COA: P34.9-M cash aid given to ineligible beneficiaries in Mandaue City

Although unqualified, nearly  6,000 residents of Mandaue City in Cebu province received cash aid under the government’s Social Amelioration Program (SAP), state auditors found Friday.

In its report, the Commission on Audit (COA) revealed that a total of 5,827 ineligible beneficiaries received cash aid amounting to P34,962,000.

“We recommended that management conduct an investigation on the inclusion of ineligible families for the grant of SAP cash assistance,” COA said.

“Further, require the ineligible beneficiaries to refund the financial assistance received and return the collected amount to DSWD,” it added.

Mandaue, which has 27 barangays, has distributed a total of P334,650,000 cash assistance.

The financial aid was part of the government's COVID-19 response to assist families hit hard by the pandemic.

Talisay City, other cities

In a separate report, COA also flagged Talisay City for disbursing P15.7 million to 2,629 ineligible beneficiaries.

COA said it recommended a revalidation of the list of beneficiaries.

Should the recipients prove to be ineligible, it urged the city mayor, city accountant, and the city social welfare development officer to send demand letters to the ineligible beneficiaries for an immediate refund.

The agency also found that 854 ineligible beneficiaries received a total of P5,124,000 cash aid in Carcar City.

Similarly, COA urged local authorities to send demand letters asking for a refund.

Meanwhile, P3,792,000 worth of cash aid was given to 632 ineligible beneficiaries in Cebu City. COA also urged local officials to seek a refund.

“We also recommended that the City Legal Office conduct further investigations for administrative, civil, and criminal actions if warranted,” it said.

A total of 234 ineligible beneficiaries also received cash aid amounting to P1,404,000 in Naga City.

“We recommended that the City Social Welfare Development Officer coordinate with the DSWD Regional Office on the revalidation if these beneficiaries are indeed ineligible,” COA said.

COA also found that P6,592,684 cash advances for travel and other time-bound undertakings remained unliquidated even if their purpose has been served in Mandaue.

“We recommended that Management require the concerned accountable immediate settlement or liquidation cash advances otherwise, cause the withholding of their salaries,” it said.

Safeguards in place

The Mandaue local government said its financial statements have been prepared "in conformity with generally accepted accounting principles and reflect amounts that are based on best estimates and informed judgment of management with an appropriate consideration of materiality."

"In this regard, management maintains a system of accounting and reporting which provides for the necessary internal controls to ensure that transactions are properly authorized and recorded, assets are safeguarded against unauthorized use or disposition and liabilities recognized," it added in the COA report, without specifically mentioning the SAP distribution.

Meanwhile, findings presented by Social Watch Philippines revealed that vulnerable households across the country were given less assistance than what they are entitled to under the program.—LDF, GMA News