Unliquidated cash advances

COA Circular No. 2016-005 defines dormant unliquidated cash advances: "as those granted to disbursing officers, agency officers, and employees that have remained unmovable for 10 years or more, with collectability or settlement no longer ascertainable.

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The audit report revealed that the dormant balances were recorded under Advances to Special Disbursing Officers, Advances to Officers and Employees, and Due from Officers and Employees accounts.

COA further noted that many of these unliquidated advances were tied to individuals who are no longer connected with the provincial government.

These included accountable officers and employees who had already passed away, retired, resigned, or whose contracts or terms of service had already ended, complicating recovery efforts.

An inquiry with the Provincial Accountant showed that P5.46 million worth of unliquidated cash advances had already been referred to the Provincial Legal Office for appropriate action.

In addition, demand letters were reportedly sent to accountable officers with unliquidated cash advances totaling P31.68 million, in line with COA Circular mandating the immediate settlement of outstanding cash advances.