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COA asks Ombudsman to probe Iloilo's 'irregular' purchase of X-ray machine

Published Dec 27, 2022 02:10 pm

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The Commission on Audit (COA) has asked the Office of the Ombudsman (OMB) to investigate the alleged irregular procurement by the province of Iloilo of an X-ray machine for Barotac Viejo District Hospital (BVDH) for P3.4 million in 2019.

Since the provincial government “failed” to comply with Republic Act No. 9184, the Government Procurement Reform Act, and its implementing rules and regulations, the COA “referred the case to the Ombudsman for investigation and filing of appropriate administrative or criminal charges."

Meihao Corporation, represented by Josephine Peckering, made a money claim against the Iloilo provincial government for the brand new X-ray machine since no payment was made to the company despite complete delivery and installation in 2019.

COA said that the province issued a Notice of Award dated Feb. 13, 2017 to Meihao for the procurement of the X-ray machine for BVDH, and the Office of the Governor issued Purchase Order No. BVH-16-1419-B dated Feb. 16, 2017. However, the provincial government failed to pay because the expenditure was not obligated by the province for 2017.

After careful evaluation, COA granted of Meihao's claim because the company was able to provide all the necessary documents and proof of delivery.

"While the absence of appropriation shows that the procurement procedure was not properly observed, equity dictates that Meihao should be compensated for what it had delivered,” COA said.

"Otherwise, it would result in unjust enrichment on the part of the province,” It stressed.

It added that the money claim is granted "subject to availability of funds, and the usual accounting and auditing rules and regulations."

TAGS: #COA #OMB #Iloilo province

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