OWWA trust fund intact amid P1.4-B deal mess, probe underway –Palace

Palace Press Officer Claire Castro (PNA file photo)

By Darryl John Esguerra, Philippine News Agency

MANILA – Malacañang on Monday said initial findings show that the Overseas Workers Welfare Administration (OWWA) trust fund remains untouched despite concerns surrounding the PHP1.4-billion land deal that led to the removal of Administrator Arnell Ignacio.

Palace Press Officer Claire Castro said that while the investigation is ongoing, there is no indication so far that the fund —meant exclusively for the welfare of overseas Filipino workers (OFWs)— was used in the property transaction near Ninoy Aquino International Airport (NAIA) Terminal 1.

“Sa initial na imbestigasyon, hindi po affected ang OWWA trust fund. Pero inimbestigahan kung may nagamit. Pero sa inisyal na imbestigasyon wala po (Based on the initial investigation, the OWWA trust fund was not affected. There was a probe to see if any part of it was used, but initial findings show none was),” Castro said in a Palace press briefing.

Under Republic Act 10801 or the OWWA Act, the OWWA Fund is classified as a private trust fund solely for the benefit of its member-OFWs and their families.

The law strictly limits its use to the agency’s core programs and services, and explicitly prohibits it from being used to augment expenditures of other government entities.

Section 38 of the law states: “The OWWA Fund can only be used for the purposes for which it was created, that is, to serve the welfare of member-OFWs and their families which shall include the financing of core programs and services of the OWWA. No funds shall be withdrawn from the OWWA Fund to respond, aid, supplement, or in any manner augment any required expenditure by other government agencies.”

The law also clarifies that the fund, being a trust, is exempt from the government’s “one fund doctrine” and must not revert to or be merged with the national coffers.

The alleged anomalous PHP1.4-billion land acquisition deal, which supposedly did not have the approval of the agency’s Board of Trustees, is now under investigation by the Department of Migrant Workers (DMW).

The land deal was meant for the construction of a dormitory-type facility for OFWs near NAIA Terminal 1.

Castro said the investigation will also look into the possible involvement of other OWWA officials in the deal.

“Sa ngayon po ay under investigation pa po ang lahat. Kung mayroon pang mga opisyal na involved dito, magkakaroon po ng aksyon. Kung sila’y tatanggalin, sususpindehin. Agarang aksyon po ang gagawin (At present, everything is still under investigation. If there are other officials involved, action will be taken. Whether they are removed or suspended, immediate action will follow),” she added.