Masbate flagged over P169.6M procurements
‘The foregoing deficiencies and incomplete/improper supporting documents created doubt on the legality, regularity, and propriety of the transactions.’
Daily Tribune‘The foregoing deficiencies and incomplete/improper supporting documents created doubt on the legality, regularity, and propriety of the transactions.’
The Commission on Audit (CoA) has flagged Masbate province over P169.6 million worth of procured medical supplies and equipment in 2022 and 2023, with lacking support documents.
In its 2023 report, CoA found that Masbate local government unit (LGU) made payments to suppliers aggregating P169,593,196 for medical supplies and equipment intended for the Provincial Health Office that were not supported with complete documentation.
The items were procured through public bidding, according to CoA.
Among the deficiencies cited in the transaction were the lack of an approved contract agreement, a detailed breakdown of the approved contract budget, and an authenticated photocopy of the approved annual procurement plan (a copy of the page where the particular goods subject of payment is indicated).
Scrutiny of the disbursement vouchers (DVs) also revealed that approved copies of purchase orders and supporting documents were not furnished to the Office of the Auditor, preventing the latter from conducting a timely review and inspecting the items upon delivery.
Under Section 1.1 of CoA Circular No. 2009-001, audited agencies are required to furnish the auditor with a copy of perfected contracts and purchase orders within five working days of approval, together with the supporting documents, for review.
“The foregoing deficiencies and incomplete/improper supporting documents created doubt on the legality, regularity, and propriety of the transactions,” the auditing body said.
State auditors stressed that such a practice runs counter to Section 4 (6) of Presidential Decree 1445 or the Government Auditing Code of the Philippines, mandating that “claims against government funds shall be supported with complete documentations.”
Audit findings further revealed that several DVs lacked contract agreements but had purchase orders.
In addition, the provincial accountant significantly delayed submitting the DVs and their supporting documents to the audit team, which violated a provision of CoA Circular No. 2009-006.
Meanwhile, the Masbate LGU assured auditors that it would adhere to their recommendations, including requiring the concerned officials to ensure that all transactions are accurately documented and strictly comply with laws, rules, and regulations governing paid DVs.
Demand letters to the concerned offices for the immediate submission to the PAO of all lacking documentary requirements pertaining to the procurement will also be made.
