The Philippine business community is demanding immediate government action against widespread corruption following the discovery of a P96.5-million "ghost project" in Davao Occidental and mounting evidence of systematic fund diversion involving public officials and private contractors.
Business Leader Sounds Alarm on Public Fund Misuse
Dr. Roland T. Suico, president of the Davao City Chamber of Commerce & Industry Inc. (DCCCII), expressed deep frustration during the "Just Energy Transition Dialogue" at Acacia Hotel on November 14, 2025. He revealed that the business community feels betrayed by the massive corruption scandal affecting national infrastructure projects.
"We're paying taxes as individuals. Even when you buy a small candy, it already carries value-added tax," Suico emphasized during an ambush interview. "These funds should be returned to us through social services, infrastructure, and other essential government programs."
The situation became more alarming when allegations surfaced that billions of pesos were siphoned from government coffers with the involvement of both politicians and business figures. "When we learned that billions of pesos went to the hands of politicians—and worse, that fellow businessmen were involved. Grabe talaga!" Suico lamented.
National Business Community Unites Against Corruption
The Davao City Chamber is fully supporting the Philippine Chamber of Commerce and Industry's (PCCI) strong position against corruption. The national chamber issued a formal resolution during the 51st Philippine Business Conference and Expo in Pasay City, calling for decisive presidential action.
The PCCI, representing enterprises of all sizes across the country, urged the government to:
- End corruption in public projects immediately
- Ensure recovery of stolen public funds
- Impose penalties on all involved parties
- Establish stricter monitoring and transparency measures
The resolution specifically addressed what it described as "unabated, continuing, and excessive corruption in government projects and transactions." It emphasized the need for stronger accountability mechanisms and multisectoral oversight bodies with private-sector participation.
Flood Control Projects Under Intense Scrutiny
The corruption controversy centers on widening investigations into alleged irregularities in flood control projects across several congressional districts. Audit findings and whistleblower reports indicate that some flood control structures were overpriced, poorly constructed, or completely nonexistent despite millions in allocated funds.
The Department of Public Works and Highways (DPWH) has submitted procurement documents, contractor lists, and project status reports to investigators. Meanwhile, the Office of the Ombudsman has begun issuing subpoenas to public officials and private contractors suspected of collusion, kickbacks, or bid manipulation.
Investigators are examining patterns in project awards amid allegations that certain contractors repeatedly secured flood control projects through political connections. Some lawmakers implicated in earlier reports have denied wrongdoing, while others have been asked to explain irregular spending flagged by the Commission on Audit.
Surprising Investor Confidence in Davao
Despite the national political turbulence, foreign investor interest in Davao City remains surprisingly strong. "Instead of being afraid to invest in Davao City, the opposite is happening. It actually stirred their curiosity," Suico noted.
Delegations from Brunei, Indonesia, and other countries have recently visited the city, expressing keen interest in exploring opportunities. According to Suico, there has been "no significant impact" on foreign visits despite the corruption controversies dominating national headlines.
The investigation gained momentum when the Independent Commission for Infrastructure (ICI), led by special adviser and Baguio City Mayor Benjamin Magalong, joined Public Works Secretary Vince Dizon in inspecting the P96.5-million "ghost project" in Jose Abad Santos, Davao Occidental on September 25, 2025.
As authorities continue expanding the inquiry and tracing possible fund diversion involving billions of pesos, business leaders stress that the investigation outcome will be crucial in restoring public trust. "We really have to do something about it this time," Suico concluded, emphasizing the urgency of addressing systemic corruption.
