The local government of Marawi City issued an official statement to address allegations surrounding a purported PHP 2.5 billion debt referenced in a viral social media post. According to the statement, these financial obligations were inherited from the previous administration under former Mayor Panarigan Fahad “Pre” M. Salic, Sr.
When Sultan Atty. Majul U. Gandamra assumed office in 2016, his administration reportedly inherited debts incurred by the previous leadership. These obligations included loans from the Philippine National Bank (PNB), Land Bank of the Philippines (LBP), and a disputed loan from the Philippine Veterans Bank (PVB).
Current Status of PNB and LBP Loans
The PNB and LBP loans are being repaid through automatic deductions from the city’s accounts, in line with agreements made under the previous administration. However, local government records and the Commission on Audit (COA) Resident Auditor found no evidence of projects or tangible implementations financed by these loans.
Furthermore, no official turnover of heavy equipment related to these loans occurred when Mayor Gandamra’s administration took over. Despite these discrepancies, the current administration continues to honor the loan repayments.
Questions Surrounding the PVB Loan
The alleged PVB loan, however, poses a different issue. According to the Resident Auditor, no records of the loan exist in the city’s accounts, and it was excluded from COA audits. The administration also found no evidence of heavy equipment purchases or infrastructure projects—such as roads in Sugod, Matampay, Cormatan, and Cabasaran—that were supposedly tied to the loan.
This raises suspicions that the loan funds may have been misappropriated under the previous administration. The city government has escalated the matter to PVB and called for accountability should these allegations of fund misuse be proven.
Achievements Under the Gandamra Administration
The current administration emphasized that infrastructure projects funded during Mayor Gandamra’s term are visible and beneficial to the public. These include schools, madrasahs, roads, and other essential facilities that address the community’s needs.
The Marawi LGU underscored its commitment to transparency and responsible governance while calling on the public to be vigilant in protecting public funds. As the city continues its rebuilding efforts, addressing such issues remains crucial in restoring trust and ensuring progress for its residents.