THE Commission on Audit has denied the motion for reconsideration filed by former Caloocan City treasurer Evelina Garma and declared the disallowance against the P198 million confidential and intelligence expenses incurred by the city government “affirmed with finality.”
The COA en banc decision released on August 19, 2025 was signed by COA chairperson Gamaliel Cordoba and Commissioners Mario Lipana and Douglas Michael Mallillin.
It reiterated the July 27, 2023 ruling of the commission that the supporting documents attached to the liquidation report for the expenditures were deficient.
The COA’s Intelligence and Confidential Fund Audit Unit (ICFAU) pointed out that Caloocan City had no Peace and Order Program from 2008 to 2010 hence the P96 million intelligence and confidential funds (ICF) had no legal basis.
On the other hand, it noted that the accomplishment reports for 2008 to 2013 mentioned “anti-illegal drugs campaign” and “Oplan Kontra Krimen” but the nature of the activities about either program could not be ascertained.
The breakdown of the P198 million showed P24 million was drawn on November 7, 2008; P36 million each on February 24, 2009, February 11, 2010, April 18, 2011, and April 11, 2012; and P30 million on March 31, 2013.
On March 3, 2015, the ICFAU issued six Notices of Disallowance against the city government’s ICF expenses – one for each year.
Held liable were former Mayor Enrico Echiverri, former city accountant Edna Centeno, budget officer Jesusa Garcia, then city treasurer Lourdes Jose and special disbursing officers Kristine Abustan, Ruby Enorme, Anthony Pulmano, Emelito Serrano, and Garma.
In her MR, Garma argued that the LGU officials’ certification that the funds were spent on two programs, Anti-Illegal Drugs Campaign and Oplan Kontra Krimen, should be considered “substantial compliance by the city government.”
She lamented that the ICFAU was being too technical because it was insisting that the submission comply with its designated format.
She likewise invoked inordinate delay, saying the issue had been pending for more than eight years before the COA resolved its petition against the disallowances.
The Commission en banc swept aside Garma’s assertion for being recycled arguments that “have already been judiciously passed upon and comprehensively discussed” by the Commission in its earlier ruling.
“This Commission finds the MR without merit. The arguments of Movant Garma with regard to their failure to submit accomplishment reports and certified true copies of the checks are a mere rehash of those already raised in the petition for review,” the COA said.
On the allegation of inordinate delay, the COA noted that the city officials filed their petitions for review well past the reglementary period but these were still accepted “in the interest of substantial justice.”
“Moreover, the Commission Proper, in its Regular Meeting on September 11, 2019, even directed the ICFAU to verify and re-evaluate the city’s usage of the Intelligence and Confidential Fund for CYs 2008-2013. During this time, however, the city still failed to submit the required documents,” the commission said.
