All prison and penal farm superintendents must require personnel handling persons deprived of liberty (PDL) trust funds to secure fidelity bonds, following the mishandling of funds at the Correctional Institution for Women (CIW), Bureau of Corrections (BuCor) director general Gregorio Pio Catapang Jr. ordered yesterday.

Catapang’s directive covers personnel responsible for the custody, collection, disbursement and accountability of PDL Trust Fund monies, who must secure the required bonds before assuming their duties.

He said a fidelity bond serves as reimbursable insurance that protects the government from losses involving personnel entrusted with public funds, property or other government assets.

The directive followed findings submitted by the Internal Audit Service Unit (IASU), which Catapang ordered to conduct an internal audit of the PDL Trust Fund, including compensation earned by PDLs in BuCor’s operating prisons and penal farms.

Nearly 1-month audit

The audit was conducted from 28 August to 13 September. The BuCor chief said the audit findings did not establish fraud, misappropriation, or personal liability in the other facilities examined: Sablayan Prison and Penal Farm, Iwahig Prison and Penal Farm, Leyte Regional Prison, San Ramon Prison and Penal Farm, Davao Prison and Penal Farm, and New Bilibid Prison.

But Catapang emphasized the need for immediate corrective measures to strengthen internal controls, documentation, improve transparency, and ensure the proper protection and accountability of funds and property belonging to PDLs.