COA pressed for forensic probe into alleged fund misuse

THE COMMISSION on Audit is pressed hard for a deeper probe into allegations that some P6.4 million of the Bangsamoro LGSF allocations were disbursed to selected local government units with political links to the United Bangsamoro Justice Party.

House members behind the congressional inquiry into the alleged selective release of ?6.4 billion in BARMM funds reportedly wanted the COA to pursue a forensic examination of the transactions, nearly a year after the House first raised questions over the distribution of the money to allegedly UBJP-favored local governments.

The push for a deeper COA probe stems from House Resolution No. 2199 and the subsequent findings of the House Committee on Public Accounts, which called for a specialized forensic investigation to establish how the Local Government Support Fund was released, distributed, and utilized across the Bangsamoro region.

The lawmakers’ concern centers on allegations that the LGSF was distributed selectively, with local government units and barangays allegedly favored because of their political links to the United Bangsamoro Justice Party (UBJP), the political organization associated with the Moro Islamic Liberation Front.

The House inquiry was initiated after Lanao del Sur Rep. Ziaur-Rahman ‘Zia’ Alonto Adiong raised concerns in January 2025 over reports that more than 400 barangays had received between ?500,000 and ?2.5 million in LGSF funds, with some barangay officials allegedly later being asked to withdraw substantial portions of the money for purported ‘special operations.’

Then House Public Accounts Committee Chair Stephen Joseph Paduano subsequently cited alleged irregularities in the disbursement and utilization of the funds, including questions over whether established LGSF procedures were followed before the releases were made.

The issue prompted the House panel in March 2025 to formally seek a COA fraud audit of the roughly ?6.4-billion fund. Adiong said COA’s central office should scrutinize the transactions given the amount involved, while Deputy Minority Leader Mujiv Hataman questioned the absence of BARMM officials during one of the committee hearings.

The House’s Committee Report No. 1502 later escalated the call, recommending a specialized forensic investigation beyond standard audit procedures to trace the flow of funds, examine disbursement documents and project proposals, and determine whether laws or regulations were violated.

The committee cited the speed and scale of the releases as among the reasons for a deeper examination, with about ?1.5 billion reportedly disbursed per month during the period under review. Lawmakers also cited testimonies from local officials who allegedly received funds for projects that they had not requested or that were subsequently cancelled.

The congressional report further raised concerns over possible political selectivity in the allocation of the funds, particularly involving LGUs and barangays believed to be allied with the UBJP. It recommended that COA scrutinize the underlying documents and fund transfers rather than rely solely on a conventional audit.

The House-authored resolution was filed by Adiong together with Deputy Speaker Yasser Alonto Balindong, Basilan Rep. Mujiv Hataman, Sulu Rep. Samier Tan, Maguindanao Rep. Mohamad Paglas and KUSUG TAUSUG Party-list Rep. Shernee Tan-Tambut.

The House panel subsequently submitted Committee Report No. 1502, with recommendations calling for further examination by COA and other accountability institutions.

Nearly a year after the House intensified its call for a specialized forensic audit, however, the key question now is whether COA has completed, is conducting, or has formally acted on the requested examination of the ?6.4-billion LGSF releases.

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