MANILA, Philippines — In a dramatic escalation of the ongoing flood control scandal, President Ferdinand Marcos Jr. announced on Wednesday the cancellation of the passport of former Ako Bicol Representative Zaldy Co, a key figure implicated in alleged multi-billion peso kickbacks tied to substandard flood control projects across the country.

In a recorded video posted on his social media accounts, Marcos said:

“Maibabalita ko po sa inyo na ang passport po ni Zaldy Co ay kanselado na. Kaya ininstructionan ko na ang Department of Foreign Affairs, pati ang PNP, na makipag-ugnayan sa ating mga embassies sa iba’t ibang bansa, para tiyakin na hindi maaaring magtago itong ating hinahabol. Kung sakali man ay siya ay pupunta roon, ay i-rereport sa atin para maibalik natin siya dito sa Pilipinas.”

The announcement came after Co, founder of Sunwest Corp., left the Philippines in mid-2025, initially citing medical leave. However, he has since refused to return despite mounting criminal allegations, including malversation, graft, and falsification of documents, related to flood control projects that were allegedly manipulated to generate massive kickbacks delivered to his Pasig City residence.

THE ESCALATING SCANDAL

The controversy intensified last month when Marcos stated that Co’s passport would be cancelled as soon as criminal charges were formally filed. The President’s decisive action followed a series of accusations in which Co released a video claiming that Marcos himself ordered the insertion of P100 billion worth of flood control projects into the national budget to facilitate kickbacks.

Malacañang, however, has vehemently denied Co’s allegations, emphasizing that the ongoing investigation targets the contractors involved, not the President.

“Kaya’t nakikita po natin, maganda naman ang takbo ng proseso at yung ating mga hinihinalaang kasama dito sa ganitong klaseng sindikato ay haharap sa hustisya,” Marcos said. “Asahan po ninyo na patuloy pa rin ang ating imbestigasyon, patuloy pa rin ang ating pagpila ng mga kaso upang tiyakin na ang mga guilty dito sa ganitong klaseng iskandalo ay haharap sa batas at bukod diyan ay maibalik ang ninakaw na pera sa taong bayan.”

Marcos has vowed to arrest around 40 individuals linked to these projects before Christmas, underscoring the administration’s determination to demonstrate accountability and restore public trust.

CONTRACTOR CO’S DEFENSE

Despite facing serious criminal charges, Zaldy Co continues to maintain his innocence. In his own video statement, he attempted to shift blame to Marcos, alleging high-level involvement in the controversial projects and insinuating political motives behind the investigations.

Legal experts note that Co’s strategy appears to be aimed at delaying proceedings and garnering public sympathy by portraying himself as a whistleblower. However, government authorities remain resolute.

The Department of the Interior and Local Government (DILG) has revealed that Co may hold two passports, along with a golden visa from Portugal, raising concerns that he could attempt to flee the country. The cancellation of his Philippine passport is a crucial step to prevent evasion of justice.

“We will not allow anyone, no matter how influential, to escape accountability,” said a senior government official familiar with the investigation.

INVOLVEMENT OF OTHER CONTRACTORS

President Marcos also highlighted the cooperation of Sarah Discaya, whose company St. Timothy Construction is likewise implicated in anomalous flood control projects. Discaya voluntarily submitted herself to the National Bureau of Investigation (NBI), signaling a willingness to face scrutiny.

“We are seeing a proper legal process unfold. Those suspected of participating in this syndicate will face justice,” Marcos said, emphasizing that the administration’s priority is both accountability and recovery of public funds.

Investigators continue to trace the flow of billions of pesos in alleged kickbacks and are coordinating with law enforcement agencies domestically and abroad to ensure that suspects like Co cannot hide.

PUBLIC REACTION AND POLITICAL IMPLICATIONS

The scandal has stirred significant public interest, given the scale of the alleged corruption and the high-profile nature of the individuals involved. Social media and news outlets have been abuzz with speculation about Co’s possible escape attempts, the authenticity of his claims against Marcos, and the broader political ramifications.

Critics argue that the case demonstrates the need for stronger oversight and accountability mechanisms in government infrastructure projects. Meanwhile, supporters of Marcos emphasize his proactive stance in pursuing high-level corruption and protecting taxpayer money.

The President also called on Congress to prioritize key legislation, including the Independent People’s Commission and anti-dynasty bills, as part of broader reforms to curb political interference and systemic corruption.

LEGAL BATTLE AND FUTURE DEVELOPMENTS

Co faces multiple charges, including graft, malversation, and falsification of documents, all of which carry heavy penalties if he is found guilty. Legal analysts predict that the cancellation of his passport, combined with international monitoring of his movements, will significantly limit his ability to evade prosecution.

“If Zaldy Co thinks he can hide or manipulate the system, he is sorely mistaken,” Marcos warned in his statement.

The upcoming weeks are expected to bring further developments, including potential court appearances, hearings, and additional arrests of other implicated individuals. The administration’s aim is to ensure that the investigation is thorough and that the public funds allegedly siphoned off are recovered.

A CRITICAL TEST FOR GOVERNANCE

The Zaldy Co scandal serves as a litmus test for the Marcos administration’s commitment to transparency, justice, and the rule of law. It underscores the challenges faced by governments in holding influential private actors accountable, particularly when allegations involve billions of pesos and high-ranking officials.

For Filipinos watching closely, the case represents both hope and caution: hope that justice can prevail, and caution about the pervasive nature of corruption in infrastructure projects.

With Co’s passport now officially cancelled and law enforcement agencies coordinating internationally, the administration has signaled that it will pursue all avenues to ensure that justice is served, no matter how influential the accused may be.

As President Marcos warned,

“Patuloy tayong magbabantay, at ang sinumang nagnanais na magsinungaling o tumakas ay hindi makakawala sa ating batas. Ang hustisya ay darating, at ang pera ng bayan ay maibabalik sa mga tao.”

The next few weeks will reveal whether Co will be apprehended, the extent of the alleged kickbacks, and how many others in the flood control scandal will face accountability before the end of the year.