The Bureau of Internal Revenue (BIR) secured clearance from the Department of Justice (DOJ) to file 44 criminal tax evasion cases against three former public works officials over an alleged ₱1.68 billion in unpaid liabilities.

In a statement, the BIR reported that the DOJ found probable cause to charge former Department of Public Works and Highways (DPWH) officials Jaypee De Leon Mendoza, Henry C. Alcantara, and Brice Ericson D. Hernandez.

The cases, which stem from separate audits into unexplained wealth, will be escalated to the Court of Tax Appeals.

Investigators used the expenditure method to reconstruct the finances of the accused, a forensic accounting technique where spending that vastly outpaces declared earnings is treated as evidence of unreported income.

The multi-year probe uncovered severe disparities between the trio's lawful income and their actual acquisitions, alongside outright failure to file tax returns.

The legal action targets a group colloquially referred to as the “BGC Boys.” The DOJ issued three separate resolutions approving the criminal indictments under Sections 254 and 255 of the National Internal Revenue Code, which govern tax evasion and the failure to supply correct information.

Alcantara faces the largest individual liability. The justice department recommended 18 criminal charges against him for the taxable years 2022 through 2024, involving ₱913.8 million in unpaid obligations. The bureau’s investigation established a significant chasm between Alcantara’s documented income and his asset acquisitions, noting that he failed to file income tax returns during the period.

Hernandez, meanwhile, faces 10 criminal charges covering a five-year period from 2020 to 2024. Tax investigators determined his expenditures substantially exceeded his declared earnings for five consecutive years, during which no income tax returns were filed. His total liabilities are estimated at ₱593.7 million.

The remainder of the assessments targets Mendoza. A March 26 resolution recommended 16 criminal charges against him covering 2021 through 2024 for ₱179.7 million in unpaid income taxes. The bureau flagged his filings as fraudulent due to significant underdeclarations.

BIR Revenue Commissioner Charlito Martin R. Mendoza said the justice department's findings mark a critical milestone in enforcement, signaling that the state will aggressively pursue individuals who conceal income or evade filing obligations.