The Commission on Higher Education (CHED) said it is addressing outstanding audit observations involving P941.87 million in scholarship transactions flagged by the Commission on Audit (COA), clarifying that the amount covers cumulative balances dating back to 2019.
In a statement responding to DAILY TRIBUNE's 11 October report, “CoA Flags P941.87M in CHED Scholarship Irregularities, Citing Fund Mismanagement,” CHED said the findings involved transactions from previous years and that the current leadership is pursuing corrective measures, including the submission of supporting documents for COA review.
The amount covers audit observations involving three scholarship programs: the CHED Merit Scholarship Program (CMSP), the Scholarships for Instructors' Knowledge Advancement Program (SIKAP) Grant, and the Coconut Scholarship Program (CoScho).
Under the CMSP, CHED said only P40,000 of the P716.19 million cited was identified as an irregular disbursement. The amount involved a scholar in MIMAROPA who failed to maintain the required general weighted average and was subsequently refunded by Romblon State University.
CHED also reported that its Region 1 office had submitted updated school identification cards and disbursement vouchers covering P25.55 million, while its National Capital Region office clarified its compliance with the Central Office schedule.
In MIMAROPA, the commission said the unliquidated balance had been reduced from P14.16 million to P3.71 million, although follow-ups on liquidation requirements remain ongoing in MIMAROPA and Region 12.
Of the CMSP amount cited, P676.10 million involved transfers to higher education institutions with outstanding liquidation requirements. This included P647.41 million previously reported during the 2024 audit cycle.
For the SIKAP Grant, CHED said P131.67 million of the P134.97 million flagged involved incomplete documentation intended to establish whether scholars had completed their studies and complied with return service obligations.
The commission maintained that missing documents alone do not establish that scholars violated program requirements or that the transactions were irregular, saying the cases require further verification and evaluation.
CHED added that its regional offices in Central Luzon and Northern Mindanao had strengthened scholar tracking under Memorandum Order No. 9, series of 2025. Verification of documents continues, while pending termination cases are subject to due process, including evaluation, formal notices and opportunities to appeal.
Meanwhile, the P90.71 million cited under the CoScho involved audit observations that included concerns over terminated grants and administrative expenses.
CHED said its Region 5 office had submitted clarifications on grants terminated due to grade disqualifications. Its Region 10 office, meanwhile, had stopped charging questioned administrative expenses to the scholarship fund and strengthened its review procedures.
In an update on CoScho releases, CHED Region 12 reported that P74.13 million, or 75.96 percent of the P97.58 million released, had been liquidated as of August 2026.
The remaining actions include a written explanation from Region 10 on the reimbursement of questioned expenses and the liquidation of Region 12's outstanding balance.
CHED said it had submitted responses, settlement requests and supporting documents addressing the audit observations across the three scholarship programs. It added that the remaining corrective actions were being pursued while awaiting COA's evaluation and validation.
The commission stressed that the final determination of compliance and settlement of the audit observations rests with COA.
CHED also urged media organizations to seek clarification before publishing reports on the matter, saying updated information from the agency could help ensure accuracy and provide a fuller account of the audit findings.
The commission maintained that it would continue requiring concerned offices and institutions to account for scholarship funds intended for Filipino students.
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