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Lacierda: Supreme Court spent nearly P9M of WB loan on 'ineligible expenses'

January 18, 2012 3:20pm
The Supreme Court allegedly spent P8.6 million ($199,000) of a $21.9 million World Bank loan on "ineligible expenses" disallowed by the bank such as meals, accommodations, airfare and allowances for justices, conference registrations, computer equipment, and goodwill games.
 
Based on a report provided to some government officials, the World Bank asked SC to refund these expenses.

A briefer on the report was furnished to reporters by the Office of the Presidential Spokesperson on Wednesday.
 
SUMMARY OF INELIGIBLE EXPENSES DISALLOWED BY THE WORLDBANK
Goodwill Games P9,080.00
January 13-14, 2011 SC Sports Event  
Conference Registrations P63,857.00
Conference registration at Atlanta, USA  
Conference registration at Bogor, Indonesia  
Hotel Accommodations P104,327.00
1 hotel accommodation at Cebu  
1 hotel accommodation at Manila  
Restaurant Bills P127,010.00
Php33,539.00 at LGC Restaurant Adriatico Manila  
Php79,212.00 Dinner at Manila Hotel  
Php14,259 food reimbursement at Cebu  
Airfare P212,339.00
5 trips to Cebu worth P51,749.00  
2 trips to Indonesia worth P62,296.00  
A trip to Australia worth P98,294.00  
Conferences and Seminar Resource Person Fees P227,906.00
10 Seminars on "Revisiting the Code of Conduct for the
Court Personnel"
 
Reimbursed Travel Expenses P564,450.00
Australia May 5-7, 2011 worth P341,764.00  
Cebu March 17-19, 2011 worth P8,800.00  
Indonesia March 13-16, 2011 worth P213,886.00  
Printing Services P965,620.00
Computer Equipment P6,327,914.00
TOTAL P8,602,504.00
    Source: Annex 4 of the Judicial Reform Support Project (World Bank Memo)
 
'Scandalous, shocking'

At a press briefing Wednesday, presidential spokesperson Edwin Lacierda said it means “funds meant for judicial reforms were wasted: and in the process, basic rules of good governance were ignored.”
 
“The findings are as scandalous as they are shocking. The Chief Justice used judicial reform funds as a personal piggybank to fund travel, gifts, dining and recreation,” he said.
 
Lacierda said Judicial Reforms Support Project (JRSP) aims to support the development of a more effective and accessible judicial system that would foster public trust and confidence.
 
He said the project aims to strengthen the Philippine court system by making the judicial process more efficient, timely, and predictable.
 
“Obviously, expenses like goodwill games or basketball games, hotel accommodations do not fit into that category hence, the World Bank declared all of these expenditures ineligible,” Lacierda said.
                                                                                                                           
Laciera also alleged that Court Administrator Jose Midas Marquez, who reports directly to the Chief Justice, violated basic government rules by being the proponent, approver, and head of bidding for his own proposed expenses and acquisitions.          
                 
He added alleged misuse of funds could be tantamount to possible graft and corruption as the aide memoire calls for fiduciary review and states lack of control inside the financial management of the funds.  
 
He also pointed out that it is the public who is going to pay for the loans.
 
“The loan will be paid off by the people and, therefore, we wanted transparency here,” he said, adding “this is a third party objective assessment of the management of funds in the Supreme Court.”        

Transparency
 
Lacierda said they have always been confident that as long as the rules are applied and transparency observed, then wrongdoing will be revealed.
 
“Accountability is catching up with the Chief Justice and his subordinates who have given the Supreme Court a bad name, and who have shown themselves blind to the cause of reform,” he said.       
 
Lacierda also clarified that Malacañang has nothing to do with the release of the report to the public. - VVP, GMA News