COA orders repay of over P21-M 'illegal' Capitol bonus
The Commission on Audit (COA) has now ruled with "finality" that over P21 million in Capitol bonus distributed by Governor Niel Tupas Sr. was illegally disbursed.
As such, the order is out to return the money considered as "14th month pay" and replenish the coffers of the provincial government.
Docketed as COA Decision No. 2007-005, the 6-paged COA decision as obtained by The News Today (TNT) was signed by COA Chairman Guillermo Carague. Two other COA Commissioners, Reynaldo Villar and Juanito Espino Jr. ruled with Chairman Carague.
The Iloilo Provincial Government (IPG) appealed said Decision yet in a Resolution 08-041, the trio affirmed its earlier findings.
"After an evaluation of the arguments raised, it is shown that these have been judiciously passed upon by this Commission in the assailed Decision. In view thereof and considering also that no new material evidence have been presented that would warrant a reversal or modification of the assailed Decision, the instant Motion for Reconsideration is hereby DENIED and COA Decision No. 2007-005 dated February 15, 2007 is AFFIRMED with finality," the Resolution went.
The controversial Capitol bonus was distributed by the governor back in 2002. The COA in a series of notices to the Provincial Government declared such as illegal yet argued by the governor as just and regular.
Further still was the governor's contention that no refund was necessary following a supposed condonation from no less than President Gloria Macapagal-Arroyo. The COA refused to budge on its findings.
It cannot be considered as basis to life the audit disallowances, the COA maintained.
"The President may modify or reverse the recommendations, decisions and issuances of the Secretary of the Department of Budget and Management (DBM) for the latter only acts as her alter ego but she cannot modify the requirements of law such as the provisions of the Local Government Code," excerpts of the COA Decision went.
Infact, the COA added, the Supplementary Budget where the source of said bonus was taken was declared inoperative by the DBM as per earlier review "for being without legal basis."
It cannot be justified as an exercise of an allegedly plenary and absolute legislative power, the COA also asserted with a reminder that the legislative prerogative of the Local government unit is only a delegated power and not an inherent one.
The Capitol in its defense also argued "good faith" yet the COA junked the same.
"As to the defense of good faith, the same cannot be appreciated considering that the payments were clearly contrary to law and regulations. The Province of Iloilo disregarded the provisions of the law in giving additional incentives to its officials and employees," the COA added. "Evidently, the officials and employees were already aware of the lack of legal basis of the grant when they received the same. Thus the province cannot invoke good faith under the circumstances. As a consequence thereof, the officials and employees are obliged to refund the amount they received."