Prosecutors Link Former Speaker Romualdez to Shell Companies and Forbes Park Properties in P7.44-Billion Plunder Case

Prosecutors have accused former House Speaker Martin Romualdez of using shell companies and corporate conduits to channel part of an alleged P7.44-billion kickback from flood-control projects into properties, shares, and other assets. This allegation is a key component of the plunder case filed by the Office of the Ombudsman against Romualdez, former lawmaker Zaldy Co, Romualdez’s aide Joselyn Tragua Serenio, and businessman Felicito Cristobal Guevarra.

The case, filed on September 7 before the Sandiganbayan anti-graft court, details how the accused allegedly established or utilized dummy corporations to launder illicit funds. Among the companies named are Golden Pheasant Holdings Corporation, Braavos Holdings OPC, and Valiant Consolidated Resources Inc. Prosecutors also cited the repurposing of Brightnews Corporation and Clearspring Holding Corporation as part of the scheme. Notably, the name Braavos references a fictional city in the "Game of Thrones" series known for its powerful Iron Bank, symbolizing the alleged financial maneuvering.

According to the information submitted, these shell companies were used to acquire and hold properties, shares, and other assets for Romualdez’s benefit. One highlighted transaction involved the purchase of a property at 30 Tamarind Road in South Forbes Park, which prosecutors claim was partially funded through simulated dollar-to-peso transactions facilitated by Guevarra via Samchan Foreign Exchange Corporation.

Another property at 14 Narra Avenue in Forbes Park was allegedly acquired through Brightnews Corporation, with the purchase price funded by Trans Middle East (Phils.) Equities Inc., a corporation described as closely associated with or controlled by Romualdez. Prosecutors further stated that Valiant Consolidated Resources was used to purchase shares in Prime Media Holdings Inc., while Clearspring Holding Corporation acquired shares in DigiPlus Interactive Corporation.

The Ombudsman’s charge sheet accuses Romualdez, Co, and their co-accused of receiving at least P7.44 billion in commissions, shares, kickbacks, and other financial benefits on at least 15 occasions. These funds reportedly originated from contractors and other entities involved in flood control, infrastructure, and other government projects funded under the national budgets from 2022 to 2025.

Prosecutors allege that the money was delivered to properties owned, occupied, or associated with Romualdez and received by Serenio and others acting on his behalf. The Sandiganbayan Third Division, after reviewing the evidence, found probable cause and issued a warrant for Romualdez’s arrest. He was served the warrant on the evening of September 7 while confined at Cardinal Santos Medical Center and remains under police custody.

This development follows the Ombudsman’s broader allegations that Romualdez and his associates amassed ill-gotten wealth through a series of coordinated acts involving commissions, kickbacks, and the use of dummy corporations to launder proceeds from government contracts. The case continues to unfold as authorities pursue further investigation and legal proceedings.