COA flags Anti-Money Laundering Council for P4.72M excess spending on workshops

MANILA, Philippines –  The Commission on Audit (COA) flagged the Anti-Money Laundering Council (AMLC) for exceeding allowable rates in its spending of public funds for 12 trainings and seminars in 2022, amounting to P7.213 million.

Based on the allowable daily travel expenses under Executive Order No. 77, COA said that the country’s financial intelligence unit’s excessive spending amounts to P4.76 million

Under EO No. 77, the daily travel expenses for Central Luzon is P1,500 per day, while for Metro Manila and Calabarzon, it is P2,200 per day.

“Based on the authorized rates and apportionment, the actual DTE (daily travel expenses) were found to be in excess of the allowable daily travel expenses rates per participant for meals and accommodation during AMLC’s trainings, seminars, planning, activities,” the state auditors said in its report released Tuesday, May 30.

According to the audit report, seven activities took place in Quezon City hotels, two in Clark Freeport Zone, two in Mabalacat, Pampanga hotels, and one in Thunderbird Resort in Binangonan, Rizal.

COA also noted that the AMLC did not provide proof of the unavailability of publicly owned venues in the areas where the seminars and training were held. 

The state auditor said that the AMLC should have prioritized the use of publicly owned venues.

Inflation, efficiency, confidentiality

AMLC, on the other hand, said that its spending cannot be considered irregular, unnecessary, or extravagant.

The council argued that COA failed to consider the impact of inflation and increased operational costs. 

Given the confidentiality and sensitivity of topics during the workshops, the council said that they had to select venues in more discreet and private locations.

AMLC also said that it made sure that the privately owned venues were more efficient and economical compared to government-owned venues. – Rappler.com