Friday, August 17, 2007 Sta. Fe exposed P1.4 M to risks
IN Sta. Fe, Bantayan Island, the Commission on Audit (COA) discovered that more than P1.4 million in collections were not deposited in the bank. The practice, auditors warned, exposed the collection to possible loss.
Auditors also noted that when they conducted a cash examination last year, no cash was immediately presented “since they still had to look for cash to cover up deficiencies and (it was) only on the last day of the audit that the cash was presented.”
COA also found the municipal treasurer has incurred a shortage of P203,869.95 during the cash examination last Dec. 5.
The cash counted during the cash examination was also not deposited immediately, COA further noted.
Failure to deposit collections immediately is a violation of the New Government Accounting System as well as of the Government Auditing Code of the Philippines.
Government auditors noted that the deposits by the municipality in its depository bank were usually delayed. This resulted in the accumulation of cash in the vault, exposing the funds to possible loss or misappropriation.
The town also has a practice of not depositing all collections intact.
COA recommended that the municipal treasurer deposit all collections received to prevent loss of government funds.
Meanwhile, COA has ordered municipalities that granted extra cash gifts to its employees even if they exceeded the limit on personnel services not to disburse the fund.
Otherwise, COA warned, municipal employees and officers will have to refund the amount.
At least seven towns spent beyond the limit for personnel services but gave out extra cash gifts to employees.
One of the towns is Malabuyoc, which spent more than P800,000 for extra cash gifts even if it exceeded the limit as of November last year.
Malabuyoc Budget Officer Salvacion Endrina admitted that they have gone beyond the limit for personnel services but she explained that they did not incur additional expenses when they gave out extra cash gifts.
This is because they got the funds from the salary savings from vacant positions, which amounted to more than P1 million. (MBG)
