COMMISSION ON AUDIT CIRCULAR NO.

80-26 (H)
and
FINANCE CIRCULAR NO. 3-80
May 12, 1980

TO : The Treasurer of the Philippines, National Cashier, Assistant National Cashier of

the Bureau of the Treasury; Office Managers, Regional Directors and Supervising
Auditors of the Commission on Audit; Vault Auditor; Unit Auditors of National
Government Agencies, Government-Owned or Controlled Corporations and
Local Governments; and Others Concerned.

SUBJECT : Reporting to the Bureau of the Treasury of Type "B" Treasury Warrants
Countersigned by Agency Officials Pursuant to COA Circular Nos. 80-26 (F) and
80-26 (G) dated February 25, 1980 and April 8, 1980, respectively.

1.0 Purpose:

This circular is issued to protect the Bureau of the Treasury against the encashment at
its Cash Division of forged or spurious type "B" treasury warrant or its acceptance through bank
clearing operations.

2.0 Responsibilities

2.1 Heads of Bureaus and Office shall:

2.1.1 Inform in writing the Treasurer of the Philippines of the agency officials
authorized to sign and/or countersign type "B"treasury warrants issued by
the bureau or office pursuant to the provisions of Commission on Audit
Circular Nos. 80-26(F) and 80-26(G)

2.1.2 Authenticate the specimen signatures of agency officials authorized to

sign and/or countersign type "B" treasury warrants.

2.1.3 Fix the level or the maximum amount (ceiling) of treasury warrant that the
signing and the countersigning officers may sign and countersign
respectively.

2.1.4 Designate the countersigning officer and an alternate who shall sign the
"Report of Treasury Warrants Countersigned by Agency Officials" for
submission to the Bureau of the Treasury (Cash Division).

2.2 Officials Designated to Prepare the "Report of Treasury Warrants Countersigned by

Agency Officials" shall:

2.2.1 Prepare as often as necessary or at least daily, a Report of Treasury

Warrants Countersigned by Agency Officials (RTWCAO) covering the
Type "B" treasury warrants countersigned by agency officials during the
day. Sample form of the Report attached as Appendix "A".
2.2.2 Prepare the RTWCAO in the following manner:

2.2.2.1 It shall be prepared in five copies, to be distributed as follows:

Original - Cash Division,

Bureau of the Treasury

Duplicate - Vault Auditor,

Bureau of the Treasury

Triplicate - Office file (where the Treasury and

the Vault Auditor will
acknowledge receipt of the
original and duplicate).

Quadruplicate - Unit Auditor's File

Quintuplicate - Official File (to be retained while

the original and other copies are
being delivered to the treasury).

The duplicate copy for the Vault Auditor shall be signed in full in
the same manner as the Original and shall be considered as
duplicate original with equal import as the original itself.

2.2.2.2 The Report shall contain amount others the following

information:

TW Serial Number Payee

Date of Issue Agency Code

Amount

For cross-references and control purposes, it shall be

numbered in the following manner:
 80 - 5 - 1

Numerical series for the year

(Sequential Number of the
RTWCAO starting with "1" at
the beginning of the fiscal
year)

Month - Refers to the year/Month

when the RTWCAO was prepared

Fiscal Year

NOTE:

The above-mentioned RTWCAO No. 80-5-1 indicate that

the Report was issued in May,1980 and is the first RTWCAO
issued during that fiscal year, pursuant to this Circular.

2.2.2.3 The treasury warrants shall be listed in numerical sequence.

2.2.2.4 The total amount of the issued treasury warrants reported in the
RTWCAO shall be indicated both in figures and in words. The
total amount in figures shall be typewritten immediately below
the last amount, and immediately below it, the total amount in
words shall be typewritten to avoid insertion of spurious entries.

2.2.2.5 The numerical series in the RTWCAO shall be numbered

consecutively for one fiscal year. However, the numerical series
shall begin with "1" upon the effectivity of this Circular.

2.2.2.6 The RTWCAO number shall be indicated on the upper middle

portion of the treasury warrant between the words "REPUBLIC
OF THE PHILIPPINES" and "TREASURY WARRANT".

2.2.2.7 The RTWCAO shall be prepared as one- page report only. In

case the countersigned treasury warrants to be reported in one
day cannot be contained in a one-page report, then as many
RTWCAOs as are necessary shall be prepared to be numbered
sequentially in the manner provided in paragraphs 2.2.2.2 and
2.2.2.5 of this Circular.

2.2.2.8 The certification of the Counter- signing Officer or the alternate,

as the case may be, on the RTWCAO shall cover certification on
the authenticity of the treasury warrants listed therein.
 2.2.3 See to it that the RTWCAO is delivered directly by his duly authorized
representative to the Cash Division and to the Office of the Vault Auditor,
Bureau of the Treasury, immediately but not later than the day following
the date the warrants were countersigned. In no case shall the delivery of
the RTWCAO be entrusted to any of the claimants/payees of the treasury
warrants.

2.3 National Cashier, Bureau of the Treasury shall:

2.3.1 See to it that in addition to the routine verification required, treasury

warrants presented for payment at the Cash Division, including those
received through clearing operations are subjected to the following
examinations:

2.3.1.1 Checked against the RTWCAO

Treasury Warrants presented for payment and those received

through clearing without the corresponding RTWCAO shall be dishonored
immediately.

2.3.1.2 Checked against the specimen signature cards of the

signatories on file in the Cash Division.

When the signatories do not have specimen signature cards on

file, or their signatures on the treasury warrants do not appear similar to
their genuine signatures on the specimen signature cards, the treasury
warrant shall be dishonored.

2.3.1.3 Checked against the list of treasury warrants under stoppage of

payment.

Treasury warrants under stoppage of payment shall not be paid,

while those received through clearing shall be dishonored immediately.
Only the xerox copy shall be returned to the bank and the original shall be
referred to the Treasurer of the Philippines for appropriate action.

2.4 Vault Auditor, Bureau of the Treasury shall:

2.4.1 See to it that Type "B" treasury warrants paid by the Paying Tellers,
including those received through clearing during the day are checked
against the RTWCAO furnished them by the agency. The verification
against the RTWCAO shall be performed on the same day the treasury
warrants are paid or received through clearing. It is understood that the
verification herein required shall be in addition to those presently being
performed by the Office of the Vault Auditor.

2.4.2 Report immediately and recommend to the Treasurer of the Philippines

the dishonor of any treasury warrant countersigned by agency official not
covered by a RTWCAO, those found to have technical defects, or the
requirements in this circular are not complied with.
3.0 This Circular amends GAO Memorandum Circular Nos. 463 and 463-A dated February
16, 1962 and July 10, 1967, respectively and any other circular, memorandum or order
that may be inconsistent herewith.

4.0 This Circular shall take effect immediately.

(SGD.) CESAR E.A. VIRATA (SGD.) FRANCISCO S. TANTUICO, JR.

Minister of Finance Acting Chairman
Commission on Audit