Miriam wants inquiry on OP’s P437 M unliquidated cash advances

Sen. Miriam Defensor-Santiago has called for an inquiry into the Commission on Audit (COA)’s report that the Office of the President (OP) has accumulated some P437 million in unliquidated cash advances as of December 2013.

In a resolution, Santiago said that it is imperative for Congress, “on which the power of the purse rests, to ensure that public funds are judiciously used for their intended purpose.”

Santiago cited the report of the COA, which indicated that the OP had P436.9 million in unliquidated cash advances as of Dec. 31, 2013.

According to the COA, the total was composed of P8.045 million in advances to officers and employees and P428.8 million in other receivables.

It was indicated that out of the total P437 million, P425.6 million were supposedly racked up during the previous administration, while the Aquino administration accounted for P11.3 million.

The COA noted that additional cash advances were granted to some accountable officers even though the previous cash advances were not yet settled.

It was noted that this was a violation of the rules governing the release, use and liquidation of cash advances.

“As the seat of power of the highest official of the land, Malacañang must ensure that all its agencies abide by principles of transparency and accountability in all financial transactions,” Santiago said.

Under Section 89 of Presidential Decree No. 1445 or the State Audit Code of the Philippines, a cash advance “shall be reported on and liquidated as soon as the purpose for which it was given has been served.”

“No additional cash advance shall be allowed to any official or employee unless the previous cash advance given to him is first settled or a proper accounting thereof is made,” the same provision stated.