose all details and identify those involved so the allegations can be thoroughly examined.
The claims have drawn public attention to infrastructure spending, particularly flood control projects, which have faced scrutiny over their cost and effectiveness.
