MANILA, Philippines–A Congressional think tank said six agencies consistently got adverse audit findings from the Commission on Audit (COA) over the last two years of the Arroyo administration and the first three years of the Aquino administration.
In a report, the Congressional Planning and Budget Office (CPBO) said the Department of Transportation and Communications, Department of Agriculture, Department of Agrarian Reform and Department of Environment and Natural Resources received adverse opinions on their financial records for five straight years from 2008 to 2012.
The Department of Public Works and Highways notched four straight years of adverse findings in its financial books only because the COA has yet to complete its 2012 audit.
The COA also gave an adverse opinion to the Department of Trade and Industry (DTI) in four years— 2008, 2010, 2011 and 2012.
Except for the DTI, all of the agencies that the COA found as chronic fiscal offenders were embroiled in the pork barrel scam. Senators and representatives used them or their attached units as implementing agencies of their projects that were implemented by bogus nongovernment organizations.
“An adverse opinion indicates that the agency’s financial records do not conform to generally accepted accounting principles (GAAP). This report is regarded as the ‘worst’ type,” the CPBO said.
The CPBO noted that most government agencies got a “qualified opinion” mark on their financial records, which meant that while their bookkeeping was not in line with GAAP, there were no “misrepresentations” found in their records.
The COA also renders a disclaimer for agencies that it could not assess for lack of data and an unqualified opinion for agencies that comply with GAAP and have no misrepresentations.
The CPBO said only two agencies gave a perfect report in the five-year period—the National Economic and Development Authority in 2008 and 2009 and the Department of Justice in 2010.