Manila: A state auditor of the Commission on Audit (COA) said Vice President Sara Z. Duterte is liable for irregularities found in the use of confidential funds by the Office of the Vice President (OVP) in December 2022. Xylene Mae del Campo, supervising auditor of the COA-Intelligence and Confidential Funds Audit Office (COA-ICFAO), testified before the Senate impeachment court on Tuesday that a notice of disallowance was issued by the agency for PHP73.28 million in confidential funds utilized by the OVP for the period Dec. 13 to 31, 2022.
According to Philippines News Agency, Del Campo stated that the OVP failed to show proof of success in evidence gathering and surveillance activities, which is required in the payment of rewards using confidential funds. A total of 105 activities were included by the OVP in its response but Del Campo said no particular accomplishment was cited as evidence to support the success of the confidential activities.
Del Campo cited the provisions of Joint Circular 2015-01, which is used by COA as the guidelines on the use and liquidation of confidential and intelligence funds. Under the circular, the use of these funds is subject to three conditions: approval by the head of the agency, support with documents evidencing success of information gathering and/or surveillance activities, and direct relation to the confidential activities of the agency.
Among the sample of confidential activities presented were an appreciation night with Department of Education partners and Christmas activities with various associations and groups. Additionally, PHP69.78 million in confidential fund use was disallowed for purchases unrelated to confidential activities, lacking official receipts or sales invoices.
Del Campo's draft notice of disallowance was approved by COA Assistant Commissioner Nilda Plaras. Duterte, as head of the agency, was listed first as liable for the disallowed uses, along with Gina Acosta, the special disbursing officer, and Julieta Villadelrey, the chief accountant of the OVP.
The OVP filed a petition for review with the COA on Feb. 5, 2025, but the COA proper affirmed the notice of disallowance, including the demand for the return of PHP73.287 million. A motion of reconsideration was filed by the OVP, which Del Campo said has a pending resolution.
Reacting to Del Campo's testimony, prosecution panel adviser and spokesperson Ace Barbers stated it reinforced the documentary evidence and provided the impeachment court with a clear explanation of COA's audit procedures and the manner of record evaluation. Barbers emphasized the testimony's significance in identifying the office responsible for the confidential fund releases.
The prosecution panel noted that Del Campo's audit relied on official reports and documents, showing continuity in the audit process and constitutional oversight. Barbers highlighted the prosecution's objective of presenting a complete and coherent body of evidence before the impeachment court, emphasizing public accountability and trust in government institutions.
