COA suspends Mandaue bonuses

CEBU, Philippines — The Commission on Audit-7 has issued a notice of suspension of the bonus Mandaue City gave city officials and employees for its 2023 Charter Day anniversary as well as the year-end bonus that same year.

COA-7, in their 2023 Annual Audit Report, issued a notice of suspension of Mandaue City’s ?11.5-million anniversary bonus and ?29.2-million given end of 2023 to all its employees due to lack of basis.

“The amount of ?29,253,179.20 for the payment of year-end cash incentives, to recognize the services of the city officials and employees throughout the calendar year 2023, was suspended in audit due to lack of legal basis,” state auditors said in their report.

The ?11,580,000 for cash incentives of the city officials and employees for the celebration of the city's 54th Charter Day was also suspended on the same lack of legal basis.

COA is giving the city 90 days to explain these two issues.

“Please settle the above audit suspension through compliance with the requirements indicated which we will evaluate. Items suspended in audit which are not settled within ninety (90) days from receipt hereof shall become a disallowance pursuant to Section 82 of P.D. No.1445,” the report added.

Mandaue City administrator Atty. Jamaal James Calipayan said that they just received the reports last week and they will submit what is required of them by COA.

“We will answer notice of suspension and hope that it will be settled accordingly,” said Calipayan. — (FREEMAN)