Disbursing officers from OVP, DepEd comes clean on confidential funds issue

OVP SDO Gina Acosta (left) and former DepEd SDO Edward Fajarda (right) are both under intense scrutiny after finally showing up to answer questions about confidential funds on the House Blue Ribbon committee’s seventh hearing. (Photos courtesy of HOR)

By Dean Aubrey Caratiquet

In the Blue Ribbon Committee’s hearing on Monday (Nov. 25), the special disbursing officers (SDOs) of the Office of the Vice President (OVP) and the Department of Education (DepEd) admitted to disbursing millions of pesos in confidential funds to respective security officers under direct instructions of Vice President Sara Duterte.

OVP SDO Gina Acosta admitted to releasing P125 million in confidential funds on December 20, 2022 to the commander of the Vice Presidential Security and Protection Group (VPSPG), Raymond Dante Lachica on the same day she encashed the full amount at the Land Bank of the Philippines (LBP) Shaw Boulevard branch in Mandaluyong City.

On the other hand, the DepEd SDO under Duterte’s tenure as secretary, Edward Fajarda, disclosed to the House panel that he turned over P37.5 million in confidential funds for Q1 2023 to Col. Dennis Nolasco, DepEd’s designated security officer.

“Ang head of agency ang nag-instruct na i-release [ang pera] sa aming security officer,” Acosta said, referring to Vice President Duterte and Lachica, in response to a question from Batangas 2nd District Rep. Gerville “Jinky Bitrics” Luistro.

Meanwhile, Fajarda admitted that while he signed disbursement vouchers and certifications, the funds were managed entirely by Nolasco. 

“Your Honor, the funds pass through me, but all disbursements were handled by Col. Nolasco, as he was designated for confidential operations,” he explained under questioning by 1-Rider Party-list Rep. Rodge Gutierrez. 

The ex-DepEd SDO emphasized his reliance on Nolasco for the provision of acknowledgment receipts and further documentation, claiming that he had no interaction with the funds’ ultimate recipients.

Deputy Speaker and Quezon 2nd District Rep. David “Jay-jay” Suarez grilled Fajarda on the authority that allowed Nolasco to manage the funds. In a heated exchange between the solon and the former DepEd SDO, it was revealed that VP Sara delegated to Nolasco, the designated security officer, the power of managing the funds, which was backed up by documentation issued in January 2023 supporting the delegation of responsibility.

Suarez underscored that, as the bonded SDO, Fajarda was responsible for personally disbursing the funds and could not delegate this authority. 

“You should be the one who is dispersing it. You cannot designate that authority and power to anybody else,” Suarez said.

Half of the 8 OVP officials still under intense scrutiny by lawmakers

Acosta and Fajarda—along with OVP Assistant Chief of Staff Lemuel Ortonio and former DepEd Assistant Secretary Sunshine Charry Fajarda—were previously cited for contempt and ordered detained by the Blue Ribbon Committee for repeatedly failing to attend hearings despite multiple invitations and a subpoena.

The four OVP officials finally showed up on the committee’s seventh hearing on Monday, but remained evasive when interrogated regarding the disbursement of the confidential funds.

The P37.5 million, part of the P112.5 million in confidential funds under DepEd, was encashed as a cash advance by SDO Fajarda during the first quarter of 2023, with two additional checks of the same amount withdrawn in subsequent quarters while Duterte was leading the department.

The P125 million encashed and handed over by Acosta to Lachica represented the confidential funds allocated to the OVP for the last quarter of 2022 but were utilized within just 11 days in December of that year. The OVP subsequently received an additional P125 million per quarter for the first three quarters of 2023.

The Commission on Audit flagged nearly half of the initial P125 million, disallowing P73 million spent in the 11-day period in late 2022. Audit Observation Memorandums were also issued for the remaining P375 million spent in 2023, citing multiple irregularities.

As accountable officers, the Vice President and her SDOs signed the financial and physical plans, liquidation documents, disbursement certifications, and accomplishment reports for the total P500 million in confidential funds under the OVP and the P112.5 million under the DepEd during Duterte’s tenure as Education Secretary. (with report from Mela Lesmoras/PTV News)

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