MANILA, Philippines — The Commission on Audit (COA) has called out the People’s Television Network Inc. (PTNI), which runs PTV-4, over its questionable payment of P89.68 million in salaries of contractual employees and for its failure to account for P39.26-million fund intended for its coverage of the country’s hosting of the Association of Southeast Asian Nations (ASEAN) Summit in 2017.
Based on the COA’s annual audit report on PTNI, the state-run television network paid P89.68 million in salaries of its contractual personnel from January to December 2018 but failed to present any supporting documents such as daily time records (DTRs), contracts of service (COs) and accomplishment reports, violating Presidential Decree 1445 or the Government Auditing Code.
The audit body also cited COA Circular No. 2012-001 dated June 14, 2012, which states the payment of salaries to contractual employees must also be supported with a certification by the personnel officer that the activities orservices cannot be provided by the regular or permanent personnel of the agency.
COA said it would issue a notice of suspension or disallowance, which would legally mandate PTNI to return the money, if the firm still does not submit the required documents.
State auditors also said that several contractual personnel were also granted a total of P1.413 million in honoraria for services supposedlyrendered during the country’s hosting of the ASEAN Summit in 2017.
The COA said this was despite a provision in the memorandum of agreement between PTNI and the Presidential Communications Operations Office (PCOO) stating that the ASEAN fund “shall in no case be utilized for the payment of additional compensation to employees in the form of allowances, incentive pay, bonuses, honorarium, or other forms of additional compensation.”
COA recommended that PTNI refund the honoraria.
In the same audit report, COA said PTNI has yet to liquidate the P39.267 million it received from the PCOO for the promotion and coverage of the ASEAN events in 2017.
The COA directed the PTNI to “submit liquidation reports to the PCOO together with the refund for the unexpended balance of the fund transferred, if any.”