The Market Monitor Minding the Nation's Business
The Department of Justice said Thursday it is currently evaluating a complaint filed by Energy Secretary Sharon Garin against Batangas lawmaker Leandro Leviste and officials of a renewable energy firm over alleged failure to deliver on a government contract.
According to the DOJ, the complaint—filed personally by Garin last Wednesday—has not yet been formally docketed and remains under initial assessment.
“As for the complaint filed, it has not yet been formally docketed before the DOJ as it remains under evaluation,” DOJ spokesperson Polo Martinez said in a message to reporters.
“Should the evidence, upon evaluation, be found sufficient, the complaint will be docketed accordingly for the conduct of a preliminary investigation,” he added.
In her eight-page complaint, Garin accused Solar Para Sa Bayan Corporation (SPSB/SPBC), linked to Leviste, of failing to fulfill obligations under a 25-year legislative franchise granted to develop renewable energy microgrid projects in various parts of the country.
Garin said nearly seven years have passed since the franchise was granted, but the company has allegedly failed to comply with its commitments.
“To this date, it has been almost seven years since the legislative franchise was granted to SPSC/SPSB. During this period, the respondents, being the incorporators, directors, and/or officers of SBSC/SPBC, failed to comply with their obligations under the franchise,” she said.
The complaint also noted that the projects were tied to areas in Batangas’ first congressional district, including Calatagan, Lian, and Balayan, where Leviste serves as representative.
Garin further alleged that the group faces potential liabilities linked to a separate entity, Solar Philippines Power Projects Holdings Inc. (SPPPHI), which is reportedly facing contract issues and penalties over failed renewable energy commitments.
She cited possible violations under Republic Act 11659 or the Public Service Act, which penalizes willful neglect or failure to comply with covered undertakings, with penalties of up to ₱2 million in fines or up to 12 years’ imprisonment.
“As such, the willful neglect and failure to fulfill the obligations under the legislative franchise of SPSB/SPBC, coupled with the disregard of the obligations therein in favor of the operation of another corporation, SPPPHI, are badges of fraud that defeat public convenience and warrant the piercing of the corporate veil, thereby holding the respondents personally liable,” Garin said.
Named respondents include Leviste and several incorporators and board members of SPSB/SPBC, among them Antonio C. Legarda Sr., Benjamin C. Legarda, Antonio B. Legarda Jr., Hazel Iris P. Lafuente, and Irma C. Flaminiano.
The case comes amid broader scrutiny of renewable energy contracts and government efforts to ensure compliance with long-term infrastructure commitments.