P75.8 million PTV-4, DOT tourism ad deal unsettled – COA

MANILA, Philippines — State broadcaster People’s Television Network Inc. (PTV-4) has yet to settle the P75.8-million Notices of Disallowance (ND) issued by state auditors after the controversial ad placement deal between the Department of Tourism (DOT) and private media outfit Bitag Media Unlimited Inc. (BMUI) in 2017.

According to the Commission on Audit (COA)’s 2022 report, the two NDs were issued back in May and June 2019 concerning a tourism ad aired in Kilos Pronto, a news and public service program produced by BMUI.

Payments made to BMUI were flagged by the COA in 2017 due to lack of supporting documents and “conflict of interest.”

BMUI is owned by radio personality Ben Tulfo and the DOT was headed at the time by his sister, Wanda Tulfo-Teo.

State auditors issue an ND if a government agency fails to justify an irregular transaction or fund disbursement.

It serves as an order to return the disallowed disbursed fund.

Teo resigned from the DOT shortly after the deal hit the headlines in 2018.

In October 2021, the Office of the Ombudsman dismissed the graft complaint against Teo, Tulfo, PTV-4 general manager Dino Antonio Apolonio, PTV-4 Airtime Management Group head Ramon del Rosario, DOT executive assistant Arlene Mancao and Presidential Communications Operations Office administrative officer Ma. Alma Francisco.

The ombudsman, in its resolution, said there was no showing that Teo was aware that Kilos Pronto was owned by her brother.

It was also not established that Teo had a hand in the PTV-4’s awarding of the DOT ad placement deal to BMUI, the Ombudsman said.

‘Return P30.77 million unutilized funds’

Meanwhile, state auditors have directed the DOT to return P30.777 million in unutilized project funds to the Bureau of Treasury.

The DOT’s Office of the Secretary and Regional Offices III (Central Luzon) and VI (Western Visayas) still have unutilized funds under their respective Cash in Bank-Local Currency, Current Account (CIB-LCCA) accounts as of Dec. 31, 2022. ?

The Office of the Secretary’s unspent P28.09 million is an excess of the Tourism Infrastructure and Enterprise Zone Authority’s implementation of the 2017 Association of Southeast Asian Nations Site Enhancement Project.

Regional Office III’s unspent P320,567 represents payment of honoraria of several Bids and Awards Committee personnel, residual funds from the Tourism Promotions Board, and insurance proceeds from the Government Service Insurance System.

Regional Office VI’s unspent P2.366 million include P785,004.50 it received in 2016 from the Bureau of Fisheries and Aquatic Resources for the Guimaras Mangrove Rehabilitation Project.

“The maintenance of CIB-LCCA encouraged the deposit of transferred proceeds outside the BTr. Additionally, resources will become idle when the funds accumulate in the bank account for a period of time instead of reverting to the BTr for use in other government programs or projects,” the COA said.

The COA also called out the DOT’s accumulation of unliquidated cash advances (CA) granted to special disbursing officers (SDO) supposedly for the operating expenses and special projects of the DOT’s 12 foreign offices.

As of Dec. 31, 2022, 24.85 percent of outstanding CAs were past their liquidation due dates. Outstanding CAs of the SDOs amount to P374.595 million.

The CAs were released to the SDOs for supposed operations and special projects of the DOT’s offices in Beijing, Frankfurt, South Korea, London, Los Angeles, New York, Osaka, San Francisco, Shanghai, Sydney, Taiwan and Tokyo.

In response, the DOT said demand letters were issued on Feb. 23 and March 7 to the accountable officers and tourism attachés requiring them to settle the unliquidated CAs.

The demand letters also included an order to withhold the salary of concerned employees pending the submission of the required liquidation reports, it added.

FIBA World Cup

Meanwhile, Tourism Secretary Christina Frasco encouraged the tourism industry to create tour packages for the FIBA Basketball World Cup 2023 in August.

At the International Basketball Federation luncheon hosted by the PLDT Group, Frasco expressed gratitude for President Marcos’ support for Manny V. Pangilinan, PLDT, telecommunications giant Smart and the Samahang Basketbol ng Pilipinas to ensure the success of the tournament.

The Philippines will co-host the event along with Japan and Indonesia from Aug. 25 to Sep. 10, where 32 teams will be competing for the Naismith Trophy.

Games will be played at the Araneta Coliseum in Quezon City, the Mall of Asia Arena in Pasay City and the Philippine Arena in Bulacan.

Three to four-day stay packages will be available for booking from Aug. 1 to Sep. 30 through the DOT’s website.

Frasco said that the DOT, Philippine Tour Operators Association, Hotel Sales and Marketing Professionals, Pacific Asia Travel Association and the Tourism Congress of the Philippines have developed FIBA-exclusive tour packages.