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CCT irregularities uncovered; 7,782 beneficiaries non-existent

Manila, Philippines – The Commission on Audit (COA) has discovered irregularities in the implementation of the multi-billion peso conditional cash transfer (CCT) program being implemented by the government for indigent families in the country.

The recently released 2012 Consolidated Audit Report on Official Development Assistance Programs and Project noted that a total 7,782 of the household beneficiaries were apparently non-existent although they were listed to have received a total P50.15 million.

The COA audit report also noted that some P18 billion in disbursements for the program from 2008 to 2012 have remained undocumented as of the end of December, 2012.

Manila Bulletin, CCT, Pantawid Pamilya

Pantawid Pamilya beneficiaries from Manila show their household IDs while waiting for their turn to receive their cash grants during the pay-out held at Manila Central Post Office. (Photo from ncr.dswd.gov.ph)

“Grants and service fees of P50.15 million were paid to 7,782 household beneficiaries which could not be found in the List of Validated and Registered Household Beneficiaries of the National Household Targeting Office contrary to Special Provisions No. 5 for CY 2012 GAA (General Appropriations Act), thus, may be considered irregular and further resulting in additional cost to the government in the distribution of the conditional cash transfer,” the ODA audit report stated.

The ODA audit observations added: “Disbursements of P3.18 billion for grants paid through OTC for CYs 2008 to 2012 remained undocumented as of December 31, 2012 which cast doubts on the propriety of the recorded disbursements without the submitted Liquidation Reports which is not consistent with Section 4 (6) of PD 1445.”

The CCT is being implemented by the Department of Social Welfare and Development (DSWD) which was able to get a higher budget of P62.6 billion for the project this year.

The current allocation is P42 percent higher than the P44-billion fund the program received in 2013.

The Aquino government said the 2014 budget will cover 4.3 million households or 3.9 million more than the 2013 beneficiaries.

Government spent P44.2 billion to implement the pro-poor program in 2012.

Manila Bulletin tried to get the side of DSWD Secretary Corazon “Dinky” Soliman but she could not be reached as of press time. Her staff at the Social Marketing Service said Soliman was still on her flight to Tacloban City.

The audit report covered foreign loans granted under the ODA program which was launched in 1995.

Since the start of the ODA program, a total 393 loans have been contracted by the national government. Loans under the ODA program were obtained from multilateral, bilateral and commercial credit schemes.

The CCT, which grants indigent families cash assistance, is among the ODA funded programs of the government and classified as Social Welfare and Development Reform Project by the Aquino administration.

According to COA, a total of 245 projects have been completed while 60, including the CCT, are still ongoing. Fourteen projects have yet to be started although funds are reportedly available.

“In 2012, 17 new loans were contracted with net loan commitments of P92.24 billion ($2.94 billion), 66.62 percent of these amounting to P61.45 were still undrawn wherein P6.72 million was paid for commitment fees,” COA reported.

  • Gregorio De Silva

    soliman like abad is also member of hyat 10, a mafia syndicate inside aquino administration, which threatens aquino to withdraw their support if he fired abad.

  • manuelcdiaz

    There goes “Da-ang Matuwid”

  • dan

    ang daming talangka agad dito.. eh yung COA chair si PNOY din ang nagappoint e.. ang kagandahan lang ngayun kumpara dati kina GMA at ERAP, atleast lumalabas yung mga ganitong bagay..

    Tignan natin pag si BINAY na ang pangulong, itong mga bayarang ulupong dito ni binay.. mga anak niyo rin ang magdudusa..

  • Froi Vincenton

    Not surprised at all. I knew it all along…

    In this blog titled “PNOY’s Highly Mediocre “Conditional Cash Transfers” I stated:

    True, CCT is just one of the mediocre ways to allegedly combat poverty, as it negates/overlooks the role of the markets in poverty alleviation. But if we are to oppose this welfare statist program, it must be opposed on the following grounds:

    1. It’s an unjust tool of wealth redistribution. It’s like taking Pedro’s money in order to serve the welfare of Juan.

    2. The current economic crisis was/is caused by the government through its failed economic policies, regulations, punitive taxes, protectionism, cronyism, etc.

    3. Poverty is an economic issue, NOT a political issue. The government cannot legislate extreme poverty and hunger because this statist strategy will only create more problems and make the existing problem/s worse.

    4. It can be a source of corruption. In fact, it is corruption from the very beginning since its clear and obvious purpose is to serve the current administration and its proponents. This program is being supported by the current administration because it can be used to prop up the dwindling popularity of our ratings-conscious President.

    5. Economically, it is anti-free markets, and, in reality, it cannot alleviate poverty. So why waste “public” money?

    If the government were to alleviate poverty, the only solution is to revise the charter and then focus on economic and even political reforms. The solution is to guarantee economic freedom by forever scrapping our current 60-40 protectionist arrangements, repealing regulatory measures and laws, abrogating the labor code, and eliminating income tax and other forms of taxes.

    For the article, GOOGLE: PNOY’s Highly Mediocre “Conditional Cash Transfers

  • wawa2172

    “The recently released 2012 Consolidated Audit Report on Official
    Development Assistance Programs and Project noted that a total 7,782 of
    the household beneficiaries were apparently non-existent although they
    were listed to have received a total P50.15 million.”

    The amount is a candidate for plunder. PNoy and Dinky are involved in it so it must be investigated at makulong lumabag sa batas. Command responsibilities is but proper may mga gost indigent pala ang CCT.

  • rfmaulion

    Hmmm, ganon!

  • serchepp

    PNoy, Wake up! If you cannot manage Dinky Soliman and the CCT Program more efficiently, better fire her immediately or cancel the CCT. If not acted upon, you will have a CCT scam much bigger than the P10 billion PDAF scam!

  • Myrvic

    hay grabe na ito… nasa gobyerno kaming mag-asawa… captured taxpayers kami… pero di talaga namin nararamdaman ibang benepisyo ng laki ng tax sa sweldo namin… biruin mo 30%… buti pa nga mga “poor” nabigyan na ng sariling bahay at lupa… kami hanggang ngayon nakikitira pa rin… di makaasa ng quality service sa mga public institutions… kelan kaya magkakaroon ng committed to true development na mga politicians?… hay buhay…

    • Edward Reyes

      nalungkot ako sa kwento mo…grabe pala ang tax sa pinas, nasa 30% na,tapos pag nawalan ka ng trabaho,wala naman umemployment benefits,tulad sa states, but i believe you….. sorry mrs.-