BTr urges officials to 

follow ‘Bonding Law’ 

TAGBILARAN CITY, Bohol, Dec 12 (PIA)—Many may not know this, but accountable public officials and employees, including Sangguniang Kabataan chairpersons and their treasurers whose tasks include the possession, custody and control of public funds and properties could be liable for administrative and criminal suits if they fail to secure fidelity bonds from the Bureau of Treasury. (BTr) 

This as the BTr informs the public that it has been over a year already and yet, there are accountable barangay and SK officers who have not posted for their fidelity bonds. 

According the BTr, fidelity fund answer defalcations, shortages, and unrelieved accountabilities of the bonded official or employee who has current and existing bond up to the actual loss but not exceeding the amount of bond. 

Since the last SK and Barangay Elections, it has been over a year already, and according to the BTr, many chairpersons and treasurers have not secured and posted their fidelity bonds. 

BTr Bohol chief Hermilina Bulasa, during the recent Kapihan sa PIA, aired live over DyTR, clarified that a fidelity bond is a form of an insurance of bondable public officer under the Fidelity Fund to assure that he faithfully performs all duties imposed by law upon him and faithfully accounts all funds and public property coming into his possession and custody of control. 

Accountable also are not only the SKs and Barangay officials, as fidelity bonding also applies to provincial governors, city and municipal mayors, provincial, city, municipal officials as per Sec. 305 (f) of R.A. 7160 and DILG M.C. No. 99-186, 11 Oct. 1999). 

Also covered under the same law are public officers designated as authorized signatories and counter signatories in the issuance of checks and approval of disbursement vouchers, as well as heads of departments, bureaus, agencies and instrumentalities of the Government. 

Fidelity Fund consists of bond premium collected by the BTr from accountable public officers having custody of public funds and properties which are constituted and maintained as permanent reimbursable fund, according to the BTr. 

As to the Public Bonding Law, every officer, agent and employee of the government of the Republic of the Philippines, its companies or corporations with majority stocks held by the National Government, or persons performing duties which permit or require possession, custody, and control of public funds and or public properties pursuant to Sec. 314 and 318, shall be posting bonds. 

It is among the mandates of the BTr to bond all accountable public officials and employees pursuant to the provisions of the PBL and they are also mandated to issue appropriate guidelines. 

Along this, the BTr, by virtue of EO 449, Sec 2, issued Treasury memorandum Circular No. 1-71, Treasury Order No. 01-95, Treasury Order No. 01-99 and Treasury Circular No. 2-2009. 

With this, at present, with the BTr still out urging accountable officials of the SK to post bonds, this could mean that after over a year, barangay SK chapters have yet to draw funds that are allocated for their local priority projects. 

The funds could not be withdrawn by just anybody else, and are set locked on to the particular barangay officials as per certification by the local chief executives. 

As to other officials with bigger responsibilities and financial accountabilities, the bond, according to Bulasa, should not exceed 5 million pesos. 

While non-transferrable, the bond is only good for one year and premium shall be paid in one full year, renewable before its expiration date and its premiums non refundable even if the bond is cancelled, the BTr through Bulasa said. 

Failure to put up the fidelity bon is a failure to comply with the requirements of Government Auditing Code of the Philippines and would be considered neglect of duty, thus is punishable in accordance with the Civil Service Law. 

On the other hand, such also comprises criminal liability using Anticipation of Duties of a Public Office and could fetch the official suspension from office or employment, until he shall have complied with the formalities of the law and the corresponding penalties. (rahc/PIA_7/Bohol) 

ADMIN AND CRIMINAL OFFENSE. SK chairs and treasurers who have not posted up their fidelity bonds are now warned to immediately comply to evade from possible suits, while the government is now straightening up its fiscal policies, said Bureau of Treasury Bohol chief Hermilina Bulasa. (rahc/PIA-7/Bohol)