The Commission on Audit (COA) is examining the possibility of launching a formal fraud investigation into the utilization of confidential funds by the Office of the Vice President (OVP) and the Department of Education (DepEd) during Vice President Sara Duterte’s tenure leading both offices.
The disclosure came on Day 15 of the Senate Impeachment Court trial, where COA auditor Xylene Mae del Campo responded to questioning from Senator Bam Aquino regarding whether state auditors had initiated a fraud review over suspicious fund documentation.
Del Campo confirmed that the matter remains under review with COA Chairperson Gamaliel Cordoba.
“It is still being studied with Chairperson (Gamaliel Cordoba),” del Campo told the impeachment court.
“If a fraud audit were to be conducted, this would be the first time…The documents—the transactions involving the OVP and DepEd—consist of a voluminous amount of records containing sensitive information; if these were turned over to another office, that information could be exposed,” she said.
The inquiry centers on a series of unusual names listed on acknowledgment receipts for confidential disbursements. Senator Aquino highlighted several specific entries, such as “Mary Grace Piattos,” who allegedly received ₱70,000; “Ralph Joseph Bacon,” listed for ₱150,000; and “Matthew N Keso,” associated with a ₱250,000 payout.
“There’s Piattos, Bacon, Heart, Keso, and so on. Didn’t you consider this a red flag?” Aquino asked.
“Some of our lawyers consulted former Commissioner Heidi Mendoza, and she said that when there are unusual names, the COA can trigger an investigation due to fraud,” he pointed out.
Del Campo noted that state auditors had not previously probed these names because they functioned under a standard presumption of regularity, supported by sworn affidavits from Special Disbursing Officers (SDOs) attesting to the legitimate operational use of the funds.
Aquino countered by reminding the court that state auditing rules require acknowledgment receipts to be matched to real, verifiable individuals, adding that the use of fictitious aliases violates Republic Act No. 6085.