3-term Tupas admin fails to account Capitol assets
COA at a loss on status of over P1.2B recorded ‘wealth’
The administration of Iloilo Governor Niel Tupas Sr. started in 2001 with an order to account the assets of the Iloilo Provincial Government. Eight years later and on his last term, the same situation with the Commission on Audit (COA) haunted anew by the same recurring problem.
Contained in the latest COA Annual Audit Report (AAR), the “doubtful” Property, Plant and Equipment (PPE) account of the Capitol now ballooned to over P1.2 billion. Government auditors placed said discovery on the top of the list of its “Significant findings and recommendations.”
The AAR was specific -- Capitol did not conduct mandated physical inventory “thus rendering the validity, existence and correctness of the account doubtful.”
Further still, records showed the “unaccounted difference” of over P408 million worth of Capitol properties such as office equipment, furniture and fixtures and transportation equipment. The Commission dubbed those as “very significant discrepancies” that had the State Auditors take extra steps so the Tupas administration can comply with government-prescribed regulations.
From the Governor to the General Service Office (GSO), the COA kept its resolve to have the Capitol conduct the inventory. GSO Chief is Ramie Salcedo who has since expressed his resolve of full compliance. Problem was, Salcedo explained to the Commission, his department is beset with insufficient personnel to do the task.
“Despite verbal recommendation, the GSO failed to conduct one and he did not give any reason for his failure to conduct the physical count,” excerpts of the COA report as obtained by The News Today (TNT) went. The lack of manpower was then noted stating that Salcedo “has already asked the Governor for additional personnel who will undertake the said activity.”
“This situation only shows poor management of properties and supplies which is one of the General Services Officer’s main concerns,” the report added.
Incidentally, Salcedo did managed to submit a Report of Inventory last February 17, 2009 however the inventory did not reconcile with the general ledger as maintained in the Accounting Office.
Records in the general ledger listed a total of P457,719,895.32 of Capitol assets. In contrast was the submitted GSO inventory which was only P49,393,184.88 or a difference of over P408 Million worth of Capitol properties.
“We strongly recommend that the Local Chief Executive through an executive order create an inventory committee to conduct an annual physical count of its property, plant and equipment… The agency should give emphasis on the proper custodianship of supply which includes proper recording and safekeeping thereof. Moreover, the accountability, responsibility and liability of accountable officers who have custody of government property should be emphasized to them,” the COA wrote.
To recall, Governor Tupas in his first days as Iloilo Governor used the need for inventory of Capitol assets as reason to relieve the former Provincial Accountant from her post. Tupas detailed Gloria Magbanua to the Task Force on Inventory with clear-cut orders – Magbanua can be the Provincial Accountant again if and only if she completes the needed inventory.
Magbanua decried the assignment and hurled the governor to Court for "constructive" termination or demotion. It was also seen as political vendetta with Magbanua then pointing out that inventories need not be done by the Provincial Accountant. Magbanua was a known protégée of former Governor and now Third District Representative Arthur Defensor Sr.
Unfortunately, at least three other Defensor protégées had the same fate with Magbanua in the course of the Tupas administration. Meantime, the inventory has yet to be done.
A copy of the latest COA report was sent to the Capitol Thursday and transmitted by COA Director III Sheila U. Villa, Director-in-Charge.
COA has given Tupas the customary one-month period to reply on its findings.