THE provincial government was advised not to release additional financial aid to non-government organizations (NGOs) and people’s organizations (POs) which have yet to liquidate their previous allocations.
State auditors found out that the province granted P7.9 million as assistance to the Mandaue Chamber of Commerce and Industry (MCCI) in 2012 and 2013.
The Commission on Audit (COA) said in its report that MCCI has still not liquidated P340,833 of the financial assistance given to them by the province in 2011.
Of the P1.8 million financial assistance released to them in 2011, MCCI was only able to liquidate P1.46 million.
COA found out that as of end of last year, MCCI still hasn’t liquidated the amount.
“The accumulation of unliquidated fund transfers to NGOs/POs over the years shows laxity in the monitoring of said funds and enforcement of the required submission of Fund Utilization Reports from the proponents,” COA said.
Under Section 2 of COA Circular No. 2012-001, NGOs or POs which failed to liquidate cash aid they received should not be allowed to receive additional assistance.
Additionally, Section 5.4 of COA Circular No. 2007-001 states that NGOs or POs granted with financial assistance should submit their Final Fund Utilization Report within 60 days after completion of their project.
The report should be certified by their accountant and approved by their president or chairman.
In their report, COA quoted to Provincial Accounting Office saying that they will comply with the recommendations and send demand letters to the groups concerned.