The Commission on Elections (COMELEC) has clarified that Senator Francis “Chiz” Escudero’s campaign donor, businessman Lawrence Lubiano, and his company Centerways Construction and Development are separate legal entities, meaning the ban on contributions from government contractors does not automatically apply.
In an interview on DZRH’s Magandang Umaga Pilipinas, Commissioner Rey Bulay said the matter has been resolved after the COMELEC determined that the donation was made by Lubiano in his personal capacity, not by the contractor firm he owns.
“Ang pinagbabawal po ay yung natural and juridical person na may kontrata sa gobyerno, so ang context ng paliwanag na ‘yon, kung Centerways ang kumpanya na sinasabi na pagmamay-ari ni Mr. Lubiano, at si Mr. Lubiano,” Bulay said.
He added that the COMELEC Campaign Finance Office emphasized that, under the law, a corporation and its owner are treated independently—including in terms of liability.
“Kaya ang depensa nila ay in his personal capacity. So doon may dalawang issue na sinulat ang aming campaign finance office na sa entity concept at sa batas, hiwalay ang personalidad nung dalawa pati po ang liability,” he added.
Bulay also confirmed that based on the Statement of Contributions and Expenditures (SOCE), Mr. Lubiano—not Centerways—was listed as the donor.
He further noted that in cases involving criminal prosecution, the principle of giving the benefit of the doubt to the accused applies.
“Bukod pa sa jurisdiction natin, sinasabi na ang pag-coconstrue o pag-iinterpret ng batas, kapag ganitong criminal prosecution, criminal offense ito,” Bulay said.
“Yung benefit of the doubt binibigay sa akusado, kaya kung sinabi niyang personal, ‘yon ang kukunin ng batas sa ngayon,” he added.
Election Offenses Flagged as Criminal
Bulay reiterated that violations concerning prohibited contributions are classified as criminal offenses.
“Pagka-hinighlight n’yo ang election offenses, criminal offenses po ‘yan,” he said. “Kaya may mga pena na kulong o diskwalipikasyon sa tanggapan.”
He also pointed out that separate sanctions apply for non-filing of SOCE, including perpetual disqualification from holding public office.
Bulay stressed the importance of SOCE compliance, saying: “SOCE ang level playing field sa election. ‘Yon pong hindi makalamang yung mas maraming pera sa ibang kababayan natin na gustong magkaroon ng oportunidad makapag-silbi.”
Unnamed Donors Raise BIR Concerns
Bulay further explained that when candidates claim they received campaign donations without naming the donor, two issues arise—both under the Bureau of Internal Revenue (BIR).
“Ang problema doon dalawang anggulo,” he said, explaining that the unnamed giver may face donor’s tax, while the recipient may incur income tax because the amount becomes declared income.
“Kaya kung hindi dineclare yung mga sinabi ng declarant… eh siya magbabayad ng taxes due noon,” he added.
Bulay also clarified that COMELEC has no authority to collect taxes, noting that such matters fall within the jurisdiction of the BIR.
On Wednesday, the Commission on Elections (COMELEC) ruled that Lawrence Lubiano’s ₱30-million donation to former Senate President Francis “Chiz” Escudero’s 2022 senatorial campaign did not violate Section 95 of the Omnibus Election Code (OEC).
