AFP Denies Social Media Claims of Corruption Over COA Audit Findings

 

MANILA, Jan. 30, 2026 – The Armed Forces of the Philippines (AFP) on Friday rejected social media claims that alleged corruption based on findings in the Commission on Audit’s (COA) 2024 Annual Audit report.

Colonel Xerxes Trinidad, chief of the AFP Public Affairs Office, clarified that some online narratives misrepresented COA’s observations, which flagged P201.86 million in unliquidated cash advances and P72.86 million in unauthorized bank accounts.

“The COA observations are intended to strengthen accounting procedures, internal controls, and financial management systems. However, certain narratives circulating on social media have selectively cited portions of these observations and misrepresented them as findings of corruption, a claim not supported by COA’s conclusions,” Trinidad said.

COA earlier noted that P166.25 million, or 82.36 percent of the P201.86 million in cash advances, was past due, with some funds unsettled for as long as 43 years. State auditors warned that these funds were likely already spent and that asset and expense accounts may be misstated.

The AFP explained that the advances were allocated for official purposes, including transportation, field and operational support, medical aid, and humanitarian assistance, particularly in areas where banking and check-based disbursements were impractical.

“These amounts were pending liquidation in the accounting records at the time of audit. These funds were not lost, stolen, or misappropriated,” Trinidad said. As of September 30, 2025, P178.72 million had been liquidated, leaving a remaining balance of P23.13 million. Recovery efforts, including cases involving resigned, AWOL, or deceased officers, are ongoing. For cases where recovery is no longer feasible, the AFP is requesting COA approval for write-offs in accordance with regulations.

Questionable Bank Accounts Addressed

COA also identified six Land Bank of the Philippines accounts totaling P72.86 million that were maintained without legal basis. These accounts, which included funds from military quarters allowance, inter-agency transfers, a PCSO endowment, and PhilHealth professional fees, were supposed to be closed and reverted to the Bureau of the Treasury.

In compliance, the AFP closed five of the six accounts and remitted the balances to the Bureau of the Treasury. One account will be retained as an authorized repository for inter-agency funds supporting projects of national government agencies and government-owned and controlled corporations.

AFP Maintains Record of Clean Audit Opinions

Trinidad emphasized that the AFP has consistently received an “Unmodified Opinion” from COA for seven consecutive years, covering 2018 to 2024. An Unmodified Opinion indicates that financial statements fairly present the AFP’s financial position in accordance with International Public Sector Accounting Standards (IPSAS).

“An Unmodified Opinion does not mean the absence of audit observations but that the issues raised were corrected or are not material,” Trinidad noted. He added that the AFP remains committed to zero tolerance for corruption, adherence to due process, and cooperation with COA and other oversight bodies.