PEZA v. Commission On Audit

JR., J.:

Before us is a petition for certiorari under Rule 64 in relation to Rule 65 of the 1997 Rules of Civil Procedure , as amended, seeking to annul Commission on Audit (COA) Decision No. 2009-0811 which affirmed the Decision2 of the Director, Cluster IV - Industrial and Area Development and Regulatory, Corporate Government Sector, COA, affirming Notice of Disallowance Nos. 2006-001-101 (02-06) to 2006-021-101 (01-03)3 for the payment of ₱5,451,500.00 worth of per diems to ex officio members of the Board of Directors of petitioner Philippine Economic Zone Authority (PEZA). The Facts The PEZA Board of Directors is composed of 13 members which include the Undersecretaries of the Department of Finance, the Department of Labor and Employment, the Department of the Interior and Local Government, the Department of Environment and Natural Resources, the Department of Agriculture, the Department of Public Works and Highways, the Department of Science and Technology and the Department of Energy.

Said Undersecretaries serve in ex officio capacity and were granted per diems by PEZA for every attendance in a board meeting. On September 13, 2007, the PEZA Auditor Corazon V. Españo issued Notice of Disallowance Nos. 2006-001-101 (02-06) to 2006-021-101 (01-03) on the following payments of per diems to ex officio members of the PEZA Board for the period 2001-2006: N.D. No. DATE PAYEE TOTAL AMOUNT 2006-001-101 (02-06) 7/26/07 Eduardo R. Soliman, Jr. ₱ 632,000.00 2006-002-101 (02-05) 7/16/07 Juanita D. Amatong 448,000.00 2006-003-101 (01-02) 7/16/07 Anselmo S. Avenido 162,000.00 2006-004-101 (01) 7/16/07 Rosalinda Dimapilis-Baldoz 45,000.00 2006-005-101(05) 7/16/07 Benedicto Ernesto R. Bitonio, Jr. 56,000.00 2006-006-101 (05-06) 7/19/07 Manuel M. Bonoan 112,000.00 2006-007-101(01-02) 7/19/07 Arturo D. Brion 177,000.00 2006-008-101(05/06) 7/19/07 Armando A. De Castro 144,000.00 2006-009-101(02-06) 7/19/07 Fortunato T. De La Peña 904,000.00 2006-010-101(01) 7/19/07 Roseller S. Dela Peña 36,000.00 2006-011-101(01-05) 7/23/07 Cyril Del Callar 762,000.00 2006-012-101(03) 7/23/07 Renato A. De Rueda 48,000.00 2006-013-101(01-06) 7/23/07 Cesar M. Drilon, Jr. 811,000.00 2006-014-101(03-05) 7/23/07 Josephus B. Jimenez 336,000.00 2006-015-101(01) 7/23/07 Rufino C. Lirag, Jr. 63,000.00 2006-016-101(06) 7/26/07 Gaudencio A. Mendoza, Jr. 16,000.00 2006-017-101(03-04) 7/26/07 Rolando L. Metin 256,000.00 2006-018-101(01-02) 7/26/07 Edmundo V. Mir 124,500.00 2006-019-101(05-06) 7/26/07 Melinda L. Ocampo 104,000.00 2006-020-101(05-06) 7/26/07 Luzviminda G. Padilla 56,000.00 2006-021-101(01-03) 7/26/07 Ramon J.P. Paje 159,000.00 TOTAL