MANILA, Philippines—Some $34.13 million in Swiss bank deposits recovered by the government from the accounts of the late dictator Ferdinand Marcos is missing, according to the Commission on Audit.

In its 2007 audit report on the Presidential Commission on Good Government (PCGG), the COA noted that at least $34,130,468.05, or over P1.41 billion, in Marcos Swiss deposits placed in an escrow account at the Philippine National Bank (PNB) was not turned over to the Bureau of Treasury (BTR.)

The PCGG had executed a Deed of Release with Quitclaim four years ago acknowledging and confirming PNB’s full compliance with the writ of execution issued by the Sandiganbayan, ordering the transfer of the Swiss deposits to the BTR.

But an audit of the funds revealed that only $624,044,905.55 was transferred and recorded in the books of accounts of the BTR.

“The balance of $34,130,468.05 remained unaccounted/unrecorded in the books,” the COA noted.

The money was part of the more than $658 million transferred more than 10 years ago to an escrow account in the PNB while the Supreme Court deliberated the ownership of the deposit.

In July 2003, the high tribunal forfeited the Swiss deposits in favor of the government. The Sandiganbayan issued a writ of execution on Jan. 22, 2004. Eight days later, the PNB filed a manifestation with compliance before the anti-graft court.

The PCGG informed the COA that it had no record on file as far as the Swiss deposits in the PNB were concerned.

Complete accounting

On the other hand, the PNB Trust Department informed the COA that the bank had been regularly submitting monthly financial reports to the PCGG.

The COA asked the PCGG to order the PNB to submit a complete accounting, financial statements and other documents supporting the funds held in trust — from the time the amount of $624,044,905.55 was deducted from the total deposit.

It also advised the PCGG to transfer the money to a government depository bank such as the Land Bank of the Philippines or the Development Bank of the Philippines after a complete accounting of the supposedly missing funds.

Swiss support

Swiss President Pascal Couchepin, meanwhile, assured President Gloria Macapagal-Arroyo of his government’s support for the recovery of Marcos assets in Switzerland and in third countries during a bilateral meeting in Malacañang Monday.

Couchepin is in the Philippines on a two-day state visit.

Twenty-three years after Marcos was ousted by people power, the country continues to recover billions of pesos in alleged illegal wealth he acquired and stashed abroad, including Switzerland.

Just compensation

“The two Presidents expressed satisfaction over the past close and successful cooperation on the restitution of Marcos assets from Switzerland to the Philippines following the final ruling by the Swiss Federal Court in 1998,” said a joint statement issued Monday by the two countries.

During their talk, Ms Arroyo also briefed Couchepin on the status of a bill pending in Congress that aims to compensate thousands of Filipinos who were victims of human rights violations during the Marcos regime.

The House version is on its third and final reading.

Ms Arroyo assured Couchepin that her administration “attaches great importance to the speedy passage of the law so that human rights victims may be justly compensated,” according to the joint statement.

10,000 OFWs

For his part, Couchepin conveyed “the firm expectation of the Swiss government that the Philippine Congress may soon enact the Human Rights Compensation Bill,” the joint statement said.

During a state luncheon she hosted for Couchepin, Ms Arroyo thanked Switzerland for hosting 10,000 Filipino workers there, employed in the United Nations or as healthcare professionals in institutions and homes for the aged.

“As for our economic ties, we acknowledge the important role of 60 Swiss firms operating in the Philippines [and their contribution] to our national development,” she said.