SSS ordered to return R71-M unauthorized incentives

Officials and employees of the Social Security System (SSS) have been asked to return to government 71,612,873 in unauthorized allowances and extra cash benefits they received in 2012.

The Commission on Audit issued a final ruling disallowing cash payments to SSS personnel which included “short-term variable pay, Christmas gifts and bank gift certificates.

Handed down by COA Commissioners Heidi L. Mendoza and Jose A. Fabia, the audit ruling rejected with finality a petition for review filed by SSS officials who insisted that the extra pay they received in 2012 was allowable under the law.

COA records indicated that the disallowance of payment for the allowances and extra cash benefits was issued by resident auditors assigned to the SSS.

Resident auditors issued the notice of disallowance June 13, 2012 prompting SSS to file an appeal which was denied by the COA in a resolution issued on November 5, 2013.

Auditors said the distribution of the allowances was not covered in the agency’s Corporate Operating Budget for the year hence in violation of COA Circular No. 85-55A.

Under the audit observation, auditors stressed that the disallowed cash payments included “short-term variable pay”, Christmas gifts and bank gift certificates distributed to officials and all personnel of SSS.

The SSS sought a review of the decision on November 28, 2013. This was considered a second appeal to the audit disallowance.

COA insisted that the bid for reconsideration was filed beyond the 180-day or six month allowable period for appeal.