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03/10/2026

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Sandiganbayan junks bail petition of Zaldy Co’s co-accused

by LAWIN.news March 10, 2026
written by LAWIN.news March 10, 2026
Photo credit: Manila Standard
13

MANILA, Philippines — The Sandiganbayan on Tuesday denied the bail petition of nine former officials of the Department of Public Works and Highways (DPWH) who are facing a malversation case linked to a P289.4-million infrastructure project allegedly tied to resigned Zaldy Co.

In a resolution promulgated on March 10, the court’s Sixth Division ruled that the accused officials were not entitled to bail in the non-bailable charge of malversation of public funds through falsification of public documents.

The officials whose bail petitions were denied are DPWH Region IV-B director Gerald Pacanan, assistant regional directors Gene Ryan Alaurin Altea and Ruben delos Santos Santos Jr., construction division chief Dominic Gregorio Serrano, maintenance division chief Juliet Cabungan Calvo, quality assurance and hydrology division chief Dennis Pelo Abagon, planning and design division chief Montrexis Tordecilla Tamayo, accountant Lerma Dotado Cayco, and project engineer Felisardo Sevare Casuno.

“This Court finds that accused Altea, Santos, Serrano, Tamayo, Abagon, Calvo, Cayco, Pacanan, and Casuno are not entitled to bail,” the 41-page resolution stated. The ruling was signed by Associate Justice Sarah Jane Fernandez, chairperson of the division.

The court emphasized that the decision was not a judgment on the accused’s guilt but only a determination of whether the evidence of guilt was strong for purposes of bail. Under Philippine law, malversation may be considered a non-bailable offense when the penalty involved is reclusion perpetua, unless the prosecution fails to prove strong evidence of guilt.

The case stems from a project undertaken by Sunwest Construction and Development Corp., a company the Office of the Ombudsman said is beneficially owned by Co. Investigators found that the project had serious structural deficiencies despite certifications that it complied with required specifications.

Prosecutors said several officials certified the legality of expenses and approved disbursement vouchers that enabled the release of funds to Sunwest despite the deficiencies.

Co, who co-founded Sunwest and previously chaired the powerful House appropriations committee before resigning as party-list representative in September last year, did not participate in the proceedings after the court earlier declared him a fugitive from justice.

The nine DPWH officials have pleaded not guilty to the charges.

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