MANILA, Philippines — The Department of Migrant Workers (DMW) is preparing to file criminal and administrative charges against officials of the Overseas Workers Welfare Administration (OWWA) implicated in a questionable 1.4 billion peso ($27 million) land acquisition deal, Migrant Workers Secretary Hans Leo Cacdac announced Monday.
The deal, intended to fund a “halfway house” for repatriated overseas Filipino workers (OFWs), was executed without proper authorization and riddled with violations, prompting the removal of former OWWA Administrator Arnell Ignacio due to “loss of trust and confidence,” Cacdac said in a statement.
Cacdac outlined six critical breaches of the OWWA Charter, including the unauthorized conversion of 2.6 billion pesos in emergency repatriation funds to capital outlay, signing a deed of sale and addendum without board approval, and assuming undisclosed lease contracts. A non-OWWA third party continued collecting rent post-sale, and a building with 52 condominium titles was demolished, inflating the property’s valuation. Despite full payment, OWWA failed to secure possession of the land.
The deal also raised concerns over financial mismanagement, with 36 million pesos returned to OWWA—purportedly for local transfer taxes mistakenly paid by the seller—and an additional 1.4 million pesos in rent collected by the seller’s attorney-in-fact on property already owned by the government.
“This transaction was not only procedurally flawed but fundamentally impractical,” Cacdac said, noting that the proposed halfway house, meant to accommodate large numbers of repatriated OFWs as seen during the pandemic, was deemed unnecessary.
At a flag-raising ceremony in Pasay City, Cacdac reaffirmed OWWA’s commitment to transparency and clean governance. He praised President Ferdinand Marcos Jr. for championing reforms under the Bagong Pilipinas agenda, emphasizing “sound, honorable, and decent” service to OFWs and their families.
Cacdac expressed confidence in newly appointed OWWA Administrator Patricia Yvonne Caunan, describing her as a leader with “integrity, heart, and compassion.” Caunan, in her remarks, vowed to restore OWWA’s credibility through meaningful reforms and professional service. “We are committed to ensuring our programs are efficient, rooted in integrity, and driven by genuine public service,” she said.
The DMW’s push for accountability signals a broader effort to safeguard public funds and restore trust in institutions serving the country’s 1.8 million OFWs, whose remittances account for nearly 10% of the Philippines’ GDP.
