Saturday, November 4, 2017

COA's 2016 audit: Yolanda funds over P2 billion, not properly accounted for

Photo file from Philstar (ctto)

Manila, Philipines - The Commission on Audit disclosed that there is P2.45 billion in government funds and resources allocated for Yolanda Recovery and Rehabilitation Program (YRRP) were not properly accounted for.

The YRRP was handled by the Philippine Coconut Authority (PCA).

According to recent 2016 Annual Financial Report (AFP) for Government-Owned and -Controlled Corporations (GOCCs), COA reprimanded the National Electrification Administration (NEA), for failing to demand the return of P279.45 million from YRRP counterpart funds provided to electric companies.

COA said that the said fund should have been used for rehabilitation of power in areas affected by typhoon Yolanda. NEA was called out to recover the money as it could be used to other areas that need to be financed.

The audit agency also noted some irregularities on how PCA handled the YRRP, there were numerous violations of the government procurement law after COA’s audit of P688.718 for Yolanda relief operations and also the anti-coconut scale insect project sometime in 2015.
Furthermore, among the audit results conducted on PCA, supply contract for different equipment with questionable purchases were found.

Among the 608 state-owned firms covered by COA’s jurisdiction, the following irregularities were noted under the same 2016 AFR;

·         Questionable P38-billion Joint Venture Security Agreement between the government-run APO Production Unit and the private printing firm United Graphic Expression Corporation (UGEC) for the production of e-passports over a 10-year period starting 2016.

·         Delay of 11 to 1,438 days in the completion of 82 irrigation projects of the National Irrigation Administration by contractors who showed “unsatisfactory performance.” Projects cost government P4.53 billion.

·         Possible irregular use of government funds made by Bases Conversion Development Authority for granting P36 million in financial assistance to persons affected by the Clark Green City program.

·         Increasing incidence of electronic fraudulent schemes such as ATM skimming and unauthorized on-line purchases affecting the Land Bankg of the Philippines, and

·         Failure of the Philippine Amusement and Gaming Corporation to impose required posting of performance cash deposit (PCD) by various electronic and traditional bingooperators which consist violations of the Gaming Site Regulatory manual. Suspension of gaming licenses were recommended until PCD totaling P115.8 million is paid.