Senate Minority Leader Franklin Drilon said that more than P33 billion government funds were parked in the Philippine International Trading Corporation (PITC), a trading firm under the Department of Trade and Industry.
“The latest financial statement as of December 31, 2019, indicates that customers’ deposits in PITC is P33.4 billion… You’re talking about P33 billion in government funds deposited in a small trading firm,” Drilon said in an interview on ANC, citing a Commission on Audit report.
“The deposits of the clients grew from P4.8 billion in 2015, suddenly in 2019 it grew to P33.4 billion,” he added.
On Friday, Drilon flagged a P9.6 billion fund of the Department of National Defense (DND) that was “sleeping” in Philippine International Trading Corporation.
“I am appalled that P9.6 billion at least is in the PITC’s hand… as far back as three years ago, our money is sleeping there,” Drilon said.
This included P6.3 billion from the Philippine Army, P1.99 billion from the Philippine Navy, P736 million from the Philippine Air Force, and P582 million from the General Headquarters said Senator Panfilo Lacson, who is also the chairperson of the Senate committee on national defense.
Over P33B gov’t funds ‘parked’ in PITC – Drilon
The Department of Information and Communications Technology (DICT) also has a P3.5 billion fund idly lodged with PITC.
Drilon said that some government agencies might be practicing parking funds at the PITC to make it appear that their funds had already been “obligated.”
The increasing sleeping funds at the Philippine International Trading Corporation show that the firm’s delivery of services is “poor,” Drilon added.
“The Secretary of Finance or the DOF is really straining to raise funds because of the drop in revenues, and here you are — government agencies depositing with PITC their budget so that it is made to appear that it is obligated,” Drilon said.
Drilon said the Governance Commission for GOCCs was not successful in monitoring the performance of PITC.
“Obviously, the GCG is not doing its job,” he said.
Drilon added the Senate would investigate the matter to check if the public is being “shortchanged.” He said these parked budget either point to government inefficiency or corruption.