PagIBIG’s P138-M funds to Globe Asiatique ‘legitimate,’ says COA

The COA en banc reverses the August 14, 2015 ruling of the COA Company Authorities Sector-Cluster 2 that had affirmed the Notices of Disallowance issued towards PagIBIG

MANILA, Philippines – The Fee on Audit (COA) en banc has dominated that the contract on the P138-million cost of the Dwelling Growth Mutual Fund or PagIBIG to Globe Asiatique Realty Holdings Company in 2010  is “legitimate and enforceable.”

With this, COA ordered the lifting of the Notices of Disallowance issued towards PagIBIG in 2010 in relation to its cost of P138,046,666.04 to Globe Asiatique — reversing the August 14, 2015 ruling of the COA Company Authorities Sector-Cluster 2 that had affirmed the NDs.

COA held that there was no lack of authorities funds in relation to the transaction.

“The housing loans are secured by Actual Property Mortgage executed by residence homeowners in favor of HDMF. In tum, HDMF collects amortizations paid by residence homeowners. In case of default, HDMF has the precise to institute a private motion for assortment of sum of cash or institute an actual motion to foreclose on the mortgage safety,” COA stated.

“It seems subsequently that the disallowance could also be lifted, there being no lack of authorities funds,” it added.

‘Irregular’ funds

Based mostly on information, the NDs have been issued because the audit group discovered that  PagIBIG’s funds to Globe Asiatique have been “irregular” — the checks have been accredited and launched with out the approval of the department supervisor or the duly approved consultant on the disbursement vouchers.

The audit group had additionally discovered {that a} whole of twenty-two checks weren’t backed  by the required certification from the accountant as to availability of funds, and 6 different checks had no connected certification on the legality of the transaction.

COA sustained the stand of the audit group that this violated Presidential Decree No. 1445 or the Authorities Auditing Code of the Philippines which gives that every one authorities fund disbursements have to be  accredited by the correct authority.

“The approvals and certifications of the correct officers are indispensable necessities within the disbursement of presidency funds. These are needed to find out the respective accountabilities of individuals within the processing of disbursement transactions. In any other case, the legislation wouldn’t have mandated it as to be merely ignored or uncared for,” COA stated.

COA directed the Prosecution and Litigation Workplace to ahead all information to the Workplace of the Ombudsman for additional investigation and to find out if the submitting of administrative and felony expenses is warranted. – Rappler.com