DepEd may P1.9B unliquidated cash advances-COA
Manila, Philippines-Umabot sa P1.9 bilyon ang naipong unliquidated cash advance balance sa katapusan ng 2019 ng Department of Education, ayon sa Commission on Audit. Sa kanilang annual audit report para sa DepEd sa taong 2019, sinabi ng COA na ang naipong unliquidated cash advances ng kagawaran ay bunga ng deficiencies sa granting, liquidation at monitorig […] The post DepEd may P1.9B unliquidated cash advances-COA appeared first on REMATE ONLINE......»»
IOS App Offering Payday Loans With No Credit Check
Searching for cash assistance can be a daunting task, especially for those with poor credit scores. But you should not worry – thanks to advances.....»»
DepEd flagged over P10 billion unliquidated cash advances
The Commission on Audit has flagged the Department of Education over the accumulation of unliquidated cash advances by its central officeand several regional offices,, which stood at P10.183 billion as of the end of 2022......»»
BSP keeps rate cap on credit card transactions
The Bangko Sentral ng Pilipinas has maintained the cap on interest rates on all credit card retail purchases and cash advances at 36 percent per year or three percent per month......»»
Confidential, intelligence funds
The proposed 2024 budget of certain government agencies generated different reactions from our citizens. Many are challenging and doubting the wisdom of allocating confidential and intelligence funds to different agencies. In a democracy, this is normal and acceptable. However, allow me to discuss this matter more thoroughly, particularly the difference between the two, the agencies entitled to these funds, and the safeguards put in place, to have a more fruitful discussion. On 8 January 2015, the Commission on Audit, Department of Budget and Management, Department of the Interior and Local Government, Department of National Defense, and the Governance Commission for Government-Owned or Controlled Corporations issued Joint Circular No. 2015-01 which established the Guidelines on the entitlement, release, use, reporting, and audit of Confidential Funds and/or Intelligence Funds. Most, if not all, assume that Confidential Funds and Intelligence Funds are one and the same. They are not. Confidential Funds refer to the lump-sum amount provided as such in the General Appropriations Act or GAA for National Government Agencies, in appropriation ordinances for Local Government Units, and the Corporate Operating Budget for GOCCs for their Confidential Expenses. On the other hand, Intelligence Funds refer to the lump-sum amount provided as such in the GAA for NGAs. More accurately and as defined by the Joint Circular, Confidential Funds are used by the NGAs, LGUs, and GOCCs for their Confidential Expenses which refer to those expenses pertaining/related to surveillance activities in “civilian government agencies” that are intended to support the mandate or operations of the agencies. Intelligence funds refer to the lump-sum amount provided as such in the GAA for NGAs for their Intelligence Expenses which refer to those related to “intelligence information gathering activities of uniformed and military personnel, and Intelligence Practitioners that have direct impact on national security.” It is worth noting that Intelligence Practitioners are the following agencies: DND Office of the Secretary and Government Arsenal; Philippine Navy, Philippine Air Force, Philippine Army and Armed Forces of the Philippines-General Headquarters; Philippine National Police; Philippine Coast Guard; National Intelligence Coordinating Agency; Philippine Drug Enforcement Agency; and other NGAs which are expressly provided budget allocations for IF under the GAA, or other law/s. Another misconception is that only specific and limited agencies are entitled to these funds. Paragraph 4 of the Joint Circular expressly states that the following are entitled to Confidential Funds and/or Intelligence Funds: NGAs which are expressly provided budget allocations for Confidential Funds and/or Intelligence Funds under the GAA or other law/s; GOCCs as provided in their COBs in respect only to CF as may be expressly authorized by the GCG under RA 10149, and by the DBM for “all other GOCCs;” and “LGUs whose peace and order is a priority concern and which have duly allocated Confidential Funds,” but not Intelligence Funds, in their annual appropriation ordinances. The common misconception that Confidential Funds and Intelligence Funds are free from oversight, reporting requirements, and liquidation procedures is inaccurate. The Joint Circular provides safeguards and procedures for scrutiny by the CoA. The Joint Circular specifically enumerates and differentiates the procedural guidelines and reporting requirements for the release, augmentation, and additional Confidential Funds and Intelligence Funds among the NGAs, LGUs, and GOCCs. It also provides for a strict list of procedures regarding the grant and liquidation of cash advances, again differentiated and delineated among NGAs, LGUs, and GOCCs. Discussing all the steps will be too burdensome and lengthy for this article. I suggest we all read and study the Joint Circular before we pass judgment on the allocations and entitlements of the different agencies. The post Confidential, intelligence funds appeared first on Daily Tribune......»»
COMELEC: P2B unliquidated 2022 expenses down to P717M
The Commission on Elections on Monday reiterated that the unliquidated cash advances of more than P2 billion the Commission on Audit had flagged were down to P717 million as of 12 July 2023. At the weekly Laging Handa press briefing Comelec spokesman Atty. Rex Laudiangco said the liquidation of cash advances is continuing process done by the election officials who incurred the expenses during the last national and local elections in 2022. In its 2022 annual report, COA noted that the poll body’s cash advances granted to accountable officers jumped from P380 million to P2.089 billion in a span of a year. Laudiangco, however, said most of the accountable officers have already submitted liquidation reports showing that the funds were used for command conferences, teachers' trainings as election officers, accommodations and honoraria of electoral boards. "At kung hindi man po maili-liquidate ay naku, mapipilitan pong magsampa ang Comelec ng mga kinauukulang kaso sa mga tao po na tumanggap ng mga cash advances na iyan. In both instances, maibalik, mai-liquidate, masampahan ng kaso, sisiguraduhin po ng Comelec na accounted for po ang lahat ng iyan ( If they cannot liquidate those advances, Comelec has to slap them with administrative cases. The funds will be liquidated, and if not, cases will be filed against those who failed to do so. Comelec will ensure that these funds are all accounted for in the end)," Laudiangco said. He added that a total of P1.34 billion had been liquidated so far and the remaining over P700 million balance is still being documented based on expenditures incurred during the 2022 polls. 'Ito naman po ay recorded sa Comelec, at natukoy na po namin ang lahat ng tao na responsable dito. May direkta na pong demand letter na ipinadala sa kanila. At iyong demand letter po ay may kaakibat na aksyon iyan: Kailangan ma-liquidate nila, lahat po iyan ay mai-submit ang dokumento, otherwise, kasunod po iyong dalawang bagay -- una, pagwi-withhold ng kanilang salaries at benefits; ikalawa, kapag hindi pa rin po umubra iyon, iyong pagsasampa po ng kaso patungkol sa unliquidated cash advances (These are all recorded by the Comelec and we already know the people who still have to submit their liquidation reports. Demand letters were already sent to them, and the results may be two-fold -- first, we may withhold their salaries and benefits, and second, a case will be filed against them over their unliquidated cash advances," said Laudiangco. The post COMELEC: P2B unliquidated 2022 expenses down to P717M appeared first on Daily Tribune......»»
Comelec liquidating advances
The Commission on Election’s P2.169-billion unliquidated cash advances up to the end of 2022 had been pared down to P717.15 million as of Wednesday, 12 July, according to the poll body on Thursday. The liquidation was on account of its “closer coordination” with the Commission on Audit, the Comelec said. The P717.15 million is being continuously liquidated, the poll body added. “However, we must note that the liquidation of cash advances is a continuing administrative process,” it said. CoA’s 2022 report revealed that P2.169 billion in Comelec cash advances remained unliquidated. Of the amount, P2 billion was for expenses related to the May 2022 elections. State auditors said this was a violation of Section 89 of Presidential Decree 1445, which states, “No cash advance shall be given unless for a legally authorized specific purpose. A cash advance shall be reported on and liquidated as soon as the purpose for which it was given has been served.” According to the CoA circular, cash advances should be liquidated within five to six days. The poll body, however, responded that the outstanding amount was expected to be settled at “the soonest possible time.” The post Comelec liquidating advances appeared first on Daily Tribune......»»
Rule vs rule
It is probably neither a good nor bad thing to have the legislative proceedings of the Lower Chamber of Congress broadcast nationwide on a mainstream or social media platform. At least, it’s the most basic pretension of an institution toward transparency and, perhaps, accountability as well, although it can be entirely something else (i.e. a media blitz for the more dominant type or the glib politician). Mind you, there’s a viewing universe as much confused as those who debate whether or not an invited resource person can invoke the sub judice rule to not respond to questions raised by a joint committee, as in the case of a provincial governor of Northern Luzon. House members rightfully invoked their institutional rules on matters sub judice arguing, as they do, that it can proceed as long as it is in aid of legislation. Viewers may have learned by now how a typical congressional investigation proceeds and whether that kind of freewheeling discussion has resulted in a policy designed to curb corruption or streamline wicked practices. Quite glaringly, very little is reached in terms of tangible results or policy outcomes largely because the final verdict lies with the High Tribunal. Thus, there’s good ground for the ordinary man on the street to ask which must prevail, viz., the individual invoking his right to refuse to respond to queries in a congressional inquiry on account of the sub judice rule or a joint legislative committee professing that its own rules could set sub judice aside? It is not that the beleaguered governor wasn’t willing to cooperate, having been a member of the Lower Chamber himself for 20 years, but because it was well within his rights to do so. Again, because the proceedings are live-streamed and therefore found in the public domain, it is within justifiable bounds to have viewers react to the behavior of the provincial governor who was subjected to a “question and answer” ordeal, or the congressmen who looked tirelessly redundant, even patient, trying to extract all sorts of information they thought wise. Good thing that as a former colleague himself, the committee members did not have to threaten the provincial governor with “contempt.” In undiminished dignity, the joint committee allowed the position of the good governor to take its due course until his attendance was eventually dispensed with. Perhaps, the respectable mark of democracy at work is when, at times, Congress itself cannot win over a “clash of world views,” as in this case. There must be other ways it can ferret out the truth of whether the disbursement of funds to “bonded officers” by way of cash advances beyond their authorized ceiling could be the proper subject of a new public policy — in aid of legislation. The focal point of this discussion or lesson learned in this case is that there ought to be an ethical norm that would govern the behavior of every attendee in a congressional probe — be they resource persons or members of Congress themselves — in accordance with established parliamentary procedures, the most basic of which is for the chairman of the committee to first recognize who wishes to or whose turn it is to speak. At this time in its long history, Congress’ performance of its oversight function should already be “more organized, better formulated, skillfully integrated, respectably summarized” with the objective of the viewing audience becoming well-informed of the high points of a congressional inquiry. If possible, it should open a window of opportunity for anyone to join the national conversation based on what they saw, heard, and formed by way of judgment. In the end, the superior understanding of corruption in the bureaucracy at national or subnational levels should be framed within the grasp of every taxpayer in this country. They simply deserve to know the whole truth. The post Rule vs rule appeared first on Daily Tribune......»»
Good audit, good barangay governance
A local government public administration practitioner and a college professor are one in saying that a good audit could lead to good barangay governance. They said the country needs developmental auditors who could promote the general welfare of the public, especially at the grassroots level. A good auditor conducts financial audits and not fraud audits in the agency where he or she is assigned as a resident auditor. A financial audit is constructive, developmental and progressive. A fraud audit is negative in perspective. The financial audit enables. The fraud audit disables. Last week, I came across an audit report on the accounts and financial operations of a barangay in a city of Metro Manila. The audit report was prepared and submitted by a financial auditor with excellent expertise in both communication and local state audits. The audit found, among other things, deficiencies such as a violation of procurement law for resorting to a personal canvass instead of a public bidding; failure to plan and manage effectively the financial resources, as shown by the unreconciled discrepancy in bank reconciliation statements; non-registration with PhilGEPS despite a substantial procurement of goods; non-coordination with the office auditor when there were deliveries of procured items; non-implementation of laws, rules, and regulations governing cash advances; and failure to revert to the unappropriated surplus long outstanding accounts payable that had long remained unclaimed. To overcome the above deficiencies, the Audit Team recommended the following courses of action: Instead of resorting to a personal canvass in procuring goods, the Barangay should utilize the procedure provided under Republic Act 9184 and its implementing rules and regulations; The Punong Barangay should stop the practice of processing claims that are not supported by complete documentation; To avoid a cash deficit, the Barangay should use cash flow analysis in monitoring its cash inflows as against outflows; To resolve the unreconciled discrepancy in the bank reconciliation statement, the office of the city accountant should analyze the discrepancy between the books and bank balances of Cash in Bank-Local Currency Current Account or CIB-LCCA, and make the necessary adjustments in the books of accounts for presentation of account balance, and submit a bank reconciliation statement or BRS indicating the breakdown and nature of the reconciling items, together with the supporting documents; The Barangay should register with PhilGEPS and begin its utilization in accordance with the 2009 RIRR of RA 9184; The Punong Barangay should send written notices of delivery to the City Auditor’s Office within 24 hours of acceptance of deliveries by the Barangay; The Punong Barangay should see to it that the Barangay Treasurer remits the taxes withheld to the BIR in full; To resolve the issue of unliquidated cash advances, the Barangay Treasurer should be required to liquidate immediately long outstanding cash advances granted and implement available remedies under COA Circular 2012-004; and The Barangay Treasurer should revert the long outstanding accounts payable to the unappropriated surplus of the General Fund pursuant to Section 98 of PD 1445. In accordance with the request of the Audit Team for comments, we are respectfully submitting the following: We appreciate the meticulous care that the Audit Team exerted in going over the way the Barangay handled and managed its funds and resources, how things and people were administered within the village, and how fiscal discipline was observed in accordance with the law and rules that we can recall and within the confines of Section 16 and Section 17 of the Local Government Code regarding general welfare and self-reliance. We tried our best, but our best was not enough. We had shortcomings but rest assured such shortcomings were simply procedural. Indeed, your findings in this exercise will prove very useful in our sincere effort to correspond with equivalent zeal to fully comply with the requirements of the Office of the City Auditor. The recommendations are clear, precise, and simple. We shall observe them as required by the law, the rules, and regulations of the Commission on Audit. The post Good audit, good barangay governance appeared first on Daily Tribune......»»
Digitize, digitize, digitize
Even before the Covid-19 pandemic struck, the banking industry already had digitalization on top-of-mind discussion in board meetings. But the pandemic presented new circumstances that created an unstoppable trend that made digital banking more relevant than ever. UnionBank of the Philippines president Edwin R. Bautista said the pandemic disrupted the industry and that almost every bank, large and small, adopted digital technology and saw a spike in digital banking usage. "We are taking the digital banking approach," Bautista said in an interview with Daily Tribune. "Digitalization allows us to lower our operational costs. Now we are also leveraging the use of artificial intelligence to serve the traditionally underserved sectors because the technology now lowers the cost of servicing that sector." UnionBank's willingness to adopt digital tools and cutting-edge innovations, when needed, allowed it to expand its market reach. Its relentless pursuit to be at the forefront of digitalization, not only in the banking sector but in the Philippines, is extraordinary. The introduction of AI was a big leap for UnionBank. Bautista said, "Traditional banks will not touch the so-called unserved and underserved sectors because the cost of servicing them was too high. A big portion of the cost is the fact that it is very difficult to predict whether they will pay back or not. In the past, banks assessed credit by looking at financial statements, taxes, etc. It is more difficult for the underground economy because they have no written transaction documents." The lack of these essential documents does not mean a person cannot pay, but rather, the banks try to avoid them because of the risks. "AI helps us by putting together different information about that particular business or person, including the cash flows, sales, and other trends that are usually taken for granted by manual assessments. AI can give a prediction on the likelihood of whether they will pay you back or not, Bautista added. Indeed, UnionBank is one of the very first banks to witness the storm of digitalization. Unfortunately, many popular banks are very slow to catch up and are new to the list of digitalization. Low digital banking penetration Although the Philippines is one of the fastest-growing economies in Southeast Asia, the country has the lowest digital banking penetration of any Asian market, according to a study by McKinsey& Company. In a survey, McKinsey found that only 12 percent of Filipinos had tried Internet banking, compared with 28 percent in other developing countries of the region. “In the Philippines, 35 percent of digital consumers (defined as consumers who make purchases online) own a smartphone, but only nine percent of Filipino consumers said they had used a smartphone to bank, compared with 26 percent in developing Asia,” the study said. In addition, local banks allocate less than 10 percent of their revenues to IT, compared with nearly 15 percent among leading banks elsewhere in Asia–Pacific and digital channels account for just five to 15 percent of their income, well below the average of 25 percent for their peers in Asian emerging markets. But change is coming, Bautista said. 'No more baby steps "We have a problem if we continue taking baby steps because, by the time your development is ready, a new technology will emerge. You need to move faster and you need to take bolder actions if you want to ensure that you stay in the game," he added. In order to be competitive, Bautista said technological advances such as blockchain and AI would need to be integrated into the banking system, adding these technologies will play a critical role in the evolution of the industry. The need to modernize the banking industry's backbone, including its core banking systems, deposits and credits, will remain the most important services of a bank, he added. Bautista said that harnessing the powers of AIs, machine learning and blockchain would deliver a seamless customer experience on the front end by solving the growing intolerance of clients for glitchy apps or systems. “We don’t really know where the banking sector or technology is going to go because, to me, the AI that we see right now is not even stage one of its potential. Yet, we are already talking as if our lives will be destructed by the technology,” he said. “You can just imagine if we reach stage two or three,” Bautista added. According to Bautista, AI is going to disrupt our lives in all aspects. “We don’t know how big its impact will be, but we have to figure out how we can adapt,” he said. All told, no matter how banks utilize digital technologies or even AI, the focus on technology and constant investments in IT infrastructure across the industry is paramount to avoid the risk of being disrupted and be prepared for any disruption. The post Digitize, digitize, digitize appeared first on Daily Tribune......»»
Reinstituting pre-audit (3)
Heads of government agencies should start to familiarize themselves with the following aspects of CoA Circular 2009-002, dated 18 May 2009, the system of pre-audit that is being recommended by retired and senior state auditors for adoption by the administration of Commission on Audit chairperson Gamaliel A. Cordoba. Whether or not, CoA will adopt the above-mentioned circular, the following aspects shall be similar in whatever pre-audit system will be adopted by the present CoA leadership: Responsibility to Conduct Pre-Audit Pre-audit shall, in addition to the existing duties and functions, be the responsibility of the head of the auditing unit/audit team. In an auditing unit where a Supervising Auditor and Audit Team Leader(s) or ATLs are assigned, the pre-audit functions shall be discharged by the SA. Pre-audit functions in all other auditing units headed by ATLs, whether or not placed under the supervision of SAs, shall be carried out by such ATLs. In case of the absence of the person duly authorized to perform a pre-audit for one to five working days, he shall designate an officer-in-charge who shall temporarily perform the pre-audit functions. A copy of such designation shall be furnished to the Cluster Director or Regional Director concerned for information and record. Where the SA or ATL, as the case may be, is absent for more than five working days but not more than 30 working days, the designation shall be done by the Cluster Director or Regional Director, and over 30 working days, by the Chairman. Duties and Responsibilities of Agency Official Agency officials concerned shall ensure that no transactions covered by this circular are paid out without evidence of the audit action of the SA/ATL as required herein: Submit to the SA/ATL concerned all disbursement vouchers/documents for claims subject to pre-audit; Submit to the SA/ATL the advice/instructions including, among others, Memorandum of Agreements or MoAs and Memorandum of Understandings or MoUs and their supporting documents for transfers of funds subject to pre-audit; See that cash advances granted are liquidated within the prescribed period and liquidation submitted to the SA/ATL concerned within 10 days from the date the liquidation document is received from the accountable officer; Maintain complete and up-to-date subsidiary records of cash advances for each accountable officer to record the cash advances granted and liquidated. Submit to the SA/ATL concerned copies of contracts, purchase/letter orders, loan agreements, bond flotation/certificates of indebtedness, whether domestic or foreign, and appraisal reports of property for disposal, including all supporting documents required in CoA Circular No. 2009-001 dated 12 February 2009 and its annexes, for review within five days from their perfection; Ensure that the disbursement vouchers are duly supported with the requisite documents for each specific claim and accompanied by a duly accomplished relevant checklist for technical review as provided in CoA Circular No. 2009-001 dated 12 February 2009, as well as the requirements enumerated in CoA Circular 2007-001 (for releases to NGOs/POs) and its subsequent amendments, if any. If the supporting documents have been previously furnished to the auditor pursuant to what is indicated in the accompanying document checklist. Any deficiency in the supporting documents shall cause the return of the documents without action, within 24 hours, for completion or rectification of the deficiency; See that no splitting of requisitions, purchase orders, vouchers, and the like is resorted to circumventing the control measures provided in these circulars and other laws and regulations. For this purpose, a project funded under a single obligating authority and implemented in several phases whether by the same or different contractors shall be deemed a splitting of contracts; and Maintain a separate record/logbook of all transactions subject to and submitted to the SA/ATL for pre-audit. The post Reinstituting pre-audit (3) appeared first on Daily Tribune......»»
The Bank for International Settlements certifies the return of demand for cash after the pandemic
Madrid, March 7 (European Press) – The Bank for International Settlements (BIS) has endorsed a recovery in demand for cash after the pandemic, despite advances.....»»
Ex-Cebu town treasurer convicted over late mayor’s cash advances
A former municipal treasurer of Ronda, Cebu may spend up to 20 years in prison in connection with the unliquidated cash advances of the late mayor Esteban Sia in 2009 amounting to P2.063 million......»»
Comelec sinita ng COA sa P671M unliquidated cash advances
MANILA, Philippines- Inihayag ng Commission on Audit na ang Commission on Elections ay mayroong unliquidated cash advances na nagkakahalaga ng P671.473 milyon at karagdagang cash advances na may kabuuang P90.5 milyon sa kabila ng non-liquidation ng naunang cash advances. Sa 2021 audit sa Comelec, inilahad ng state auditors na ang reliability ng balance ng advances […] The post Comelec sinita ng COA sa P671M unliquidated cash advances appeared first on REMATE ONLINE......»»
Flags of inconvenience
President Duterte has never been a fan of the Commission on Audit. He once joked about pushing a COA auditor down the stairs because of cash advances that were not allowed. On another occasion, he talked about kidnapping and torturing auditors......»»
COA to Army: Stop ‘huge’ cash advances
The Commission on Audit has asked the Philippine Army to stop the practice of granting “extremely huge” cash advances to a few officers, saying that it exposes the government funds to the “risk of loss or misappropriation.”.....»»
Sandigan affirms ex-Lanao Norte town mayor’s conviction
The Sandiganbayan has upheld the conviction of former mayor Norlaine Limbona of Pantar, Lanao del Norte in connection with the illegal grant of cash advances to a municipal employee in 2008 amounting to P11.8 million......»»
COA calls out Baguio LGU over COVID-19 spending
The Commission on Audit has flagged the Baguio City government over its questionable cash advances in connection with its response to the COVID-19 pandemic......»»
Ex-Lanao mayor gets 10 years for graft
A former municipal mayor in Lanao del Norte has been sentenced to six to 10 years in prison for granting P11.8 million in cash advances to a municipal employee......»»
Ex-gov sued for graft anew
Quezon Rep. David Suarez is facing another graft complaint before the Office of the Ombudsman, in connection with unliquidated cash advances during his term as governor......»»
Ex-PNCC exec gets life term over P39.6 million
The Sandiganbayan has sentenced a former official of the government-owned Philippine National Construction Corp. to life in prison for failure to liquidate P39.62 million in cash advances from 2006 to 2010......»»