City accountant keeps mum on housing loan's amortization
City Accountant Consolacion Tormon refused to answer queries with regard to the exact amount the city is paying to Philippine Veterans Bank to cover up the P130 million loan incurred by the city government in financing the Iloilo City Housing Project in Pavia, Iloilo.
In an interview with the Iloilo City Hall Press Corps, Tormon declined to give details about the monthly amortization. Instead, she referred the media to City Administrator Melchor Tan.
Tormon even called the office of the City Administrator to ask permission whether to answer the media's queries or not.
As city accountant Tormon could have been the right person to speak on the monthly amortization of the city.
And recently, the Commission on Audit (COA) recently called on the city government to to take concrete action on the city's first housing project which eventually became a white elephant.
The commission took notice of the wastage of funds and damage to property brought about by the suspension of construction of housing units in Pavia. The city has already spent P87,098,092.73 in the housing project. The commission also asked the city government to take immediate action on the housing project to avoid further loss of funds and deterioration of the project.
The P87,098,092.73 is equivalent to 61.70 percent of the total revised project cost amounting to P137,787,499.56. The computed amount was based on the documents submitted by the City Engineer's Office (CEO) to the commission.
On the part of the Ace Builders and Enterprise (ABE), The ABE reported an accomplishment of 73.88 percent and has already claimed P62,599,557.69 (P67,328,801.66 less taxes of P4,729,243.97) at the time when the project was stopped.
The housing project started in April 2001 at the original contract cost of P125,304,356.65. The project was made thru a bond flotation scheme during the administration of former Mayor Mansueto Malabor. The project was discontinued due to alleged anomalies, substandard materials and reported deficiencies upon inspection.
The same COA report urged the urged the city government to set up a committee to undertake a study on the existing project condition to make sure that whatever action is taken will benefit the city government.
As response to the COA's report, Mayor Jerry Treñas said he is contemplating of the entry of two capable firms to finish the housing project. He said the same group will finish the construction and same time sell it.
The city will take their share of the proceeds of the housing project. He is also thinking of allowing different clients to buy the housing units. Originally, the housing project is intended for the city government employees alone.