MANILA, Philippines – The Commission on Audit (COA) said that former officials of Cabanatuan City in Nueva Ecija were liable for anomalous purchase amounting to P8.93 million.
In a recent decision, the COA en banc denied motions for reconsideration submitted by former city administrators Roy Ortiz and Jose Balagtas and bids and awards committee (BAC) member Susana Santos in relation to notices of disallowances.
These notices were issued in 2020 against the purchase of a generator worth P5.9 million in 2008 and two motor vehicles worth P3.03 million in 2009. It was found out that the two transactions did not go through public bidding, and that the purchased vehicles — a Kia Cosmos van and a Kia Frontier ambulance — were already more than 10 years old.
The maximum age of a purchased pre-owned vehicle should be no more than seven years old, according to a circular by the Department of Budget and Management.
In 2011, a special audit team found that both vehicles were no longer operational and had since been trashed.
The COA said that the officials “are solidarily liable to return the amount paid.”
It added that Ortiz, Balagtas, and Santos failed to explain why a letter of credit favoring generator supplier Shing Heung Corp was issued at least four months ahead of the purchase request and even a resolution of the BAC in 2009.
State auditors also found out that only P5.68 million was paid for the generator set, while the remaining amount of more than P200,000 was given to a local distributor as commission.
Aside from the three, the COA also previously held liable former city mayor Alvin Vergara, former accountant Norma Serapio, engineer Arnand Dagamac, BAC chairman Alfredo Ilagan, budget officer Laureta Jacinto, property inspector Evangeline Batisan, and suppliers Richard Olalia and Melchor Martinez. – Rappler.com