Professional Documents
Culture Documents
Sophocles
Fraud Definition
In general, fraud may be defined as the voluntary execution of a wrongful act, or a willful omission, knowing and intending the effects which naturally and necessarily arise from such act or omission (Legaspi Oil Co., Inc., vs. CA, G.R. No. 96505, July 1, 1993)
possible Poor internal controls Management override of internal controls Most prominent red flag financial pressure
types of frauds False financial statements overpricing Ghost employees/payroll fraud Bid rigging/ price fixing Ghost deliveries
A. Ghost deliveries of combat clothing & individual equipment amounting to P38 million; B. Splitting of POs (80 Pos of not more than P500,000 each; and C. Charged against Personal Services
Illegal Expenditures
1. For contracts awarded under an alternative mode of procurement for items that should have undergone complete public bidding process and eventually resulted in overpricing (Venancio R.
Nava vs. Rodolfo G. Palattao, et al., G.R. No. 160211 dated August 28, 2006)
Illegal Expenditures
Payment of benefits in direct contravention of the prohibition in the administrative order issued by the President (Dr. Emmanuel T. Velasco, et al. vs. COA, et al., G.R. No. 189774 dated September 18, 2012.
Challenges
The challenge of promoting integrity and ethics is greater in an agency that exercises power such as the Commission on Audit.
Accounting and Reporting Guidelines for the LDRRMF of LGUs, NDRRMF given to LGUs and Receipts from other sources.
Audit of the Leagues of LGUs and the Leagues and Federation of Elective Officials
COA Circular No. 2012-003 dated October 29, 2012: Updated guidelines for the prevention of irregular, unnecessary, excessive, extravagant and unconscionable expenditures
COA Circular No. 2012-011 dated October 15, 2012: Requirement of certification from the concerned government agency on non-payment of money claim as additional supporting document to the petition filed before this Commission
Participatory Audit
Thank you!