Cagayan de Oro Mayor Klarex Uy is in “hot water” after being accused of misusing local government funds amounting to P330 million through a series of cash advances.
In a press conference held in Cagayan de Oro City, Teddy Sabuga-a, who served as City Administrator for nine years, revealed that the “massive cash advances” made by Uy took place between 2022 and the early months of 2025.
“If you review the matrix of cash advances by date, you’ll notice a pattern– significant amounts were drawn in September 2023, conspicuously timed around the barangay elections,” Sabuga-a said, presenting a matrix of cash advances during the press conference.
Sabuga-a stated that the series of cash advances within City Hall is alarming as it shows misuse of LGU funds, poor governance, and violations of procurement laws.
“The records show repeated high-value transactions concentrated among a small group of personnel, with some individuals receiving over 20 separate cash advances. One person alone was given P71.7 million.”
Based on official documents released by Sabuga-a, the bulk of the disbursements ranging from P25 million to P71 million were received by Cyril Ranile, Jade Adeser, Xsyclyn Faith Lumbatan, Jasmin Maagad, Rhapsody Gaabucayaan, Mark Kenneth Jalapadan, Remy Labiano, and Sheila Lumbatan.
“This is highly irregular. The cash advance system is meant for urgent, specific needs– not for repeated multi-million peso disbursements concentrated among a few individuals,” Sabuga-a further asserted.
Among the discoveries was that some individuals received cash advances up to 20 times. There were checks for P20 million and P26 million in cash advances withdrawn in a single day, and the funds allegedly allocated for those disbursements were highly questionable.
According to COA Circular No. 97-002 and Republic Act 9184 (Procurement Law), frequent use of cash advances is prohibited and must be liquidated immediately.
Some LGU officials and watchdog groups have appealed to the Commission on Audit (COA) to review the liquidation reports and pursue administrative and criminal charges against the mayor.
“Every peso entrusted to public officials must be accounted for. The people of Cagayan de Oro deserve full transparency and accountability,” Sabuga-a added.
A complaint against Uy is currently being prepared for filing with the Office of the Ombudsman.
