Ridon: Additional P300-million OVP confidential funds release disallowed

House Committee on Public Accounts chairperson Terry Ridon on Sunday said another notice of disallowance (ND) was issued by state auditors against confidential funds released by the Office of the Vice President (OVP), this time amounting to P300 million.

It can be recalled that the Commission on Audit earlier affirmed the ND on the OVP's disbursement of P73 million in confidential funds from December 21 to 31, 2022.

EXPLAINER: What is a Notice of Disallowance?

“These are two different matters. As far as the P73 million is concerned, tapos na iyon sa [that is finished with the] COA. If they still want to contest it, the next step is no longer within the COA process but before the Supreme Court,” said Ridon, who is also a member of the House justice panel looking into impeachment proceedings against Vice President Sara Duterte. 

“But there is also a new notice of disallowance covering at least P300 million in confidential funds. So hindi ito nagtatapos sa naunang kaso, dahil may hiwalay na ND na pinag-uusapan ngayon,” he added. 

(This does not end with the first case, because there is a separate ND being discussed now.) 

Ridon explained that theP73-million disallowance carries a final ruling that holds the specific officials personally liable. In contrast, the more recent figure is still being reviewed and has not yet reached a definitive conclusion in the audit process. 

“Kapag naging final ang finding ng COA, hindi na ito usapin ng opisina lamang. May personal na pananagutan na ang mga pinangalanan sa disallowance,” the lawmaker said. 

(Once the COA finding becomes final, it is no longer just a matter concerning the office. The individuals named in the disallowance will have personal accountability.) 

Ridon suggested that this additional disallowance proves the confidential funds controversy isn't just a one-time issue as it hints at a wider pattern of transactions that are now under scrutiny. 

“To be clear, the recurring issue is still the same: hindi nila maipakita nang maayos ang mga report at supporting documents para mapatunayan ang paggamit ng confidential funds,” he said. 

(To be clear, the recurring issue is still the same: they cannot properly present the reports and supporting documents to prove the usage of the confidential funds.) 

According to COA Circular No. 2009-006, a disallowance “is the disapproval in audit of a transaction, either in whole or in part.” 

The circular said that auditors shall issue an ND “for transactions which are irregular/unnecessary/excessive and extravagant.” An ND is also issued for illegal expenditures. 

On March 25 the House justice panel began its hearings on the impeachment complaints filed against Duterte. The vice president did not attend the hearings on March 25 and April 14. 

During the April 14 hearing, the National Bureau of Investigation (NBI) also released its forensic investigation of the acknowledgement receipts, which supposedly serve as proof of who received the confidential funds of the Department of Education during Duterte’s tenure as its secretary, as well as those of the OVP. 

The NBI stated that while the names are different, the signatures of several recipients appear to be identical. This includes the signatures of Sally Rendon and Sheila Dado.

The next hearings are scheduled for April 22 and 29. 

The impeachment complaints against Duterte accused her of the alleged misuse of P612.5 million in confidential funds; threatening to kill President Ferdinand "Bongbong" Marcos, Jr. including her desire to remove his head; and the alleged accumulation of unexplained wealth. — BM, GMA News