A COMMISSION on Audit (COA) supervising auditor on Tuesday testified that Vice President Sara Duterte and two officials of the Office of the Vice President (OVP) were held liable for the disallowed use of P73.287 million in confidential funds in December 2022.
Xylene Mae del Campo of the COA Intelligence and Confidential Funds Audit Office (COA-Icfao) told the Senate Impeachment Court that a notice of disallowance covered confidential funds used by the OVP from December 13 to 31, 2022.
Del Campo said the documents submitted by the OVP failed to provide sufficient proof that its information-gathering and surveillance activities had been successful-a requirement for paying rewards from confidential funds.
The OVP listed 105 activities in its response, but del Campo said it did not identify specific accomplishments demonstrating the success of those operations.
‘Based on this document, there was no proof showing the success of the information-gathering activities. It also included activities conducted on December 13, 15, 17, and 18, which fell outside the cash advance utilization period of December 21 to 31, 2022,’ del Campo said.
Del Campo cited Joint Circular No. 2015-01, which sets the rules governing confidential and intelligence funds. Under the circular,
the expenditure must be approved by the agency head, supported by documents proving the success of the information-gathering or surveillance activities, and directly related to the agency’s confidential operations.
Among the activities presented by prosecution counsel Lorna Kapunan were an appreciation night for Department of Education partners and Christmas activities involving transport network vehicle services, tricycle operators and drivers’ associations, Angkas riders, food-delivery workers and persons with disabilities.
COA-Icfao also disallowed P69.78 million reportedly spent on tables, chairs, desktop computers and printers. Del Campo said the submissions did not explain how the purchases were connected to confidential activities and were not supported by official receipts or sales invoices.
She added that her draft notice of disallowance was approved by COA Assistant Commissioner Nilda Plaras, then officer-in-charge of COA-Icfao.
When asked who was held liable, del Campo identified Duterte as the head of the agency who approved the transactions, including the use of cash advances.
Also named were OVP special disbursing officer Gina Acosta, who was the payee of the checks and disbursed the cash advances, and OVP chief accountant Julieta Villadelrey, who certified that the supporting documents were complete and proper.
The OVP filed a petition for review on February 5, 2025. On April 10, 2026, the COA Proper upheld the notice of disallowance and the demand for the return of P73.287 million.
Del Campo said the OVP subsequently filed a motion for reconsideration, which remains pending before the COA.
DEL Campo said the OVP used confidential funds for Christmas events, gift-giving, tree planting and other activities not allowed under government rules.
The listed activities included Christmas events in Tondo, Manila; a meeting with a tricycle operators’ group; tree planting; wheelchair distribution; gift-giving; and medical missions.
Del Campo said these were not authorized uses of confidential funds under Joint Circular No. 2015-01.
‘Based on the joint circular, these are not included among the activities under Section 4.8 for which confidential funds may be used,’ she said.
When Kapunan asked specifically whether Christmas activities, tree planting and gift-giving were allowed, del Campo answered, ‘No.’
The auditor also questioned the dates of some activities. Several reportedly took place from December 13 to 18, 2022, although the OVP’s cash advance covered only December 21 to 31.
Del Campo said funds released on December 21 could not be used to reimburse expenses incurred before that date.
The findings led COA’s Intelligence and Confidential Funds Audit Office to issue a notice of disallowance covering P73.287 million. Of this amount, P69.787 million was reportedly spent on rewards, while P3.5 million covered tables, chairs, desktop computers and printers without proof that they were intended for confidential operations.
The OVP challenged the disallowance, but the COA Commission Proper upheld the entire P73.287-million amount in a decision dated April 10, 2026.
Del Campo’s testimony formed part of the House prosecution panel’s evidence concerning Duterte’s alleged misuse of confidential funds.