No mishandling of gov't funds, says former PMS chief

MANILA, Philippines - Former President Gloria Macapagal-Arroyo's new spokesperson has denied that the previous administration severely depleted the country's P1.54 trillion national budget in the first six months of the year.

Former Presidential Management Staff (PMS) chief Elena Bautista-Horn said that in January, the Department of Budget and Management (DBM) transfers a third of the annual budget allotted for salaries to the bank accounts of government agencies and departments.

"If you look at the national treasury, of course, wala na yung P1.54 trillion because the money is already going to salaries," Bautista-Horn, who has been designated as her spokesperson, said.

Bautista-Horn said the DBM also disbursed 75% of the maintenance and other operating expenses (MOOE) of government agencies at the start of the year as well as the internal revenue allotments (IRA) for local government units for the first 6 months of 2010.

She said the government already disbursed P130 billion of the annual P265 billion allotted for LGUs. 

Bautista-Horn denied that there was any misappropriation of funds under the Arroyo administration, particularly in government agencies.

"I was also head of some government agencies. You cannot just spend the money willy-nilly. There are specific details in the General Appropriations Act like salaries that cannot be spent on electricity or rent. It's very hard to use the money for other items or expenditures," she said.

She also denied that the government had depleted the government's P2 billion calamity fund. She said the former president even added P2.8 billion the annual calamity fund after the onslaught of typhoons Ondoy and Pepeng last year.

President Benigno Aquino disclosed on Friday that part of his SONA will reveal how the Arroyo administration allegedly mismanaged the government's calamity fund. He said one particular congressional district in Pampanga received 20% of the calamity fund even though it was not heavily affected by Typhoons Ondoy and Pepeng last year.

The DBM earlier came across documents which showed that towns in Arroyo's second district of Pampanga, like Lubao, Floridablanca, Porac, Guagua, Sta. Rita and Sasmuan, were favored in the calamity fund. (Click here for story.)

Meanwhile, President Arroyo's son has urged critcs of the Arroyo administration to "get their facts straight" when it comes to assailing the previous government.

When asked  about Aquino's expected "anti-GMA SONA," Mikey said: "They can say whatever they want to say. They should just get their facts straight. They should be responsible. GMA has a spokeswoman. Len Bautista, let her answer point by point. I'm not here as her spokesperson. Sanay na kami for 9 years sa criticism."

Mr. Arroyo, the new representative of tricycle drivers and security guards in Congress, is expected to attend Aquino's first SONA on Monday.