GOVERNMENT auditors have called on the Anti-Money Laundering Council (AMLC) to use prudence in spending public funds, saying expenses incurred in 12 trainings and seminars in 2022 in the sum of P7.213 million exceeded allowable rates.
The AMLC, however, took exception to the audit observation, saying the rates referred to by the Commission on Audit did not take into consideration the effects of inflation and increased cost of operations.
It insisted that the expenses were reasonable and cannot in any way be considered irregular, unnecessary or extravagant given the nature of its operations and existence of a global health crisis.
In the report released last May 30, the audit team said computed against the daily travel expenses (DTE) set under Executive Order No. 77 dated Marc h15, 2019, the council’s spending was P4.76 million in excess of allowed rates.
Under EO No. 77, the DTE for Region 3 (Central Luzon) is P1,500 per day while for Metro Manila and Region 4A (Calabarzon) is P2,200 daily.
“Based on the authorized rates and apportionment, the actual DTE were found to be in excess of the allowable DTE rates per participant for meals and accommodation during AMLC’s trainings/seminars/planning activities,” auditors said.
Based on the list provided in the audit report, seven of the activities were held in hotels in Quezon City; two in hotels in Mabalacat, Pampanga; two in Clark Freeport Zone; and one in Thunderbird Resort in Binangonan, Rizal.
The audit team noted that the AMLC did not submit proof of non-availability of publicly owned venue in the locale where the seminars or trainings were held.
It said the AMLC should have exhibited economical use of government resources by giving priority to publicly owned venues.
The AMLC defended its actions, noting that as the procuring entity, it is only called upon to justify lease of a privately-owned venue by showing doing so is more efficient and economical to the government.
It added that the nature of its operations and the subject matter of the training seminars were also considered in selecting the venues.
“The AMLC sought to lease out venues in more discreet and private locations for the discussion of confidential and sensitive matters/points,” the agency added.
