Metro Manila, Philippines – A government auditor testifying in the impeachment trial of Vice President Sara Duterte said the Commission on Audit (COA) may further examine her spending of confidential funds and order the return of more amounts.
During Day 15 of the trial on Wednesday, August 12, Senator-judge Bam Aquino asked about the seemingly questionable names of recipients of reward payments from confidential funds, including the infamous Mary Grace Piattos.
“Nag-konsulta kasi iyong iba naming abogado kay former Commissioner Heidi Mendoza at sabi niya, kapag may mga kakaibang pangalan, the COA can trigger an investigation because of fraud,” Aquino said.
[Translation: Some of our lawyers consulted former Commissioner Heidi Mendoza, and she said that when there are unusual names, COA can trigger an investigation because of fraud,]
State auditor Xylene Mae del Campo of the COA Intelligence and Confidential Funds Audit Office (ICFAO) said the commission is studying the possibility of conducting a fraud audit on the confidential funds of both the Office of the Vice President (OVP) and the Department of Education (DepEd), which Duterte previously headed.
“Iyong transactions involving the OVP and DepEd po, contains voluminous documents na with sensitive information na ‘pag naibigay po sa ibang opisina, baka po, magiging exposed siya,” Del Campo said.
“Pinag-aaralan pa lang po at kung kinakailangan po, pwede pong mag-fraud audit,” she added.
[Translation: The transactions involving the OVP and DepEd contain voluminous documents with sensitive information. If these are given to other offices, the information might be exposed. We are still studying it, and if necessary, a fraud audit may be conducted.]
She said the fraud audit would determine whether the names or aliases of reward payment recipients correspond to real people.
Meanwhile, Senator-judge and Senate President Win Gatchalian noted that COA disallowed ₱375 million outright after special disbursing officer Gina Acosta testified that she handed the cash advance to Col. Raymund Lachica, head of the Vice Presidential Security and Protection Group (VPSPG).
Del Campo explained that Lachica was not a disbursing officer, making the disbursement irregular and warranting the issuance of a notice of disallowance instead of a notice of suspension.
Gatchalian pointed out that Acosta also turned over the entire ₱125 million in OVP confidential funds in December 2022 in the same manner.
Gatchalian added that DepEd special disbursing officer Edwin Fajarda similarly turned over a ₱112.5-million cash advance for the department’s confidential funds to Col. Dennis Nolasco, also of the VPSPG.
“Kung ganyan rin ang sitwasyon, edi dapat madisallow rin yung 4th Q ng 2022 at buong DepEd confi funds, tama po ba?” Gatchalian said.
[Translation: If that is also the situation, then the fourth quarter of 2022 and the entire DepEd confidential funds should also be disallowed, is that correct?]
Del Campo said the matter is also under careful study, noting that it would be the first time a settled account would be reopened for audit.
“And ito po kasing reopening is with the authority of the COA chairperson kaya po pinag-aaralan po kung ito ay irereopen dahil nga po , it is the first time and this involves voluminous docs na kailangang isa-isahin,” she said.
[Translation: This reopening requires the authority of the COA chairperson, which is why we are studying whether it should be reopened, especially since this is the first time and it involves voluminous documents that need to be examined individually.]
Gatchalian then asked whether the entire ₱612.5 million in confidential funds for the OVP and DepEd under Duterte could potentially be disallowed.
Del Campo said it was possible.
COA has so far issued two notices of disallowance — one ordering the OVP to return more than ₱73 million from its December 2022 confidential funds, and another covering ₱375 million from its 2023 allocations.
