The Market Monitor Minding the Nation's Business
Malacañang on Friday said accusations of conflict of interest involving construction contracts allegedly linked to the family of Philippine Amusement and Gaming Corp. (PAGCOR) chair Alejandro Tengco must be supported by concrete evidence.
“It would be better if those making the accusations immediately present evidence so it can be reviewed,” Palace Press Officer Claire Castro told reporters.
The statement came after reports that Nationstar Development Corp.—a construction firm founded by Tengco in 2015—secured more than 14 government contracts worth ₱7.1 billion from 2022 onward. Tengco was appointed PAGCOR chairman and CEO in August 2022.
Tengco denied any impropriety, stressing that his role at PAGCOR “has no direct or indirect influence” on the awarding of public works contracts to Nationstar. He noted that he had fully divested from the company upon assuming office and had already transferred his shares to his children in 2019. He added that Nationstar continues to undertake both government and private projects as a legitimate industry player.
He also said it is up to Congress to determine if existing conflict-of-interest laws need strengthening.
Castro said the government will assess whether the contracts went through proper procedures and whether any current link remains between Tengco and the firm. She noted that no irregularities have been flagged and that Tengco has categorically denied involvement.
“If the proper process was followed, and if the company is no longer connected to Chairman Tengco, then that should guide our judgment,” she said.
“But if the work is up to standard and no anomalies have been found—and Chairman Tengco himself says he has no role in these contracts—then that is where we stand for now,” Castro added.