Mayor Sotto stops collection of penalties from delinquent city-housing beneficiaries

Published October 8, 2019, 10:51 AM

by AJ Siytangco

By Jhon Aldrin Casinas

Mayor Vico Sotto ordered the Pasig Housing Regulatory Unit on Tuesday to stop the collection of compounding penalties from delinquent beneficiaries of the city’s in-city housing projects.

“I have just ordered the city’s Housing Unit to stop the practice of compounding monthly penalties in our in-city housing sites, including the BLISS housing,” Sotto said.

In a memorandum posted by Sotto online, he said Task Force Pabahay reported that penalties imposed on delinquent payments for the city’s in-city public housing projects (‘Projects’) “has no legal or contractual basis.”

“In fact, the contract between the projects’ occupants/beneficiaries and the city government only provides a flat rate of three percent penalty for every month of delinquency,” Sotto said in the memorandum.

The mayor said many public housing beneficiaries tend to owe a lot of debt because of these penalties.

“Ilan taon nang ginagawa pero wala palang basehan na batas o ordinansa (This has been a practice for several years but it turned out that it was not based on any law or ordinance)” Sotto noted.

“Mula ngayon, flat penalty na lang sa bawat buwang hindi nakapagbayad sa oras (From now on, flat penalty will only be imposed for every month of late unpaid payments)” he stressed.

Sotto said Task Force Pabahay is finding ways to decrease the amount of penalty as well as the monthly payment of the housing beneficiaries.