This amount, supposedly for the year 2000 and 2001, was set aside as unprogrammed IRA fund, an item that has no specific purpose or project to be implemented.
Its release however was withheld while its legality was questioned in court. Lately, the Supreme Court deemed it unconstitutional to place such fund under an unprogrammed status, and ordered it released to the intended LGUs.
After President Gloria Arroyo, in her Executive Order 494, ordered the release of the funds to the LGUs, reports had it that some people, in groups at times, who posed as DBM representatives offering local officials that they can facilitate the fast release of the fund to their respective LGUs.
The DBM regional office disseminated the warning to all governors, mayors, barangay chairmen and members of their respective Local Finance Committees, to be wary of these people. Ferliza C. Contratista