₱2.697 Billion Confidential Fund Controversy Shocks Davao City

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₱2.697 billion confidential fund controversy shocks davao city

Last updated on October 2nd, 2023 at 03:49 pm

A lawmaker in the Philippines has called for an investigation into the alleged misuse of confidential funds in Davao City. 

The city is said to have spent around ₱2.697 billion in confidential expenses over the past six years, which is substantially higher than other major cities like Makati City and Quezon City. 

These confidential funds are subject to regulations under Joint Circular No. 2015-01, which specifies that the total amount for such funds should not exceed 30% of the local government unit’s total annual allocation for Peace and Order and Public funds.

The Committee on Audit (COA) has been urged to determine if the spending in Davao City aligns with these regulations. If not, corrective action and possible legal measures should be taken.

The issue of confidential funds has come into focus due to a High Court ruling in 2017, which declared certain sections of the Drugs Act and Drug Trafficking Act unconstitutional. The Constitutional Court upheld this ruling in 2018. 

Consequently, the government has been working on reforms, including allowing the cultivation of a specified quantity of cannabis plants and expunging criminal records for cannabis-related offenses.

As you read, the Filipino lawmaker used ₱2.697 billion in confidential funds over the past 6 years. This amount is much higher than what other major cities spent on such expenses.

These confidential funds have rules to follow, and they should not be more than 30% of the city’s total annual allocation for Peace and Order and Public funds.

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Now, the Committee on Audit (COA) needs to check if Davao City followed these rules. If not, they might need to take corrective actions and even legal steps.

This issue came up because of a court ruling in 2017 that declared some parts of the Drugs Act and Drug Trafficking Act unconstitutional. 

The government is making changes, like allowing the cultivation of some cannabis plants and clearing records for cannabis-related offenses.

It is very important for the government to spend public money transparently and responsibly. We need to ensure that public funds are used properly and within the law.

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