Interior Secretary Jonvic Remulla revealed on Thursday that his department returned a P500-million “insertion” in the Philippine National Police (PNP)’s intelligence fund for 2025. 

During the Senate Committee on Finance deliberation on the proposed P287.48-billion budget for the Department of the Interior and Local Government (DILG) and its attached agencies, including the PNP, Remulla claimed they did not request the controversial allocation, which was linked to resigned Ako Bicol Party-list Rep. Zaldy Co.

Senator Sherwin Gatchalian, who chairs the committee, had questioned why the PNP’s intelligence budget dropped from P1.3 billion this year to just P806 million in the proposed 2025 budget. 

In response, Remulla said the discrepancy stemmed from a P500-million budget “insertion” which the DILG opted to return to the Office of the President.

“The P500 million was an insertion, which we turned over to the Office of the President. We didn’t use that P500 million,” Remulla stated. “We did not ask for it, so I returned it.”

While Remulla did not directly name Co during the hearing, he gave a pointed reference

“We returned it because it’s an insertion and it came from the person who requested for 3,000 containers of fish,” the interior secretary said.

This alluded to earlier testimony from Agriculture Secretary Francisco Tiu Laurel Jr., who told senators that Zaldy Co had pressured the Department of Agriculture (DA) to grant import permits for 3,000 containers of fish, permits allegedly meant for Co’s three private companies.

Gatchalian expressed concern over the legitimacy and implications of budgetary insertions, especially in sensitive items like intelligence funds.

“For us, we want to make sure that the PNP has enough funds for intelligence and counter-intelligence, at hindi ito magiging insertion na may kapalit (this should not become an insertion in trading),” said Gatchalian.

Remulla asserted. “Exactly, sir. That’s what we’re afraid of because it was an insertion. There might be a trade with it.”

He then noted that the PNP stood by the request under the National Expenditure Program (NEP), rather than the General Appropriations Act (GAA). 

The PNP’s intelligence budget is used for confidential and surveillance operations, typically shielded from public disclosure.

At the hearing, Remulla reaffirmed the DILG’s commitment to maintaining responsive governance policies and strengthening public accountability as well as safeguarding the country’s peace, order, and security.