COA flags Sandiganbayan’s P11.9M foreign travel advances, ‘expensive’ seminar venues

MANILA — The Commission on Audit (COA) flagged P11.87 million in cash advances for foreign trips by Sandiganbayan officials, citing incomplete supporting documents in its 2025 annual audit report.

The advances covered trips to the United States, Australia, Hungary, the United Arab Emirates, Singapore, and Qatar. 

The largest single advance worth P2.57 million was for four Associate Justices who attended a special course on the basics of artificial intelligence for criminal legal professionals in Budapest, Hungary on Oct. 13-14, 2025.

COA said the advances lacked letters of invitation, fare quotations from three travel agencies, and flight itineraries. 

“The absence of these documents limited the audit team’s ability to verify the necessity, propriety, and official purpose of the foreign travel,” the report said.

The anti-graft court’s accountant told auditors that the safety of officials traveling abroad was prioritized in booking tickets, so airfare quotations were no longer required and airlines were chosen based on perceived safety, according to the report.

Auditors also found that liquidation reports for P7.16 million in cash advances were missing the required narrative reports on the trips. Certificates of appearance were attached, but COA said both documents were needed. 

“These documents are mandatory and complementary in nature, not alternative requirements,” COA said. 

It also questioned more than P600,000 in round-trip airfares for three Justices to Budapest, or more than P200,000 each. 

Under Sandiganbayan Office Order No. 164-2018, officials traveling abroad are entitled only to economy class, except the presiding justice, who is entitled to business class.

According to the report, the billing statement attached to the liquidation reports showed the tickets were bought as premium economy, but the boarding passes indicated business class. 

The court’s accountant told auditors that officials who fly business class generally shoulder the difference between economy and business fares.

However, COA said it could not determine if the fares were within allowable rates. It noted that independent verification showed Emirates does not offer premium economy on the Munich-Manila route, only economy, business and first class.

Auditors also compared the fares with that of another Sandiganbayan official who attended the same event in Budapest and flew economy at less than P130,000. 

Despite minor differences in dates and itinerary, the difference of around P77,000 “casts doubt on the accuracy and validity of the airfare classification reported in the LRs,” or liquidation reports, COA said.

Each of the three justices reported expenses of nearly P700,000, higher than their cash advances of about P644,000, according to the report.

COA recommended that the officials concerned submit complete documents showing the allowable airfare rate and the actual business class fare paid. 

It asked that they adjust their claims and settle any refund or reimbursement under the office order. 

It told the Accounting Division to ensure airfare claims follow the authorized travel class and that all documents required by Circular No. 2012-001 are complete. 

The report said Sandiganbayan management agreed to the recommendations.

In a separate finding, COA said the Sandiganbayan spent around P13.65 million in 2025 on 12 activities held in privately owned venues, “mostly in 5-star and 4-star hotel categories,” under negotiated lease contracts.

Of the 12 activities, nine involved hotel or resort accommodations with meals and function rooms. The other three were venue rental only or venue with meals.

The report identified the following activities at higher-rated venues. 

A physical asset management training on Feb. 3-5 at the five-star Clark Marriott Hotel in Pampanga cost about P1.71 million. 

A July 20-23 round table discussion on the New Government Procurement Act, writeshop and special en banc session at the same hotel cost around P1.7 million. 

An Aug. 15 consultation meeting at the four-star Seda Vertis North in Quezon City cost nearly P192,000. 

The Baguio Country Club, also rated five-star, hosted a tree planting activity and special en banc session on April 23-24 at a cost of about P287,000.

The most expensive activity was an executive briefing and capacity building event on May 19-21 at Las Casas Filipinas de Acuzar in Bagac, Bataan, which cost around P5.18 million, COA said. 

It added that the venue was not in the Department of Tourism’s list of star-rated establishments.

Other venues also absent from the list included the Modala Beach Resort in Panglao, Bohol, where a writeshop for 25 people on May 5-9 cost nearly P1 million.

Meanwhile, Novotel Manila Araneta City in Quezon City hosted the Sandiganbayan’s Dec. 1 Christmas celebration at around P1.8 million. It also hosted a Nov. 5-7 performance-rating seminar at P684,000.

COA said several transactions lacked proof that government-owned venues were considered first, written justification that private venues were more economical and efficient, or justification for using four- or five-star hotels.

Under the procurement rules, lease of “expensive or luxury venues” is not allowed unless for government-sponsored international conventions and similar events, and four- or five-star use must be justified.

Based on the report, proof that government venues were considered was not submitted for eight of the 12 activities, and written justification for economy and efficiency was missing for six. 

The Clark Marriott and Seda Vertis events had no justification for using higher-rated venues, COA said.

The Sandiganbayan gave explanations for two activities, citing the need for offsite venues for focused discussions, cost efficiency and better participant engagement. 

However, COA said no documents showed that in-house or government venues were evaluated first.

It added that it could not determine if the venues were “the most economical and advantageous option to the government,” raising the risk of “avoidable or excessive expenditures.”

A supervising judicial staff officer of the court’s Procurement Management Division told auditors the written justification requirement had been practiced for major or high-value activities but was strictly emphasized only after Republic Act No. 12009 took effect, according to the report. As a result, compliance was observed mostly in the latter part of the year.

The audit body acknowledged the Sandiganbayan’s efforts to improve controls late in 2025 but said consistent compliance is still needed.

COA recommended that end-user units prioritize economical arrangements such as in-house venues, government facilities or non-residential “live-out” setups. 

The court’s management agreed to auditors’ recommendations, including its requirement to submit documented evaluations of government facilities before leasing private venues and ensure strict compliance with the procurement rules.