P50-M legal assistance sought for state auditors

MANILA, Philippines - A lawmaker wants Congress to allocate an initial P50 million for the legal defense of government auditors facing retaliatory lawsuits from politicians and other public officials accused of fraud and other misdeeds.

LPG Marketers’ Association Rep. Arnel Ty said yesterday the government must help strengthen the Commission on Audit as an institution at the forefront of the fight for clean governance.

“I am personally in favor of a P50-million allocation for the fund meant to defray the legal expenses of state auditors facing administrative, civil or criminal cases, owing to the performance of their duties,” he said.  

“Our sense is, the P5 million may not be enough. An initial appropriation of up to P50 million might be more realistic. It would be a wise investment of public funds anyway, with the promise of extremely high potential returns.”

Ty said an additional P50 million for the legal assistance fund (LAF) will inspire government auditors to thwart P10 billion worth of potential fraud.

“Reprisal lawsuits can be very nasty,” he said.

“I would not be surprised if we have retired auditors who still haven’t received their gratuity and other (retirement) benefits, on account of pending suits,” he said.

Under COA resolution, the LAF will cover the legal defense spending of qualified personnel, including expenses for private legal counsel, bail bond, as well as transportation and travel allowances for every hearing or appearance before any court or quasi-judicial body, among others.

The Constitution empowers the COA to examine, audit, and settle all accounts pertaining to the revenue and receipts of, and expenditures or uses of funds and property owned or held in trust by the government.

The COA is tasked to ascertain the scope of examination, establish the required and set accounting and auditing rules, including those for the prevention and disallowance of irregular, unnecessary, excessive, extravagant, and unconscionable expenditures, or uses of public funds and properties.

The COA reports on findings of: fraud in government transactions and operations; violations of administrative rules and regulations, and shortage after cash examination.

It also issues notices of disallowance of spending as well as property accountability, and renders adverse decisions on financial transactions in government.