THE Commission on Elections (Comelec) has closed its motu proprio investigation into Senator Francis Joseph “Chiz” G. Escudero and businessman Lawrence R. Lubiano, finding no violation of the Omnibus Election Code in relation to a P30-million campaign contribution recorded during the 2022 national elections.
In a resolution released on Wednesday, the poll body’s Political Finance and Affairs Department (PFAD) said the evidence failed to establish that Mr. Lubiano, president of Centerways Construction and Development, Inc., made the contribution in violation of prohibitions against donors who hold government contracts. Mr. Lubiano’s construction firm was one of the contractors earlier flagged by President Ferdinand R. Marcos, Jr. for cornering the bulk of government-funded projects since 2022.
“The circumstances alleged in the present case do not rise to the level of compelling reasons necessary to pierce the corporate veil,” the resolution read. “Mr. Lubiano is not Centerways, and Centerways is not Mr. Lubiano.”
Mr. Escudero, who secured a Senate seat with over 20 million votes in the 2022 polls, had listed Mr. Lubiano as the largest contributor in his Statement of Contributions and Expenses (SOCE) filed with Comelec.
The inquiry was prompted after public scrutiny of government contractors involved in flood control projects, with Centerways among the 15 firms cited for undertaking a significant portion of the country’s flood control initiatives over the past three years.
Mr. Lubiano, in sworn statements, acknowledged giving the P30-million donation but insisted the contribution was made in his personal capacity.
Mr. Escudero also testified that he had no knowledge of Mr. Lubiano’s corporate engagements at the time of the campaign contribution.
Section 95(c) of the Omnibus Election Code bars contributions from natural or juridical persons who hold contracts or subcontracts to supply the government with goods, services, or public works. The law applies to contributions made directly or indirectly to prevent potential conflicts of interest in election campaigns.
PFAD’s investigation reviewed Mr. Escudero’s SOCE and found no evidence indicating that corporate funds from Centerways were funneled into the campaign.
“The absence of such evidence, this Office cannot presume such fact. Mere allegation, unaccompanied by any proof, is insufficient,” the decision read.
In a statement, Mr. Escudero said that the Comelec decision affirms his long-standing practice of honesty and transparency in campaign activities.
“Since we first ran for public office in 1998, we have worked to consistently comply with our election laws because this is the foundation of public trust,” he said. — Erika Mae P. Sinaking
