P5-B unliquidated cash advances started during GMA’s time – Palace

MANILA, Philippines - Malacañang clarified yesterday that the P5-billion unliquidated cash advances that the Commission on Audit (COA) has discovered was an accumulation of unaccounted funds from the previous administration, and not just the incumbent government.

In a news briefing, Secretary Herminio Coloma Jr. of the Presidential Communications Operations Office also pointed out that COA Chairman Grace Pulido-Tan made it clear that they want those who will not be able to explain their public fund expenditures to be held accountable.

“In my office, our rule is that there will be no new cash advance unless an existing cash advance has been fully liquidated,” he said. “This is one way of ensuring that unliquidated cash advances will not accumulate.”

Coloma said it has been a decade before the COA found out about the unliquidated cash advances.

“A process of accountability has been set into motion by the COA,” he said.

COA revealed on Monday that the unliquidated cash advances of all government agencies have reached more than P5 billion over time, but they intend to bring the figure down slowly.

Tan told the Senate committee on finance during a public hearing that the amount represents not only government offices and employees but also non-government and civil society organizations that received public funds.

She said that the unliquidated cash advances were recorded by the COA as of end-2011 and could cover periods that go as far back as 20 to 40 years.

Out of the total amount, Tan said around P1.6 billion has been liquidated by the concerned parties.