Notice of suspension possible if GOCC execs fail to explain bonuses — Palace official

January 24, 2014 4:27 am 

MANILA, Jan. 23 — Government-owned and controlled corporation (GOCC) executives whose compensations and benefits exceed the capped to P3-million per year will have some explaining to do, Malacanang said Thursday.

Presidential Communications Operations Office (PCOO) Secretary Herminio Coloma Jr., in a Palace briefing, said that if the Commission on Audit (COA) finds that their (GOCC officials) compensation exceeds P3-million, it was already a violation of the law.

“If that is part of the audit findings, it is the duty of the (GOCC) official involved to explain it,” Coloma said in Filipino.

“Meanwhile, GCG (Governance Commission for GOCCs) should validate that their officials do their jobs properly and follow rules and regulations,” he added.

Coloma explained that the GOCCs operate based on the "Fit and Proper Rule" which allows GCGs to review the GOCC executives performance and decide whether their appointment would be subject for renewal or not.

“The basis for renewal is that Fit and Proper Rule — if they are deserving, if they have the capacity, if they follow the rules and regulations,” Coloma said.

The GCG previously said that compensations and benefits of GOCC executives were above P3-million. However, under the present administration, the capped compensation was at P3 million and no increases were approved since then.

It also said that the only way to return the alleged unauthorized bonuses was through disallowance by the COA. (PNA)

LGI/ANP

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