MANILA — Weeks after a P7-million discrepancy in the Correctional Institution for Women’s (CIW) trust fund was revealed, inmates said that the controversy exposed deeper problems in how prison authorities control access to their money.

Persons deprived of liberty (PDLs) at the CIW have called for the abolition of the prison’s trust fund system after an audit revealed that approximately P7 million ($123,000) in funds entrusted by inmates and their families could not be accounted for.

The demand marks an escalation of the controversy surrounding the missing funds, shifting the issue beyond accountability for the loss and toward questions about the cashless system that governs how women inmates access money sent by their families.

In a petition dated Aug. 11 and signed by 1,240 PDLs, the inmates stressed that the disappearance of millions of pesos from the trust fund exposed the failure of a system that they were supposed to trust.

The petition followed disclosures made by CIW officials that an audit of the trust fund showed a significant discrepancy between recorded remittances and available cash.

Many inmates rely on remittances from relatives to purchase food, hygiene supplies, medicine, and other necessities not fully provided by prison authorities.

Earlier reports from political prisoners at CIW said that approximately P13 million ($228,000) in remittances should have been available in the trust fund. But an audit reportedly found only around P6 million ($105,000) in available cash, leaving roughly P7 million ($123,000) unaccounted for.

Read more: Prison officials accountable for P7 million missing funds

The Bureau of Corrections (BuCor) has since announced the relief of two CIW officials from their posts, according to a recent statement by the inmates.

The PDLs said that the administrative action failed to answer the question that continues to dominate discussions inside the prison.

“How will the missing money be returned?” the inmates asked in a statement released on Aug. 25.

The women said that they are uncertain if they could recover funds accumulated through years of work inside the prison and through financial support from their families. “It is even more painful for us that our efforts to save money so we could help our families and children could simply disappear.”

Cashless system under scrutiny

The controversy has drawn renewed attention to the cashless system implemented at CIW as part of a broader policy adopted by the BuCor.

According to a letter submitted by Karapatan to the Commission on Human Rights (CHR) on Aug. 25, the BuCor launched the cashless policy in February 2024 and pilot-tested it at the minimum-security compound of the New Bilibid Prison (NBP) in Muntinlupa City and at CIW in Mandaluyong City.

Under the system, inmates can only keep limited cash on hand.

At CIW, money sent by families through remittance services or brought by visitors is deposited into a trust fund managed by prison authorities.

The petition stated that inmates may withdraw only up to P1,000 ($17.60) per transaction and a maximum of P2,000 ($35.20) per week on scheduled withdrawal days.

Paying the price

In Karapatan’s letter to CHR, the group described the cashless system as burdensome and vulnerable to corruption.

The organization said that inmates have limited access to funds sent by relatives and often rely on prison-controlled mechanisms to purchase basic necessities.

Karapatan also cited complaints about the prices of goods sold inside CIW.

The group said that one piece of eggplant reportedly sells for P80 ($1.41), while an uncooked hotdog costs P23 ($0.40), compared with P9 to P10 ($0.16 to $0.18) outside the prison.

The group also noted that a portable gas stove reportedly sells for P7,500 ($132.00) inside the facility while online listings place the same item at around P1,080 ($19.00).

Penalties for holding cash

The women said that prison authorities conduct regular inspections, locally referred to as galugad, during which officers confiscate cash exceeding the allowable amount.

The petitioners said that authorities do not automatically return confiscated money and often subject inmates to disciplinary proceedings.

One of the cases cited in the petition involved PDL Sylvia Binarao whose P3,300 ($58.10) was confiscated during a galugad in September 2025.

According to the petition, P3,000 ($52.80) of the money was intended to pay for her dentures, while P300 ($5.30) came from a cash gift.

Binarao repeatedly tried to recover the money but prison authorities allegedly told her that they could no longer determine where the funds had gone because they had already been transferred to the NBP.

The petition also cited the case of PDL Joy Noblefranca whose P20,000 ($352) was confiscated during an inspection.

Although authorities later returned the money, Noblefranca reportedly received several sanctions.

According to the petition, prison officials prohibited her from receiving visitors for two months and barred her from making phone calls to her family during the same period.

The petition also said that authorities ordered her to fetch water daily for two months to fill two large drums in the library restroom.

In addition, prison officials allegedly deducted one year from her Good Conduct Time Allowance (GCTA), a reduction that could affect the length of her imprisonment.

The inmates said that these penalties show the unequal treatment of prisoners under the cashless system.

They questioned why inmates face sanctions for possessing money while prison authorities have yet to provide clear answers regarding the millions of pesos that disappeared from the trust fund.

The women argued that the policy effectively forces inmates to surrender control of their own money while exposing them to risks created by the management of the trust fund.

Delayed withdrawals, growing distrust

The inmates said that concerns over the missing funds have intensified because of continuing problems in accessing remittances.

In their Aug. 25 statement, the women reported delays in the release of money sent through visitors and remittance channels.

They also claimed that prison authorities temporarily suspended withdrawals in recent days.

The inmates said that these developments fueled fears that cash reserves connected to the trust fund were running low.

“Almost two weeks have passed since the issue came to light, but the system for releasing funds from visitors and LBC remains chaotic,” the statement read.

The petitioners claimed that some remittances sent between July 27 and Aug. 4 were not fully released to recipients.

According to the inmates, some women received only partial releases of their money and were not issued receipts or passbook entries showing the remaining balance.

The inmates said that such experiences further weakened confidence in the trust fund system.

For many PDLs, the issue extends beyond the missing P7 million.

They stressed that the controversy exposed long-standing problems in a system they had questioned since its implementation but complied with because prison authorities required it.

“If the money was forced into the trust fund for safekeeping, the question is simple,” the petition stated.

“Was it really kept safe?”

Calls for investigation

The petition asked the CHR, Department of Justice, and Congress to investigate the disappearance of the funds and the implementation of the trust fund system.

The inmates demanded the return of all money entrusted to the fund, the direct release of remittances to prisoners, the revocation of sanctions imposed on inmates for possessing cash beyond the allowable amount, and the return of confiscated money.

Karapatan likewise urged the CHR to conduct an independent inquiry into the trust fund system and the broader cashless policy.

The group said that the controversy raises serious questions about transparency, accountability, and the treatment of persons deprived of liberty.

For the women of CIW, however, the issue remains rooted in a more immediate concern.

As investigations continue, they said that the disappearance of millions of pesos destroyed the very foundation of the system that prison officials asked them to trust. (RTS, DAA)