THE Commission on Audit has affirmed the liability of officials of the National Irrigation Authority – Regional Office No. 3 (NIA RO3) for the disallowed payment of Viability Incentive Grant (VIG) amounting to 97.52 million to agency personnel in 2012 and 2013.
Denied in a six-page decision released last week were petitions for review filed by Marcelina Laguinum and Milca Cayanga, both of the Upper Pampanga River Integrated Irrigation System; Roberto Pascual of Bulacan-Aurora-Nueva Ecija Irrigation Management Office (IMO), Reynaldo Puno of NIA-RO3, and Angellito Miguel of Pampanga-Bataan IMO.
The COA said the petitioners were named as persons liable based on their respective participation in the disallowed transactions through approval of the VIG, certifying that the VIG is valid or legal and the supporting documents are complete, or for simply receiving amounts from the VIG.
Auditors held that the payout had no legal basis due to the absence of the required prior approval from the Office of the President.
In their appeal, the NIA-RO3 officers countered that the VIG did not violate any law since the Department of Budget and Management (DBM) approved the corporate operating budget of the NIA for 2012 and 2013.
They argued that since the DBM secretary is the alter ego of the president, the imprimatur of the OP is no longer necessary.
The COA however pointed out that in Executive Order No. 7 issued on September 8, 2010, then President Benigno S. Aquino III ordered a moratorium on the increase of salaries and allowances unless specifically authorized by his office. The directive covered government-owned or controlled corporation (GOCCs) like the NIA.
