Town told to stop hiring lawyers

CEBU, Philippines - The Commission on Audit has asked the municipality of Daanbantayan to stop the practice of hiring private lawyers to handle legal cases.

COA said that the municipality should submit a written authority from the Office of the Solicitor General with COA’s concurrence granting conformity in the hiring of a private lawyer, otherwise the expenses could be declared as unauthorized and will be eventually disallowed in audit.

In its 2013 audit report, COA found out that acceptance fees, appearance fees and fees for the preparation of pleadings were charged to the municipality’s Legal Services Account and Consultancy Account totaling to P72,585 from January 2013 to June 2013 during the time of former mayor Ma. Luisa Loot.

“This is contrary to COA Circular 98-002 which prohibits the employment by local government units of private lawyers to handle their legal cases,” COA said.

COA Circular No. 98-002 provides that “public funds shall not be utilized for payment of the services of a private legal counsel or law firm to represent government agencies and instrumentalities, including government-owned or controlled corporations and local government units in court or to render legal services for them.”

It further provides that, “in the event that such legal services cannot be avoided or is justified under extraordinary or exceptional circumstances for government agencies and instrumentalities, including government-owned or controlled corporations, the written conformity and acquiescence of the Solicitor General or the Government Corporate Counsel, as the case maybe, and the written concurrence of the Commission on Audit shall first be secured before the hiring or employment of a private lawyer or law firm.”

The cases include Socorro Perena vs. Ma. Luisa J. Loot before the Regional Trial Court Branch 61 in Bogo City; Cosido, Jeronimo M. Re: Dropping from the Rolls (Appeal) (CSC-OLA AMD 07-0121) before the Civil Service Commission; Shellice Faith T. Coyoca vs. Ma. Luisa J. Loot, et al before the Office of the Ombudsman.

The rest of the cases include People of the Philippines vs. Ma. Luisa J. Loot before the Sandiganbayan; CENRO, Carmen vs. Ma. Luisa J. Loot et al before the Office of the Provincial Prosecutor; and TARWASAI vs DBWD et al, pending at RTC Branch 61 in Bogo City.

According to COA, the municipal treasurer said that the cases were referred to the Provincial Legal Office, which responded in a letter stating that they could not provide or extend legal assistance to the municipality.

“In view of this, request was made by the audit team to be provided with a copy of the letter but this was not realized,” the state auditor said.  (FREEMAN)