FINAL DRAFT (Revised, 6/19/23)

REPUBLIC OF THE PHILIPPINES

COMMISSION ON AUDIT
COMMONWEALTH AVENUE, QUEZON CITY

CIRCULAR

No. : 2023-_____
Date:___________

TO : All Heads of Departments, Bureaus, Offices, Agencies

and Instrumentalities of the National Government,
Heads of Local Government Units (LGUs), Managing
Heads and Governing Bodies of Government Corporations
(GCs), Commission on Audit Assistant Commissioners,
Cluster Directors, Regional Directors, Officers-in-Charge,
Supervising Auditors, Audit Team Leaders, Audit Team
Members, and All Others Concerned

SUBJECT : Guidelines on Petitions for Money Claim Filed with the

Commission on Audit

1.0 RATIONALE

1.1 Money claim is one contentious subject besetting adjudication. The immensity
of the problem, however, the Philippine government is precise and responsive
vesting in this Commission the exclusive authority to promulgate accounting
and auditing rules and regulations, including those for the prevention and
disallowance of irregular, unnecessary, excessive, extravagant, or
unconscionable expenditures, or uses of government funds and properties well
entrenched in Section 2(2), Article IX-D of the 1987 Constitution.

1.2 Determining the different government transactions that are proper money
claims and the venue of filing, whether before the COA or the regular courts
and other tribunals, are incomprehensible. In both cases, and even for court -
adjudicated money claims, adjudication in this Commission is made more
complicated by such matters as whether or not interest should be granted, and
in the affirmative, the rates, amounts and the reckoning period to be used in
the computation; the payment for attorneys fees and other costs of suit
awarded by way of damages accompanying the judgments; and the sources of
funds that the National Government Agencies (NGAs), GOCCs, LGUs and
other agencies or instrumentalities of the government should charge from to
satisfy judgments on money claims.

2.0 PURPOSE

Cognizant of the enormity of the problem and recognizing COA’s constitutional

authority as the country’s Supreme Audit Institution and its bona fide membership
in the International Organization of Supreme Audit Institutions (INTOSAI), the Asian
Organization of Supreme Audit Institutions (ASOSAI) and the International
 Congress of Supreme Audit Institutions (INCOSAI), this set of policy guidelines is
adopted to provide for a uniform standard to be observed and such other important
issues to consider for a judicious resolution of money claims even for those
already adjudicated by the courts or other tribunals and those filed for the first time
for adjudication by this Commission, and in both instances, the computation of the
proper amount of money claims that should be allowed or granted, or otherwise to
be disallowed.
e Commission, under Section 2(2) thereof, shall have exclusive authority subject to
the limitations in Article IX of the Constitution, to define the scope of its
audit and
examination, establish the techniques and methods required therefor, and
promulgate
accounting and auditing rules and regulations including those for the prevention
and
disallowance of irregular, unnecessary, excessive, extravagant, or unconscionable
expenditures, or uses of government funds and properties.
Specifically, such jurisdiction shall extend over but not be l
The Commission, under Section 2(2) thereof, shall have exclusive authority subject to
the limitations in Article IX of the Constitution, to define the scope of its
audit and
examination, establish the techniques and methods required therefor, and
promulgate
accounting and auditing rules and regulations including those for the prevention
and
disallowance of irregular, unnecessary, excessive, extravagant, or unconscionable
expenditures, or uses of government funds and properties.
Specifically, such jurisdiction shall extend over but not be l

3.0 SCOPE AND COVERAGE

3.1 This set of policy guidelines applies to court-adjudicated money claims

submitted to this Commission as the final arbiter of money claims and those
originally filed and pending before this Commission against any department or
office of the NGAs, GOCCs, LGUs and other instrumentalities of the
government, save those covered under COA Resolution No. 2021-040 dated
December 20, 2021 on payment of just compensation arising from: (a) final and
executory judgments of the courts in expropriation proceedings; and (b) the
exercise of the Government of the power of eminent domain but the amount of
compensation has not yet been finally determined by the courts in expropriation
proceedings.

3.2 The claim or demand for payment may arise from any of the following, but not
limited to:

3.2.1 Contract for the construction of government buildings, roads, bridges

and other infrastructure projects;

3.2.2 Contract for the improvement, rehabilitation, demolition, repair,

restoration or maintenance of roads and bridges, railways, airports,
seaports, communication facilities, civil works components of
information technology projects, irrigation, flood control and drainage,
water supply, sanitation, sewerage and solid waste management
systems and shore protection;
 3.2.3 Contract for the repair and maintenance of vehicles, furnitures, fixtures
and other office equipment;

3.2.4 Contract for consultancy, security, janitorial, trucking, hauling, and other
related or analogous services;

3.2.5 Contract of sale of goods consisting of all items, supplies, materials

and general support services needed in the transaction of public
businesses or in the pursuit of any government undertaking, project or
activity, whether in the nature of equipment, furniture, stationery,
materials for construction, or personal property of any kind, including
non-personal or contractual services;

3.2.6 Contract of lease of buildings, vehicles and other heavy equipment,

computers, photocopying machines and other office equipment;

3.2.7 Contract of loans, credits, and other forms of indebtedness of LGUs; 1

and

3.2.8 Unpaid salaries, terminal leave pay and other personnel benefits.

4.0 CONSTRUCTION
Partaking as it thus of a statute creating and firming up liabilities, this set of
policy guidelines, as a rule, should hence be strictly construed to the end that the
government as an infallible institution is not prejudiced by the mistakes and
indiscretions of its officials.

5.0 JURISDICTION
Pursuant to Section 2(2), Article IX-D of the 1987 Constitution, and as the
country’s Supreme Audit Institution, this Commission shall have exclusive
jurisdiction to adjudicate with finality petitions for money claims based on final and
executory decisions of the courts and other tribunals. It shall exercise original and
concurrent jurisdiction on money claims brought in whatever forum for recovery
regardless of amount.

6.0 VENUE

6.1 Money claim actions for the payment or reimbursement of a sum of money,
not exceeding Two million pesos (P2,000,000.00) exclusive of costs and
interest, may be filed before the Metropolitan Trial Court (MeTC), Municipal
Trial Court in Cities (MTCC), Municipal Trial Courts (MTC) or Municipal
Circuit Trial Courts (MCTC). In excess of Two million pesos
(P2,000,000.00) exclusive of costs and interest, the same may be filed with
the Regional Trial Courts (RTCs).

1
Pursuant to Section 297, Local Government Code, a local government unit may contract loans, credits, and
other forms of indebtedness with any government or domestic private bank and other lending institutions to
finance the construction, installation, improvement, expansion, operation, or maintenance of public facilities,
infrastructure facilities, housing projects, the acquisition of real property, and the implementation of other capital
investment projects, subject to such terms and conditions as may be agreed upon by the local government unit
and the lender.
 6.2 Regardless of amount, and notwithstanding preceding adjudication by the
courts or other tribunals or brought for the first time in this Commission,
petitions for money claims should be filed with the COA Cluster/Regional
Director (C/RD) concerned. This is facilitative to avoid or at least minimize
sending back and forth of documents and other papers. In particular, the
proximity of the concerned C/RD with the Respondent government agency
and the Petitioner is conducive to speedier action. Experience tells that
sometimes the Petition or Answer is wanting in some documents/papers or
those submitted are deficient or of doubtful validity. Eventualities like these
take longer time informing the Petitioner or Respondent of the deficiencies,
and it follows, compliance is also difficult and takes much longer. The times
to inform and comply are shorter when filing is with the C/RD who should
ascertain the completeness and propriety of the documents and other
papers submitted.

7.0 DEFINITION OF TERMS

For purposes of this Guideline:

7.1 Contingent liability2 is a potential liability that may occur depending on the
outcome of an uncertain future event occurring or not occurring, such as
pending lawsuits for money claims subject of this Guideline.

7.2 Good cause means circumstances sufficient to justify the requested order or
other action, as may be determined by the C/RD or the Commission Proper
(CP).

7.3 Interest refers to the amount that a borrower is obligated to pay or a lender is
supposed to earn out of the principal loan availed or granted, or its outstanding
balance multiplied by the rate of interest and the time duration of the loan.

7.4 Mandamus is a special civil action brought by an aggrieved party against a

tribunal, corporation, board, officer or person unlawfully neglecting the
performance of an act which the law specifically requires as a duty resulting
from an office, trust or station.

7.5 Motion means a party's written request for an order or other action.

7.6 Person is an individual, corporation, partnership, limited liability partnership,

association, or other juridical entity endowed with personality by law; and

7.7 Petitioner is the person initiating a money claim action who is the proper party
or successor-in-interest or privy entering into different transactions with the

2
Contingent liability is recorded if the contingency is likely and the amount of the liability can be reasonably
estimated. The liability may be disclosed in a footnote to the financial statements unless both conditions are
not met. If the liability is likely to occur and the amount can be reasonably estimated, the liability should be
recorded in the accounting records of a firm. It is recorded to ensure that the financial statements are accurate
and meet the requirements of the generally accepted accounting principles (GAAP) or the International
Financial Reporting Standards (IFRS). GAAP recognizes three categories of contingent liabilities: probable,
possible, and remote.
 government as enumerated in 3.2 of this Guideline. The term includes a
Respondent who has filed a counterclaim against the Petitioner.

7.8 Respondent is the government agency as party against whom the Petitioner
has filed a money claim action. The term includes the Petitioner against whom
a Respondent has filed a claim, or a person who replies to the claim.

8.0 COMMENCEMENT OF PETITION FOR MONEY CLAIMS

8.1 Action for money claims is commenced by filing with the C/RD a Petition (MC
Form A) accompanied by a Certification Against Forum Shopping, Splitting a
Single Cause of Action, and Multiplicity of Suits (MC Form B), and duly
certified photocopies of the actionable document/s subject of the claim, as well
as the affidavits of witnesses and other evidence to support the claim, if any
(MC Form C). Unless for good cause shown, no additional evidence which
was not attached to or submitted together with the Petition shall be allowed.

8.2 A claimant for money against the government, whether already adjudicated by
the courts or other tribunals, or brought for the first time in this Commission,
may file a Petition with the COA C/RD concerned, accompanied with proof of
service of the Petition to the Respondent and proof of the payment of filing
fee. The Office of the C/RD shall assign the Petition the corresponding docket
number. The party seeking relief shall be referred to as "Petitioner" and the
government agency or instrumentality against whom a claim is directed shall
be referred to as the "Respondent ".

8.3 A petition for money claim, with the supporting documents therefor, shall be
filed in five (5) legible sets stating therein the names and addresses of all
Petitioners and Respondents. It shall be signed and verified by the Petitioner or
by the duly authorized representative. The full names of all parties-in-interest,
whether natural or juridical persons or entities authorized by law, shall be
stated.

9.0 CONTENTS OF THE PETITION

9.1 Petitions based on court-adjudicated money claim, except cases of

expropriation proceedings specified under 3.1 of this Guideline, shall contain the
personal circumstances or juridical personality of the Petitioner, a concise
statement of the ultimate facts constituting his/her cause of action, a citation of
the law and jurisprudence upon which the Petition is based and the relief sought.
It shall be supported with the following documents:

9.1.1 Copy of the final court decision and entry of judgment duly authenticated
by the authorized court officer;

9.1.2 Authenticated copies of decisions/orders/judgments rendered by the

courts, quasi-judicial bodies or other tribunals;

9.1.3 Affidavits of witnesses, if any;

9.1.4 Certification from the government agency on non-payment of money

claim; and
 9.1.5 Other documents/papers supporting the claim.

9.2 Petitions filed for the first time before this Commission, as in court-adjudicated
money claims, shall contain the personal circumstances or juridical personality
of the Petitioner, a concise statement of the ultimate facts constituting his/her
cause of action, a citation of the law and jurisprudence upon which the Petition
is based and the relief sought. The Petition shall be accompanied by certified
true copies of the following documents:

9.2.1 Certification Against Forum Shopping, Splitting a Single Cause of

Action, and Multiplicity of Suits;

9.2.2 Affidavits of witnesses, if any;

9.2.3 Certification from the government agency on non-payment of money

claim; and

9.2.4 Other documents/papers supporting the claim.

10.0 JOINDER OF CLAIMS

The Petitioner may join in a single statement of claim one or more separate claims
against the Respondent whether arising from the same or different transaction, and
whether one or more claims are court-adjudicated and the other or others are not.

11.0 PAYMENT OF FILING FEES

The Petitioner shall pay filing fee in the amount equivalent to 1/10 of 1% of the
amount involved, but not exceeding P50,000.00 and legal research fee of 1% of the
filing fee but not to exceed P200.00.

12.0 DISMISSAL OF THE PETITION

12.1 After the C/RD determines that the case falls under this Guideline, it may, from
an examination of the allegations of the Petition and such evidence attached
thereto, dismiss the case outright on any of the grounds for the dismissal of
the case, inter alia, that there is another action pending between the same
parties for the same claim; or that the cause of action is barred by a prior
judgment or by the statute of limitations; otherwise, the Petition shall be
referred to the Respondent for filing of Answer and/or Counterclaim. The order
of dismissal shall state if it is with or without prejudice. The Petition may
likewise be dismissed as provided under 14.4 of this Guideline.

12.2 The dismissal may be appealed to the CP upon payment of the appropriate
filing fee within fifteen (15) calendar days from receipt thereof. In case of
reversal, the Petition shall be remanded to the C/RD for dispatch in
accordance with the procedures provided for hereunder.

13.0 ORDER TO FILE ANSWER AND/OR COUNTERCLAIM

Upon receipt of the Petition or the decision remanding the Petition, the C/RD, within
five (5) calendar days shall issue an Order (MC Form D) directing the Respondent
to submit Answer and/or Counterclaim to the Petition.
14.0 FILING OF ANSWER AND/OR COUNTERCLAIM

14.1 The Respondent shall file with the C/RD and serve on the Petitioner a duly
accomplished and verified Answer and/or Counterclaim within a non-
extendible period of fifteen (15) calendar days from receipt of the Order. The
Answer/Counterclaim shall be accompanied by certified photocopies of
documents, as well as the affidavits of witnesses, if any, and other evidence in
support thereof. Evidence not attached to or submitted together with the
Answer/Counterclaim shall not be allowed, unless good cause is shown for the
admission of additional evidence.

14.2 The Answer shall (1) point out insufficiencies or inaccuracies in the
Petitioner’s statement of facts and issues and (2) state the reasons why the
Petition should be denied or dismissed or granted. Copy of the Answer shall
be served on the Petitioner and the proof of service thereof shall be attached
to the Answer.

14.3 If at the time the action is commenced, the Respondent possesses a claim
against the Petitioner whether arising out of the same or different transaction
or event, the claim shall be filed as a Counterclaim in the Answer.

14.4 If, in the examination of the Answer and such evidence attached thereto, the
C/RD is able to determine that there exists a ground for dismissal of the
Petition, he/she may, by himself/herself, dismiss the case even if such ground
is not pleaded in the Respondent’s Answer.

15.0 EFFECT OF FAILURE TO FILE ANSWER AND/OR COUNTERCLAIM

Should the Respondent fail to file his/her/its Answer within the prescribed period,
the C/RD shall proceed referring the Petition to the auditors or other COA officials
concerned for comment and recommendation.

16.0 FILING OF REPLY

The Petitioner may file a Reply, copy furnished the Respondent, within fifteen (15)
calendar days from receipt of the Answer.

17.0 REFERRAL TO APPROPRIATE COA OFFICIALS FOR COMMENTS

AND
RECOMMENDATIONS

After the filing or after the lapse of the period within which to file the Answer and
Reply and none is filed, Petitions for money claim shall then be referred to the
concerned COA auditors or other officials for comment and recommendation within
fifteen (15) calendar days from receipt thereof.

18.0 SERVICE AND FILING OF PLEADINGS AND OTHER PAPERS

18.1 The Petition, Answer, Counterclaim, Comment or Recommendation and

other papers, with all their supporting documents/papers filed in this
Commission must be submitted through electronic mail within 24 hours from
the filing of the hard copies, which are to be filed personally, by registered
mail, or by accredited courier. They are deemed filed on the date and time of
filing of the hard copy, except that when the manner of filing is made
 online, the date of the electronic transmission shall be considered as the
date of filing.

18.2 Electronic copies submitted should be the exact copy of the papers filed
personally, by registered mail, by accredited courier, by email or other
means of electronic transmission. Electronic copies of papers filed in person
shall contain the official receiving stamp of the docketing office, clearly
showing the date and time of the filing of the hard copy and must be duly
signed by the receiving official.

18.3 Electronic copies of papers sent by registered mail or by accredited courier

shall include the scanned copy of the proof of mailing which clearly shows the
date and time of mailing or delivery to the post office or courier, and the proof
of payment of filing fees, when applicable.

18.4 Electronic copies of papers filed via electronic means shall include the
portable document format (PDF) copy of the Affidavit of Electronic Filing of
the Petition and its annexes, with an undertaking that the filer will submit the
exact hard copy to the C/RD within the reglementary period from the date of
electronic transmission.

18.5 The electronic copy, the file name of which must be the same as the
document title, must be in PDF format and individually saved as well as
attached to one email only. A PDF format ensures graphic integrity. It displays
the exact same content and layout no matter which operating system, device
or software application it is viewed on. It is multi-dimensional, convenient,
secure and compact.

18.6 In any event that the total file size of the electronic documents exceeds that
maximum size allowed for uploading, the filer shall send the electronic
documents in several batches, with clear indication in the email subject the
batch number of the email and the total batches of email sent.

18.7 The filer shall also attach to the email a Verified Declaration that the
documents submitted electronically are complete and true copies of the
printed documents filed.

18.8 In case of filing through email, the date when the email or other electronic means was
transmitted shall be considered to be the date of filing. Acknowledgement of receipt is
not determinative of the date of filing but rather, the actual sending as evidenced
merely by the date of transmission is all that is needed.

18.9 Electronic service is deemed complete at the time of the electronic transmission of the
document, or when available, at the time that the electronic notification of service of
the document is sent. Electronic service is not effective or complete if the party
serving the document learns that it did not reach the addressee or person to be
served.

18.10 In case of change of email address while the Petition for money claim is pending,
the party must promptly file within five (5) calendar days from the change of electronic
mail, a notice of the said change which shall be served to all parties concerned. The
 same obligation is incumbent upon the party’s counsel who changes their address,
since electronic notice to such counsel would also bind the party.

18.11 As with filing and service through accredited courier, a separate affidavit is required in
order to prove the filing or service through electronic means. The affidavit is to be
executed by the filing or serving party. In the case of service, all that need be attached
to the affidavit is printed proof of transmittal. In the case of filing, the required
attachments to the affidavit are different in which proof of payment of filing fee and
service are required, among others.

18.12 In case of filing by email, the affidavit is accompanied by either a paper copy of the
pleading or document transmitted, or a written or stamped acknowledgment of its
filing by the office of the COA C/RD.

18.13 If the filing is through any other authorized electronic means other than email, the
affidavit is to be accompanied by a copy of the electronic acknowledgment of its filing.

19.0 AWARD AND PAYMENT OF INTEREST, ATTORNEY’S FEES AND OTHER

COSTS OF SUIT

19.1 Except for payment of interest on loans, at no instance shall payment be

allowed for interest, attorney’s fees and other costs of suit awarded to
Petitioner as penalty or indemnity for damages due to the
Respondent’s failure to pay. It is a rule of law that in the performance
of its governmental functions, the state cannot be estopped by the
negligence or indiscretions of its agents and officers. Conversely stated, the
government cannot be held liable by the faults, mistakes or
errors in the application and enforcement of law or regulation by public
officers resulting to the non-payment of the money claim. Rule 142 of the
Rules of Court is clear and succinct that “no cost shall be allowed against
the Republic of the Philippines, unless otherwise provided by law.

19.2 Except as above stated, interest on loans3, may be allowed which shall
accrue only reckoned from the time the loan remains unpaid for reasons, or
due to events, not attributable to the fault of the Petitioner or Respondent as
warranted by the evidence.

3
Interest on loans refers to the amount that a borrower is obligated to pay or a lender is supposed to earn on a
principal sum at a pre-determined rate, which is known as the rate of interest and the formula for interest can
be derived by multiplying the rate of interest, the outstanding principal sum and the tenure of the loan or
deposit. There are two main types of interest that can be applied to loans—simple and compound. Simple
interest is a set rate on the principal originally lent to the borrower that the borrower has to pay for the ability to
use the money. Compound interest is interest on both the principal and the compounding interest paid on the
loan.
20.0 RENDITION OF DECISION BY THE DIRECTOR OR SUBMISSION TO THE
COMMISSION PROPER

20.1 Within thirty (30) calendar days after receipt of the auditors’ or other COA
officials’ comments and recommendations, the C/RD shall render a decision
(MC Form F) on money claims not exceeding P100,000.00 whose decision
may be appealed to the CP by any party aggrieved in the same manner and
procedure on appeals for audit disallowances or charges provided for under
COA rules.

20.2 Within fifteen (15) calendar days after receipt of the auditors’ or other COA
officials’ comments and recommendations, money claims in excess of the
threshold authority of the C/RD shall be forwarded to the CP with his/her
comments or recommendations and the complete records of the case
consisting of the pleadings, comments or recommendations of the auditor or
other COA officials and such other documents or papers supporting the
claim.

21.0 RENDITION OF DECISION BY THE COMMISSION PROPER

Within fifteen (15) calendar days from receipt of the complete records of the case
necessary for the full adjudication of the claim, the Commission Secretary
(ComSec) shall assign the case to the appropriate office of the Commission Proper
Adjudication Services Sector (CPASS) which shall prepare a decision for
deliberation and approval of the CP within the same period prescribed by the COA
rules. not

22.0 MOTION FOR RECONSIDERATION

Within fifteen (15) calendar days from receipt of the decision on the Petition, any
person aggrieved thereby may file with the CP a motion for reconsideration (MR)
on the grounds that the evidence is insufficient to justify the decision or resolution,
or is contrary to law.

23.0 ISSUANCE OF NOTICE OF FINALITY OF DECISION

In the absence of any MR filed, a Notice of Finality of Decision (NFD) shall issue
as a matter of course and of right within fifteen (15) calendar days from receipt of
the decision by the parties.

24.0 RESOLUTION ON THE MOTION FOR RECONSIDERATION

Within five (5) calendar days from receipt, the ComSec shall refer the MR to the
CPASS which shall draft a resolution for deliberation and approval of the CP
which shall have another sixty (60) calendar days to decide from receipt of the
MR. The resolution on the MR shall categorically state that the same is final and
unappellable. Issuance of NFD shall hence follow as a matter of course and of
right.

25.0 FUNDING SOURCE FOR SATISFACTION OF JUDGMENT

 Funding shall be taken from existing obligated appropriations for the specific
purpose. In the absence, funding shall be sourced from:

25.1 For NGAs4 – from funds obligated for all accounts payable that were
reverted to the Accumulated Surplus/(Deficit) and which have been
validated by competent authorities or by final and executory decisions, to
be legitimate claims, shall be charged against the following:

25.1.1 Contingent Fund for the payment of validated claims and

determined by DBM as urgent;

25.1.2 The specific budget of the agency concerned

under
succeeding year's annual General Appropriations Act (GAA);
and

25.1.3 In no way shall it be construed as authority to revive or

validate claims and accounts payable that are already barred by
prescription or disallowed by final judicial or administrative
determination.

25.2 For GCs5 -- GCs have financial independence, thus all funding
requirements, including contingent liabilities arising from BOT projects
and similar sizeable liabilities due from previous years' suppliers' contracts
and other multi-year obligations or multi-year agency projects, need only
be identified in the budget submissions.

25.3 For LGUs - Every LGU unit shall maintain a General Fund which shall be
used to account for such monies and resources as may be received by and
disbursed from the local treasury. The General Fund shall consist of
monies and resources of the local government which are available for the
payment of expenditures, obligations or purposes not specifically declared
by law as accruing and chargeable to, or payable from, any other fund,6 by
the sanggunian enacting the appropriate local budget ordinance.…ch

26.0 SANCTIONS FOR ADMINISTRATIVE AND CRIMINAL VIOLATIONS

26.1 Resort to the Office of the Ombudsman for the filing of appropriate
administrative and/or criminal action.7- As warranted by the evidence, the
C/RD or the CP may issue an order directing the Auditor as nominal party-
4
COA-DBM JT Circular 1, s. 2021, 3/8/21.

5
Corporate Budget Memorandum No. 43, The Corporate Budget Call for FY 2022 dated January 12, 2021.

6
Section 308, Article I, RA 7160.
7
Among others, Section 13(1), Article XI of the 1987 Constitution and reiterated under Section 15(1) of Republic
Act. No. 6770 (The Ombudsman Act of 1989), the Office of the Ombudsman is mandated to: (a) Investigate on
its own, or on complaint by any person, any act or omission of any public official, employee, office or agency,
when such act or omission appears to be illegal, unjust, improper, or inefficient; (b) Direct, upon complaint or at
its own instance, any public official or employee of the Government, or any subdivision, agency or
instrumentality thereof, as well as of any government-owned or controlled corporation with original charter, to
perform and expedite any act or duty required by law, or to stop, prevent, and correct any abuse or impropriety
in the performance of duties; and (c) Direct the officer concerned to take appropriate action against a public
official or employee at fault, and recommend his removal, suspension, demotion, fine, censure, or prosecution,
and ensure compliance therewith.
 complainant, with the assistance of a lawyer personnel from the Regional
Legal Audit Services (RLAS) or the Prosecution and Litigation Office (PLO),
under whose jurisdiction the money claim falls, to file with the Office of the
Ombudsman a verified administrative and/or criminal complaint,
accompanied by a Certificate of Non-Forum Shopping duly subscribed and
sworn to by the complainant, for any or all of the following grounds:

26.1.1 Administrative – An administrative complaint, jointly or separately with

a criminal complaint, may be filed for acts or omissions which are8:

26.1.1.1. Contrary to law or regulations;

26.1.1..2 Unreasonable, unfair, oppressive or discriminatory;

26.1.1.3 Inconsistent with the general course of an agency’s functions

though in accordance with law;

26.1.1.4 Based on a mistake of law or an arbitrary ascertainment of

facts;

26.1.1.5 In the exercise of discretionary powers but for an improper

purpose;

26.1.1.6 Otherwise irregular, immoral or devoid of justification;

26.1.2.7 Due to any delay or refusal to comply with any referral or

directive; and

26.1.2.8 Such other grounds provided for under E.O. 292 and other
applicable laws.

26.1.2 Criminal – A criminal complaint, jointly or separately with an

administrative complaint, may be filed for any or all of the offenses in
violation of:

26.1.2.1 R.A. 3019 (The Anti-Graft and Corrupt Practices Act), as

amended;

26.1.2.2 R.A. 1379 (An Act Declaring Forfeiture in Favor of the State
any Property Found to have been Unlawfully Acquired by
any Public Officer or Employee and Providing for the
Proceedings Therefor) as amended,

26.1.2.3 R.A. 6713 (The Code of Ethical Standards for Government

Officials and Employees);

26.1.2.4 Title VII, Chapter II, Section 2 of the Revised Penal Code;
and

8
As amended by Administrative Order No. 17, dated September 7, 2003.
 26.1.2.5 Other offenses committed by public officers and employees
in relation to office.

26.1.3 Request for assistance. -- Any person aggrieved may initiate filing
also of administrative and/or criminal complaint with the Office of the
Ombudsman on the same grounds afore-cited. Unavailing, a grievance
or request for assistance may be filed to seek redress or relief
concerning an act or omission of public official or employee, office or
agency alleged to be unreasonable, unfair, oppressive, discriminatory,
improper or inefficient, and which does not necessarily amount to a
criminal or administrative offense.

26.2 Resort to the Civil Service Commission (CSC) for the filing of appropriate
administrative action. – The CSC is the central personnel agency of the
government tasked with overseeing the integrity of government actions and
processes. In lieu of filing an administrative charge jointly with the criminal
complaint in the Office of the Ombudsman, a separate administrative
complaint may be filed with the CSC by the C/RD or the CP issuing an order
directing the Auditor, with the assistance of a lawyer personnel from the
RLAS or the PLO, under whose jurisdiction the money claim falls, to file with
the CSC a verified administrative complaint.

26.2.1 An administrative complaint which may be filed anytime with the CSC
or any of its regional offices, to be valid must be subscribed and
sworn to by the complainant. It shall be written in a clear, simple and
concise language and in a systematic manner as to apprise the
person complained of, of the nature and cause of the accusation and
to enable the person complained of to intelligently prepare a Defense
or Answer/Comment. Should there be more than one person
complained of, additional copies shall be submitted corresponding to
the number of persons complained of.

26.2.2 An administrative complaint with CSC may be filed for any of the
following grounds:

27.2.2.1 Dishonesty;

27.2.2.2 Oppression;

27.2.2.3 Misconduct;

27.2.2.4 Neglect in the performance of duty; and

27.2.2.5 Other acts of malfeasance,9 misfeasance,10 or

nonfeasance.11

26.2.3 The complaint shall contain the following:

26.2.3.1 Full name and address of the complainant;

9
Consisting of a public official’s wrongful conduct.

10
The doing of a proper act in a wrongful or injurious manner.

11
The failure to act when under an obligation to do so, or refusal without sufficient excuse, to do that which is
one’s legal duty to do.
 26.2.3.2 Full name and address of the person complained of as well
as his/her position and office;

26.2.3.3 A narration of the relevant and material facts which shows

the acts or omissions allegedly committed;

26.2.3.4 Certified true copies of documentary evidence and affidavits

of his/her witnesses, if any; and

26.2.3.5 Certification of non-forum-shopping.

26.2.4 Any person aggrieved may initiate filing also of administrative

complaint with the CSC.

26.3 Referral to the appropriate disciplining authorities for administrative

disciplinary action. Disciplining authorities of agencies and LGUs have
original concurrent jurisdiction with the CSC over their respective officials and
employees. Dispensing with the filing of an administrative complaint with the
Office of the Ombudsman or the CSC, any administrative infractions or
violations committed may be referred instead by this Commission or any
aggrieved party, to the appropriate disciplining authorities.

26.4 Resort to the courts for enforcement of the decision. Simultaneously or

alternatively with the filing of an administrative and/or criminal complaint
with the Office of the Ombudsman, or an administrative disciplinary action
with the CSC or the appropriate disciplining authority, the decisions of the
C/RD and decisions or resolutions of the CP that are final and unappellable
maybe brought by the aggrieved party to the regular courts for enforcement
by filing with the appropriate court a motion for execution. Unavailing, the
aggrieved party may file with the court a special civil action for mandamus to
compel satisfaction of the money claim judgment by the Respondent or the
Petitioner. The special civil action for mandamus may include a general
prayer for such further or other relief as may be deemed just or equitable.

27.0 SUPPLETORY CLAUSE

In the absence of any applicable provision in this Guideline, the pertinent

provisions of the COA Rules shall be applicable by analogy or in suppletory
character and effect.

28.0 SEPARABILITY CLAUSE

The unenforceability or invalidity of any provision in this Guideline notwithstanding,
shall not affect the enforceability or validity of any other provisions. Any
unenforceable or invalid provision shall be regarded as removed from this
Guideline to the extent of its unenforceability and invalidity. Therefore, this
Guideline shall be interpreted and enforced as if it did not contain the said
provision to the extent of its unenforceability and invalidity.
29.0 EFFECTIVITY
This Guideline shall take effect 15 days following its publication in the Official
Gazette or in a newspaper of general circulation. This shall govern all money
claim cases filed after its effectivity, and also to all pending money claim petitions,
 except to the extent that in the opinion of the C/RD or the CP, its application would
not be feasible or would work injustice, in which case the procedure under which
the petitions were filed shall govern. Any circular, memorandum, resolution or the
like, in conflict with this Guideline is deemed superseded.

GAMALIEL A. CORDOBA
Chairman

ROLAND CAFÉ PONDOC MARIO G. LIPANA

Commissioner Commissioner

MC FORM A
REPUBLIC OF THE PHILIPPINES
COMMISSION ON AUDIT
Regional Office ____

___________________

_________________________,
Petitioner,
vs. Case No. ________________
For: ____________________

__________________________,
Defendant.
x- - - - - - - - - - - - - - - - - - - - - - - - - - x

PETTION FOR MONEY CLAIM

1. The personal circumstances of the parties are as follows:

NAME OF PETITIONER: ___________________________________________
SEX : _______ AGE: _______ CIVIL STATUS:_______________
 HOME ADDRESS: ________________________________________________
Zip Code ________ Telephone No. ___________ Cellphone No.___________
PLACE OF WORK:
_________________________________________________ Telephone No.
______________ Cellphone No________________
NAME OF REPRESENTATIVE: ______________________________________
HOME ADDRESS:
__________________________________________________
Zip Code : __________ Telephone No. ______________ Cellphone No.
_______
PLACE OF WORK:
_________________________________________________
Telephone No. ______________ Cellphone
No._____________
NAME OF DEFENDANT GOVERNMENT
AGENCY:_______________________
_______________________________________________________________
ADDRESS:
__________________________________________________________

Zip Code: ________ Telephone No. ____________ Cellphone No.

___________

2. Petitioner claims that the Defendant owes him/her/it

P________________________.
(a) Why does the defendant owe plaintiff money?
____________________________________________________
___________________________________________________.
(b) When did this happen? Date: ________________ If no specific date, state
the approximate time : _______________________
(c ) How did you compute the money owed to you? (Do not include interest,
attorneys fee and other cost of suits.)
________________________________________________.

2. (a) Did you ask the defendant to pay you before you filed this case?
3. If no, explain: ________________________________________________
4. How did you ask the defendant? In person _____ By phone ______ In
writing____ Others (please specify) ______
5. When did you do this?
________________________________________________
6. What is your proof that defendant owes you money?
________________________
7. Did you attach your proof to this form? ____________
 PRAYER

WHEREFORE, Petitioner respectfully prays for judgment ordering the

Defendant to pay the amount of P __________________.

Date: _____________________
Place___________________________

________________________
Petitioner

MC FORM B

VERIFICATION AND CERTIFICATION

AGAINST NON-FORUM SHOPPING,
SPLITTING A SINGLE CAUSE OF ACTION
AND MULTIPLICITY OF SUITS

I,_________________________ of legal age, (citizenship) _________________,

__________________, and a resident of _________________________, on oath,
state:
1. That I as Petitioner in the above-entitled case have caused this Petition to
be prepared; that I read and understood its contents which are true and
correct of my own personal knowledge and/or based on true records;

2. That I have not commenced any action or proceeding involving the same
issue or subject matter before the Supreme Court, the Court of Appeals
or any other tribunal or agency;

3. That to the best of my knowledge, no such action or proceeding is

pending in the Supreme Court, the Court of Appeals or any other tribunal
or agency;

4. That, if I should learn thereafter that a similar action or proceeding has

been filed or is pending before the courts or tribunal or agency, I
undertake to report that fact to the Court within five (5) days therefrom;
and
 5. That the filing of this Petition is not in violation of the rule against
splitting a single cause of action or multiplicity of suits.

IN WITNESS WHEREOF, I have hereunto set my hand this day of

______________, 20_____ at ______________________.

___________________
Petitioner

SUBSCRIBED AND SWORN to before me this ____________ day of

______________, 20_____ at _________________________.

_____________________

NOTARY PUBLIC

MC FORM C
REPUBLIC OF THE PHILIPPINES
COMMISSION ON AUDIT
Regional Office ____
_____________________

_________________________,
Petitioner,
vs. Case No. ________________
For: ____________________

__________________________,
Defendant.
x- - - - - - - - - - - - - - - - - - - - - - - - - - x

ORDER TO FILE ANSWER

GREETINGS!
Please be advised to file with this Office and serve on Petitioner, your verified
Answer to the attached Petition, within ten (10) days from receipt of this Order, The
form of the required Answer is attached hereto. It is advised also that you submit,
together with your Answer, certified copies of documents as well as affidavits of any
witness to stand as your evidence in this case.
 It is informed that a motion to dismiss is prohibited and shall not be
entertained. Any ground for dismissal should be included in your Answer. Likewise,
motions for bill of particulars and for extension to file pleadings, affidavits or any other
paper are prohibited. In case of your failure to submit Answer within the prescribed
period, this Commission shall hence render judgment based on records available.

_______day of ____________, 20_____, at

____________________________, Philippines.

DIRECTOR

MC FORM D

REPUBLIC OF THE PHILIPPINES

COMMISSION ON AUDIT
Regional Office___
____________________

_________________________,
Petitioner,
vs. Case No. ________________
For: ____________________

__________________________,
Defendant.
x- - - - - - - - - - - - - - - - - - - - - - - - - - x

ANSWER

Defendant/s state/s: ______________

1. Defendant denies the Petition for the following reasons:
________________________________________________________________
____
 2. That on the contrary, it is the Petitioner who owes Defendant money in the
amount of ________________. State how and what specific or approximate time
did this happen? _________________________________________________.
How did you compute the money owed you? Do not include interest, attorney’s
fees and other costs of suits.
_________________________________________.
If Petitioner owes you money, did you ask Petitioner to pay you? ____If yes,
how? __ In person ____ Others (specify) ___________ In writing ____ By phone
____ Do you have any proof? _____ What is this proof? _____ Do you have
witness/es? _________________________________.

3. That as the Petition is baseless, Defendant is entitled to the following

counterclaims:
________________________________________________________________
__

RESPONDENT

MC FORM E

REPUBLIC OF THE PHILIPPINES

COMMISSION ON AUDIT
Regional Office ____

_________________________,
Petitioner,
vs. Case No. ________________
For: ____________________

__________________________,
Defendant.
x- - - - - - - - - - - - - - - - - - - - - - - - - - x

DECISION

This resolves the Petition for money owed arising from:

_________________________________________________________________________
_____________________________________________________________________.
Petitioner
 Petitioner alleges that (state material allegations and prayer in the Statement of
Claim).
___________________________________________________________________
__

Defendant alleges that (state reasons for denial of the claim and other material
allegations in the Answer including counterclaims, if any).
___________________________________________________________________
__
Petitioners’s evidence consists of: (state documents of Petitioner, affidavits submitted
if any and statements made by Petitioner and witnesses, if any.)
_______________________________________.
Defendant’s evidence consists of: (state documents of Defendant, affidavits
submitted if any and statements made by defendant and witnesses, if any. This court finds
that the claim of Petitioner (or Defendant in a counterclaim) is (state whether meritorious or
devoid of merit). Under Article/Section (state the applicable provisions of law) or pursuant to
established jurisprudence (cite applicable jurisprudence) _________________. In this case,
this Office finds that (state first the factual findings established by the evidence and then the
legal conclusions).

After a circumspect evaluation of the evidence and other papers obtaining in the
case, this Office finds that:
_______________________________________________________________.

Accordingly, judgment is hereby rendered ____________________________.

DIRECTOR