After a day's delay due to heavy rains the impeachment trial of Vice President Sara Duterte resumed with testimony from another COA auditor. The revelations are more of the same but with additional details. The gist is that the funds allotted to the OVP were misused. It is Vice President Sara Duterte and a few of her executives are a liable for that misuse.
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| https://newsinfo.inquirer.net/2282315/sara-duterte-ovp-execs-security-head-liable-over-disallowed-cf |
Vice President Sara Duterte, two officials of the Office of the Vice President (OVP), and her security chief are liable for the disbursement of P73 million and P375 million in confidential funds that were disallowed by state auditors, a Commission on Audit (COA) official said Tuesday.
Xylene del Campo of the COA-Intelligence and Confidential Funds Audit Office (COA-ICFAO), who evaluated the OVP’s responses to COA’s findings over its use of confidential funds, made the statement while testifying on the 14th day of Duterte’s impeachment trial.
According to del Campo, after finding that the OVP’s responses remained non-compliant with the guidelines used in auditing confidential funds, she drafted Notices of Disallowance (NDs), requiring the liable officials to restitute or return the disallowed amounts.
For the first ND that disallowed 73 million pesos from the 125 million allocated for OVP’s confidential funds during the 4th quarter of 2022, “The persons liable or responsible is first, the Head of Agency, Vice President Sara Duterte; the Special Disbursing Officer, Miss Gina Acosta; and the Chief Accountant who is Miss Julieta Villadelrey,” del Campo said.
For the second ND, which demands restitution of 375 million pesos for the first, second, and third quarters of 2023, Duterte, Acosta, and Villadelrey were again named liable, along with Col. Raymund Dante Lachica, head of the Vice Presidential Security and Protection Group.
Del Campo said COA issued the second ND without first issuing a Notice of Suspension after finding a direct violation of the guidelines when Acosta admitted that she left the disbursement of confidential funds to Lachica, following Duterte’s order.
COA earlier affirmed the disallowance of the P73 million 2022 confidential funds, making restitution immediately required unless the Supreme Court issues a temporary restraining order.
Meanwhile, del Campo said the OVP may still avail of the 180-day appeal window for the P375 million disallowance for 2023 funds, which still remains in effect.
As defined by COA, an ND is an official document issued when the commission disapproves in whole or in part of a government transaction that is deemed “irregular, unnecessary, excessive, extravagant, or illegal.”
COA first issues an AOM informing the agency of its findings for its initial audit of the submitted documents for liquidation. They also demand more documents if needed.
If COA finds the agency’s response to the AOM still lacking, the COA then issues a Notice of Suspension, which temporarily suspends disbursement.
For both NDs, Duterte was held liable because she “approved the transactions, including the utilization of the cash advances” while Acosta acted as the special disbursing officer and payee of the cash advances and was “responsible for the disbursement of the confidential fund.”
In addition, Villadelrey was held liable for both NDs for certifying that the supporting documents for the transactions were complete and proper.
For the second ND alone, Lachica was held liable for receiving the cash advances for confidential expenses despite not being the designated special disbursing officer.
Among the accusations for why Duterte is facing an impeachment trial is the alleged misuse, misappropriation, and irregular liquidation of P612.5 million in confidential funds disbursed to the OVP and the Department of Education.
Strangely enough some of the OVP's funds were spent before they were even received. That is something which is not allowed under the rules of the COA's Joint Circular.
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| https://newsinfo.inquirer.net/2282277/coa-exec-says-some-ovp-secret-expenses-made-before-they-received-budget |
A state auditor has admitted that several of the activities cited by Vice President Sara Duterte’s office as confidential expenses were also disallowed for being made before they received the allocation, or before the P125 million confidential fund (CF) for 2022 was encashed.
During Duterte’s impeachment trial on Tuesday, Presiding Officer and Senator-judge Francis Escudero asked Commission on Audit (COA) auditor Xylene Mae del Campo whether his observations are correct — that the list of activities cited by the Office of the Vice President (OVP) in its liquidation reports were dated outside the allowable dates for CF expenditures.
For the fourth quarter of 2022, OVP was allowed to spend P125 million from Dec. 21 to 31, 2022, having withdrawn the allocation on Dec. 20. However, several activities used as justification by the OVP for their CF use included dates as early as Dec. 13.
"With the indulgence of counsel, Ms. Xylene, aside from it being disallowed because it does not fit the criteria of allowable uses for confidential funds as you mentioned, were the expenses made before the cheque was encashed?," Escudero asked.
"If based on the documents here, there are activities cited which happened between December 13 to 18 which are not part of the period of utilization based on the accomplishment report," Del Campo added.
Prior to this question from Escudero, del Campo admitted — upon direct examination by counsel for prosecution Lorna Kapunan — that several activities cited by Duterte’s office as confidential expenses, like tree-planting activities, provision of wheelchairs, and even Christmas parties are not allowed under the Joint Circular 2015-01, which set standards for CF use.The first activity mentioned by del Campo was an “appreciation night” with Department of Education (DepEd) partners in Mandaluyong City, dated Dec. 13, 2022.
Later on, Escudero asked again whether the CF expenditures would still be disallowed even if the justification mentioned complies with Joint Circular No. 2015-01. In response, del Campo said that it will be disallowed since CF cannot be used for reimbursement purposes, or the practice of using new funds to cover past expenses.
"So the funds released on (December) 21 cannot be used to reimburse that, if ever the activities were allowed and above board?," Escudero asked.
"Yes, because under the Joint Circular, there is a portion there stating that the confidential funds cannot be used for reimbursements," Del Campo answered.
"So prospectively speaking, the activities that can be allowed should fall within (December) 21 to 31?," the Presiding Officer asked again.
“Yes, that’s correct,” del Campo replied.
Del Campo was referring to Item 6.1.1 of the Joint Circular, which states that cash advances cannot be used for “liquidation of the previous cash advance.”
How the money was spent before it was received was not detailed but many of these expenses were for items which had nothing to do with proper usage of confidential funds.
Incidentally, many of these funds were disbursed in one day across the nation. A feat only Superman could accomplish says the prosecution.
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| https://www.pna.gov.ph/articles/1281635 |
Counsel for the panel of prosecutors, lawyer Lorna Kapunan, on Tuesday said only Superman could have done what was indicated in the documents submitted by the Department of Education to justify the use of its confidential funds.
Kapunan made the remark after reading before a prosecution witness and senator-judges scores of acknowledgement receipts of confidential funds paid off on the same day in different locations in Luzon, Visayas and Mindanao.
"Me, I read Marvel Comics, and Superman is my favorite. If the SDO is not Superman, do you think he can go to all these places?" Kapunan said, referring to the DC Comics superhero when she asked prosecution witness Xylene Del Campo, a state auditor of the Commission on Audit-Intelligence and Confidential Fund Audit Office (COA-ICFAO).
Kapunan's remarks earned an immediate objection from the defense counsel, saying the question was speculative.
"What is speculative about Superman, he can fly anywhere in one day?" Kapunan retorted.
Presiding Senator-judge Francis Escudero did not sustain the objection and instead directed Kapunan to move on.
“We get your point, counsel,” Escudero said, adding that it would be “physically impossible” for a lone disbursing officer to make confidential fund payments in far-flung locations on the same day.
Escudero then noted an earlier admission that the confidential funds had been turned over to another officer.
“And there was earlier admission that the SDO gave the funds to a Col. Lachica, probably even more. So that remains to be seen and proven in the coming days,” he said, referring to testimonies that the funds were turned over by the DepEd SDO to Col. Raymund Dante Lachica, who was then head of the Vice Presidential Security and Protection Group.
Escudero appeared to have mixed up the security officers involved. Lachica, then head of the Vice Presidential Security and Protection Group, figured in earlier testimony involving the OVP confidential funds.
In the case of the DepEd, Del Campo later testified that Edard Fajarda admitted under oath during a House inquiry that he turned over the confidential fund cash advances to Col. Dennis Nolasco, who was part of the same security group.
In her direct questioning of Del Campo, Kapunan read three batches of acknowledgement receipts (ARs) purportedly to support the liquidation of the PHP112.5-million CIF given to the DepEd in 2023.
The first batch was dated Feb. 21, 2023, the second four days later on Feb. 25, and the third on March 15, 2023.
Among the Feb. 21 ARs that Kapunan read were for PHP50,000, no name but with signature, paid in Danao; PHP100,000 in Malolos; PHP45,000 in Negros Occidental; and another AR with address in Negros Oriental.
The Feb. 25 receipts included PHP200,000 paid in Masbate, PHP100,000 in Laoag City, PHP45,000 in Davao City, one AR indicating an amount paid in Agusan del Norte, PHP50,000 in Olongapo City, PHP150,000 in Masbate, PHP45,000 in Davao City, and PHP50,000 in Pangasinan.
Kapunan read the March 15 ARs in quick succession, also mentioning the amounts, supposed recipients, and the date funds were allegedly distributed.
Asked about the significance of the documents, Del Campo said they showed that different amounts were given to informants in different places in one day.
Del Campo also testified that under a 2015 joint circular issued by COA, the Department of Budget and Management and three other agencies, only the Special Disbursing Officer is authorized to distribute confidential and intelligence funds.
She said in the case of the DepEd, when the Vice President was Education Secretary, the latter did not designate another person as SDO other than Fajarda.
Del Campo also affirmed the assertion of the prosecution’s first auditor-witness, Roderick Wamil, that under the joint circular, the agency head bears primary responsibility for the use of confidential funds.
Even Senator Escudero, the presiding official over the trial, acknowledged the physical impossibility of this feat.
It would be “physically impossible” for a lone disbursing officer to make confidential fund payments in far-flung locations on the same day.
Sen. Francis Escudero, the presiding officer of Vice President Sara Duterte’s impeachment trial, offered that observation on Tuesday, the 14th day of the proceedings, during the testimony of Xyelene Mae Del Campo of the Commission on Audit (Coa).
Auditor Xylene Mae del Campo also testified that the OVP showed no results for the rewards handed out.
https://newsinfo.inquirer.net/2282800/ovp-showed-no-results-for-p131-8m-in-secret-fund-rewards-coa-auditor
The P131.787 million in confidential fund rewards released by the Office of the Vice President (OVP) from December 2022 to September 2023 had no supporting documents to show specific results to justify the payments.
Xylene Mae del Campo of the Commission on Audit (Coa) gave that testimony to House private prosecutor Lorna Kapunan on Monday, the 14th day of the impeachment trial of Vice President Sara Duterte.
COA-Intelligence and Confidential Funds Audit Office supervising auditor Xylene Mae del Campo told the Senate impeachment court that the amount consisted of P69.787 million in reward payments from the OVP’s P125-million confidential fund in December 2022 and another P62 million during the first three quarters of 2023.
Del Campo, the supervising auditor of Coa”s Intelligence and Confidential Funds Audit Office, told the impeachment court that the amount consisted of P69.787 million in reward payments from the OVP’s P125-million confidential fund in December 2022 and another P62 million during the first three quarters of 2023.
“The particular accomplishments were not seen to warrant the payment of rewards,” Del Campo said in Filipino.
Citing Joint Circular No. 2015-01, which governs confidential and intelligence funds, a House prosecution statement pointed out the head of the agency must approve the reward payments and should provide documents showing successful information-gathering or surveillance activities resulting from information provided by an informant, which should be directly related to the agency’s confidential activities.
Some of the confidential funds went beyond even alleged rewards for intel and to paying for Christmas parties.
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| https://newsinfo.inquirer.net/2282103/fwd-auditor-ovp-listed-tree-planting-xmas-party-among-secret-expenses |
Several activities that Vice President Sara Duterte’s office listed as confidential expenses — including tree-planting activities, wheelchair distribution, and Christmas parties — are not allowed under the joint circular that sets guidelines for using confidential funds (CF), a state auditor said.
At the resumption of Duterte’s impeachment trial on Tuesday, private prosecutor Lorna Kapunan continued her cross-examination of Commission on Audit (COA) auditor Xylene Mae del Campo, focusing on activities that the Office of the Vice President (OVP) listed in its liquidation reports for CF utilization from December 2022.
When Kapunan mentioned that some listed activities were Christmas parties and tree-planting activities, del Campo said these were not among the allowable uses of CFs under Joint Circular No. 2015-01.
When Kapunan asked her to read the activities listed by the OVP, del Campo said, “Under December 13, 2022, Department of Education — 2022 Partners Appreciation Night in Mandaluyong City, Metro Manila.”
“Wait, appreciation night? Based on your understanding, is this item a confidential activity or is it part of the confidential activities under the joint circular?” Kapunan asked.
“Based on the enumeration of where confidential funds should be used, this is not included,” del Campo replied.
Del Campo continued reading the activities the OVP listed as confidential expenses, including:
- December 15, 2022, Knights of Rizal Supreme Council, 60th Year of the Institute in Baguio City, Youth Campaign on Patriotism
- December 17, 2022, Christmas activity in Happyland, Tondo, Manila
- December 17, 2022, Christmas activity and exploration meeting of extension office, Barangay 101 in Tondo, Manila
- December 17, 2022, consultation with barangay chairmen ng Manila in Manila
- December 17, 2022, Pasasalamat and update meeting TODA in Barangay Batasan Hills, Quezon City
- December 17, 2022, Pasasalamat and consultation meeting with TNVS, Angkas, and Food Delivery in Quezon City
- December 17, 2022, Pasasalamat and update meeting with PWD sector in Quezon City
“Some of the activities here include thanksgiving events, coordination meetings, tree-planting activities, wheelchair distribution, gift-giving, medical missions, and other activities of the [OVP] satellite offices,” del Campo said.
The COA auditor also said none of these activities are among the allowed uses of CFs under Joint Circular No. 2015-01, as secret funds should be allocated only to confidential activities.
Kapunan asked, “In the joint circular you mentioned, can you remind us, what is the definition and purpose of confidential funds?”
“Confidential funds are the lump sum amount under the General Appropriations Act that should be used for confidential activities of an agency,” del Campo replied.
“And these activities you read — tree-planting, many Christmas parties, several awards ceremonies — are these allowed under the definition of confidential funds that you mentioned?” the lawyer asked.
“No,” del Campo said.
At the end of the day, according to the COA, the buck stops with Vice President Sara Duterte. She is the one ultimately responsible for these anomalous receipts.
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| https://newsinfo.inquirer.net/2282808/coa-buck-still-stops-with-vp-duterte |
Vice President Sara Duterte cannot simply pass responsibility for the P612.5 million in confidential funds spent by the Office of the Vice President (OVP) and Department of Education to her special disbursing officers, a Commission on Audit (COA) auditor testified on Tuesday.
Xylene del Campo of the COA-Intelligence and Confidential Funds Audit Office (Icfao) said Duterte herself was held liable for disallowed confidential fund transactions because, as head of agency, she approved the transactions and the use of cash advances.
Del Campo’s testimony directly challenged the suggestion earlier raised by Senator-judge Imee Marcos that accountability for the questioned funds rested primarily, if not solely, with the special disbursing officers (SDOs) who physically handled the money.
Testifying on the 14th day of Duterte’s impeachment trial, Del Campo said the COA issued a notice of disallowance (ND) covering P73 million of the P125 million in confidential funds spent by the OVP in the fourth quarter of 2022.
Cited as liable were Duterte, as agency head; Gina Acosta, the special disbursing officer; and Julieta Villadelrey, the chief accountant.
“The persons who are liable or responsible, is first the head of agency, Vice President Sara Duterte,” Del Campo told the cour
For a second ND covering P375 million in confidential funds for the first three quarters of 2023, Duterte, Acosta and Villadelrey were again named liable, along with Col. Raymund Dante Lachica who then headed the Vice Presidential Security and Protection Group.
Del Campo said their different roles did not erase Duterte’s accountability since she “approved the transactions, including the utilization of the cash advances.”
Acosta was liable as the designated SDO and payee responsible for disbursements. Villadelrey was liable for certifying that the supporting documents were complete and in order.
Lachica was held liable for receiving cash advances for confidential expenses even though he was not the designated SDO.
The distinction is crucial: handling and disbursing the money was one level of responsibility; approving the transactions and overseeing the agency-wide use of confidential funds was another.
Asked by private prosecutor Lorna Kapunan about the role of the agency head, Del Campo said such an official was in charge of overseeing how funds were used across the agency.
Thus, Duterte’s accountability did not depend on whether she personally withdrew, carried or distributed cash.
Del Campo also testified that Duterte ordered the transfer of the disbursement of confidential funds from Acosta to Lachica.
She recalled that Acosta gave the same testimony before a House inquiry in 2024.
This arrangement violated Joint Circular 2015-01, which governs the release, use, reporting and audit of confidential and intelligence funds, Del Campo said.
“Under no circumstance shall cash advance for confidential funds be transferred from one accountable officer from another,” she said.
Del Campo called the transfer a “direct violation” of Item 6.1.1 of the circular.
Acosta’s admission became one of the grounds for a P261-million notice of disallowance issued by the COA-Icfao in March 2026.
Del Campo’s testimony established a chain of accountability beyond the special disbursing officers: Duterte, as head of agency, approved the transactions and exercised authority over the funds; the SDOs were responsible for their actual disbursement; and the accountant certified the supporting documents.
There is no getting around that.
