COA fails to attend PB session; issue on debts of province still in doubt

CEBU, Philippines - The legitimacy of the claims of the contractors and creditors of the Province of Cebu remains unclear after officials of the Commission on Audit failed to attend the regular session of the Provincial Board yesterday, despite an invitation from the PB, supposedly to shed light on the issue.

Provincial Secretary Aniceta Pasaylo earlier sent letters dated Jan. 21, 2014 to COA-7 officer-in-charge Alicia Malquisto and provincial auditor Eva Cabrera.

Malquisto, in her reply letter dated Jan. 23, 2014, informed Pasaylo that she was attending a command conference starting yesterday until Thursday in the COA central office in Quezon City.

Vice Governor Agnes Magpale said that her office received a phone call from Cabrera setting for a meeting with her. Magpale said she wants a formal reply from Cabrera.

"I want everything official," Magpale told reporters.

Last week, Board Member Grecilda Sanchez also sent a letter to Malquisto, asking for advice on how to deal with the payables of the Capitol especially for the contracts that don't have PB approval.

Sanchez, chairwoman of the PB committee on budget and appropriations, has been reviewing the payables of the province amounting to over P600 million.

Out of this, P250 million worth of projects are already complete and payments are now "due and demandable" according to the Provincial Accounting Office.

"We would like the contractors know that we are willing to pay as long as there is legal basis," Magpale added.

In order to pay the obligations, the contracts entered into by former governor, now third district Rep. Gwendolyn Garcia, have to be ratified.

Governor Hilario Davide III earlier said that the provincial government will be forced to file a third-party complaint against Garcia should the contractors file charges against the Capitol for unpaid completed projects.

Davide stressed that they will not pay contractors whose contracts have not been ratified by the PB. Davide said the previous administration of Garcia violated the Local Government Code by proceeding with projects without the approval of the PB.

The provincial government owes P607 million to 31 contractors of various projects left by Garcia when she was suspended last December 2012 until her term ended on June 2013. (FREEMAN)