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Palace: CIF Rules Clear, But Safeguards May Need Tightening

Manila: Malaca±ang said Thursday that existing rules governing confidential and intelligence funds (CIF) are clear but may need to be tightened to prevent officials from exploiting loopholes.

According to Philippines News Agency, Palace Press Officer Claire Castro stated that the rules under Joint Memorandum Circular 2015-01 are sufficient for officials who properly account for the use of public funds. The circular, issued by the Commission on Audit (COA), Department of Budget and Management (DBM), Department of the Interior and Local Government (DILG), Governance Commission for GOCCs (GCG), and Department of National Defense (DND), governs the entitlement, release, use, reporting, and audit of CIF.

Castro emphasized that the existing guidelines are clear and sufficient for those who adhere to them without any intent to deceive or misuse the funds. She mentioned, "It is clear already. If you follow the policy and rules and have no intention of deceiving or misusing the funds, then the rules are not the problem. It depends on the person."

Castro's remarks came in response to reports that the COA is considering reviewing or amending existing rules on the use of CIF following issues raised during the impeachment trial of Vice President Sara Duterte. She noted that officials who deliberately seek ways to circumvent the rules could prompt the need for tighter safeguards, stating, "Problems arise when people use their intelligence, knowledge, or skills to find ways around the rules."

Castro also mentioned that any proposed amendments should first be carefully studied before the government determines their possible impact on intelligence and confidential operations. In the meantime, she urged agencies to continue complying with the existing rules.

Addressing concerns that stricter auditing rules could expose confidential informants, Castro assured that the current guidelines already provide mechanisms to protect their identities. Under the joint memorandum circular, supporting documents identifying informants may be placed in sealed envelopes and kept in an agency vault. Such information may only be disclosed when questioned by the Internal Control and Financial Audit Office or the COA, which is mandated to protect the identities of individuals subject to audit.

Castro concluded by stressing that Congress retains the power to determine government spending, including the budget proposed by the Executive.