A former barangay treasurer in Northern Samar, convicted of embezzling over P8 million in public funds, was acquitted after the Sandiganbayan reversed a ruling by the province’s lower court that found her guilty of malversation.

The Sandiganbayan ruling dated 28 October showed that the Regional Trial Court (RTC) gravely erred in convicting Adela Autor, then treasurer of Barangay Magtaon, by heavily relying on a Commission on Audit (COA) management letter indicating that the barangay incurred an P8.19 million fund shortage from 2021 to 2022.

Autor, who had custody of barangay resources, was accused of misappropriating the funds and was convicted to up to 18 years in prison by the RTC in January. The court also ordered her to return the amount with 6 percent annual interest.

The RTC verdict was grounded on COA findings, which showed that the P8.19 million was disbursed without supporting vouchers.

Autor contested the ruling, asserting that the COA report was insufficient to link her to the missing funds unless authenticated by the resident auditor who prepared the letter.

The Sandiganbayan agreed, stating that only the auditor could corroborate the contents of the letter; otherwise, the COA report remains hearsay.

The anti-graft court noted that while Autor signed minutes of a barangay meeting in which she confessed to diverting some funds for personal use, this “cannot substitute for competent proof of misappropriation.”

Autor admitted to pocketing P257,000 and P171,000 after encashing two cheques intended for stage construction and salaries of barangay workers. She pledged to repay half by the end of July 2023 and the remaining balance the following month. However, the barangay stated that she failed to return the money despite repeated demands.

In reversing the RTC decision, the Sandiganbayan gave weight to the testimonies of the barangay chairperson and kagawad, who said the COA report was incomplete. They asserted that the fund shortage totaled only P601,000 based on their computation and that the P8.19 million represented unsubmitted vouchers for liquidation, not actual cash missing.

“These admissions show beyond doubt that the COA letter was not a completed audit and that the figure of P8.19 million was not an actual shortage but merely the total of unsubmitted vouchers. Their testimonies themselves negate the finding of misappropriation,” the Sandiganbayan said.

“The testimonies of barangay officials, at most, reflected their own impressions and suspicions, which cannot be equated with direct proof of appropriation,” it added.

The Sandiganbayan concluded that the prosecution failed to prove that Autor appropriated barangay funds for personal use, noting that while she was unable to submit disbursement vouchers on time, this alone does not constitute malversation.