AFP dismisses ‘misleading’ online claims on COA observations

The Armed Forces of the Philippines (AFP) on Thursday called out social media posts allegedly misrepresenting as corruption the 2024 Commission on Audit (COA) findings on the military organization.

In a statement, the AFP pointed out that the military has already acknowledged and taken corrective measures on the observations made by COA in its 2024 Annual Audit Report. 

“The COA observations are intended to further strengthen accounting procedures, internal controls, and financial management systems,” the AFP said.

“However, certain narratives circulating on social media have selectively cited portions of these observations and misrepresented them as findings of corruption, a claim not supported by COA’s conclusions,” it added.

‘Unauthorized’ bank accounts

Regarding bank accounts described as “unauthorized,” the AFP said these were opened solely to support legitimate welfare programs for its personnel. 

These included accounts for the PCSO Endowment Fund, funds from other government agencies for soldiers’ medical needs, and PhilHealth-related accounts used only to pay doctors’ professional fees to ensure continuous medical services.

The issue raised by the COA involved non-compliance with approval procedures, not misuse of funds, diversion, or personal benefit, the military pointed out.

In line with COA directives, the AFP has closed five of the six accounts cited and remitted the remaining balances to the Bureau of the Treasury where applicable.

The AFP also coordinated with the Permanent Committee Board to retain one account as an authorized repository for inter-agency funds supporting the projects and programs of national government agencies and GOCCs.

Unliquidated cash advances

On unliquidated cash advances, the AFP said the stated amount refers to funds released for legitimate official purposes especially in areas where regular banking or check payments were not feasible.

These funds were still pending liquidation in the accounting records at the time of the audit and were not lost, stolen, or misused. The AFP has issued demand letters and enforced accountability measures against the officers concerned.

“As of 30 September 2025, P178.72 million out of P201.86 million has already been liquidated, representing an 82.36% liquidation rate, leaving an outstanding balance of P23.13 million,” the AFP said.

The military continues to pursue recovery and resolution of the remaining balances, including cases involving resigned, AWOL or deceased accountable officers, the AFP said.

“In instances where the obligation is already beyond the prescriptive period or recovery is no longer legally or practically feasible, the AFP is formally requesting COA for the appropriate write-off, strictly in accordance with existing rules and regulations,” the AFP said.

The  AFP noted that the organization has consistently received an “Unmodified Opinion” from COA for seven consecutive years from 2018 to 2024.

Unmodified Opinion means that the financial statements present fairly, in all material respects, the financial position and operations of the AFP in accordance with International Public Sector Accounting Standards (IPSAS), the military said. — RSJ, GMA Integrated News