Comelec unit clears Escudero, campaign donor: ‘Lubiano is not Centerways’

MANILA, Philippines – The Commission on Elections (Comelec) cleared Senator Chiz Escudero and his top campaign donor, Lawrence Lubiano, of liability after the owner of a public works contracting firm donated P30 million to fund Escudero’s 2022 Senate bid.

“This office concurs that Mr. Lubiano is not Centerways, and Centerways is not Mr. Lubiano,” read the decision penned by the Comelec’s political finance and affairs department (PFAD).

“This office recommends termination of the investigation as there being no evidence to support a complaint that Section 95 (c) of the [Omnibus Election Code] was violated by respondents Lubiano and Escudero,” it added.

The motu proprio investigation came after Rappler discovered in August that Lubiano’s donation amounted to 20% of Esudero’s total campaign contributions worth P146.5 million in 2022. The controversy, among other reasons, ultimately led to Esudero’s ouster as Senate president.

From 2021 to 2024, Centerways, based in Escudero’s home province of Sorsogon, bagged P5.16 billion in flood control contracts. The number of such projects it had won in 2022 jumped to 44 from only five in 2021.

Centerways Construction ranked seventh among the top 15 flood control project contractors named by President Ferdinand Marcos Jr. for the period July 2022 to May 2025.

What the Comelec said

In its decision, the Comelec PFAD said Lubiano, in his personal capacity, didn’t have any contract or sub-contract with the national government.

For the poll body, it meant he could not be found to have violated the election code provision that bars natural or juridical persons holding government supply or service contracts or sub-contracts from making direct or indirect contributions for partisan political activity.

“This office is also mindful on the allegation that respondent Lubiano may have been used indirectly by Centerways to contribute on the campaign coffers of respondent Escudero. However, the evidence on record does not establish such fact,” the ruling read.

“No evidence gathered so far that would establish that he acted merely as an instrumentality or alter ego of the corporation to perpetrate fraud or commit any act prohibited under Sec. 95 (c) of OEC,” the ruling read.

The decision also cited the Revised Corporation Code provision that states “a corporation is an artificial being created by operation of law.”

“When respondent Lubiano contributed to the campaign of respondent Escudero, the former merely exercised a right that is personal to him,” the Comelec PFAD said.

“There is no evidence establishing that the funds used in the contribution originated from Centerways, or that its corporate money crept into the campaign funds of respondent Escudero thru the contribution made by respondent Lubiano. In the absence of such evidence, this Office cannot presume such fact,” it added.

In a statement, Escudero said the Comelec decision “strengthens my faith in our institutions and reinforces my commitment to continue serving with integrity and accountability.”

“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 added.

The ruling could set a precedent that might protect other politicians who received campaign money from individuals tied to government contractors.

Even President Marcos received donations from government contractors when he ran for the country’s highest post in 2022.

For example, Marcos received P1 million in 2022 from Joseph John Quirante, Escudero’s brother-in-law who partly owns public works contractor Octagon Concrete Solutions.

Vice President Sara Duterte, meanwhile, declared P19.9 million in campaign donation from Escandor Development Corporation, owned by Duterte-time presidential assistant for sports Glenn Escandor. His construction firm Genesis88 bagged almost P2.9 billion in flood control contracts from 2021 to 2023. – Rappler.com