AFPSLAI clarifies circular

The Armed Forces and Police Savings and Loan Association, Inc. (AFPSLAI) seeks to clarify the opinion of Jarius Bondoc in the column “Gotcha” dated Aug. 9, 2024, as it has raised alarm among its members.

May we be clarified if the mentioned Feb. 27 circular of Department of Finance Secretary Ralph Recto refers to Department Circular No. 003-2024 as published in the DOF website? If it does, with all due respect to the esteemed columnist, the interpretation in the cited opinion is utterly misleading.

The circular is directly referring to the General Appropriations Act for the year 2024. Its coverage should be made clear to refer to the return of fund balances from GOCCs and GFls as of Dec. 31, 2023. The acronym GFI should be taken by the very word it stands for – government financial institution. AFPSLAI is a private entity whose funds are pooled by its well-defined group. While majority of its members are uniformed personnel from the government, it is a PRIVATE financial institution, thus no part of AFPSLAI money is owned and controlled by the government.

Therefore, AFPSLAI is not being alluded to by said circular as a GFI precisely because it is a private non-stock, non-profit corporation. No part of its contributions or income can be considered as government funds that should merit its return to the government. Likewise, no part of its capital stock is either owned directly or indirectly by the government. Neither is AFPSLAI vested with functions relating to public needs, whether governmental or proprietary in nature, nor is it owned by the Government of the Republic of the Philippines directly or through its instrumentalities. As such, all funds of AFPSLAI should remain intact for the benefit of its members ALONE.

Moreover, the regulatory functions of the Bangko Sentral ng Pilipinas over AFPSLAI are similar to the powers it exercises over all banks, quasi-banks, pawnshops and other financial institutions in the country.

AFPSLAI will stand steadfast to its core value of Malasakit sa Miyembro while staying true to its commitment to its members – “We value your trust.” AFPSLAI being a PRIVATE savings and loan association will remain vigilant as a trustee of the funds of its members and will endeavor to protect its integrity from any unauthorized use outside of its By-laws and purposes as an association.

To reiterate, government funds would pertain to public moneys of every sort and other resources pertaining to any agency of the government, including LGUs and GOCCs. To say that the savings of the members of AFPSLAI should also pertain to the government is tantamount to confiscation of their savings and earnings which they pooled out of their own industry, sweat and blood.

We hope that the public will be clarified on the matter. – RADM NICHOLS A. DRIZ, PN (ret), president and CEO, AFPSLAI