ILOILO City – The Commission on Audit (COA) called out the Guimaras Provincial Government for unliquidated cash advances totaling P12.574 million, with some accounts unresolved for over a decade, dating as far back as 1998.
In its annual audit report, COA highlighted concerns over dormant accounts, which could have been utilized for government operations.
The bulk of the unliquidated cash advances includes P12 million for confidential funds, and P100,000 allocated for a special purpose.
A total of 26 personnel were identified with unliquidated cash advances. Six of the capitol employees remain active in government service, while others have retired, left service, or passed away.
Efforts to recover the amounts have seen P21,865 refunded for the year, and two active personnel are repaying through salary deductions.
However, the auditors noted that P12.574 million remains unliquidated and is recorded in the provincial government’s books as receivables.
Due to the prolonged dormancy, COA noted that settlement or collectability may no longer be assured.
COA cited Circular No. 2016-005, which outlines procedures for reconciling dormant receivables, unliquidated cash advances, and fund transfers.
The circular requires submitting demand letters and proof of collection or liquidation attempts to request a write-off.
To address the issue, COA recommended the provincial accountant should promptly request the write-off of dormant cash advances following COA Circular No. 2016-005.
For amounts under P100,000 per officer, the auditors said the accountant should prioritize filing with the supervising auditor and officer-in-charge.
COA also directed the accountant to obtain authority to deduct amounts from the salaries of active personnel with unliquidated cash advances and facilitate repayment through installments.
For unliquidated confidential funds before 2015, COA recommended the concerned employees to submit required liquidation documents to the Internal Control and Financial Audit Unit (ICFAU) for proper recording./PN
