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Manila Bulletin devider Philippines devider National devider COA grants Vites Construction's P11.9-M money claim against Pasay City

COA grants Vites Construction's P11.9-M money claim against Pasay City

Published Jun 30, 2025 06:16 pm
The Commission on Audit (COA) has granted the P11.9 million petition for money claim filed by the Vites Construction and Development Corporation (VCDC) against the Pasay City government as payment for a drainage and street pavement project in 2017.
On Aug. 2, 2017 VCDC entered into a construction agreement with Pasay City for the Improvement of Drainage System and Concrete Pavement of Pag-asa Street, P4 Lower Area, Pasay City for P11,902,290.52.
When the project was done, Pasay City's Engineering Office conducted an inspection and found it to be 100 percent satisfactorily done in accordance with approved plans and specifications.
However, VCDC remained unpaid as the project was but part of several infrastructure projects funded by the city's P2-billion loan from Philippine National Bank (PNB).
Mayor Emi Calixto-Rubiano made several follow-ups with the bank for the issuance of a promissory note in order to pay VCDC, but the PNB was still waiting for documents from the city government as the project was not included in its Local Development Investment Plan (LDIP) and Annual Investment Plan (AIP).
When VCDC made the money claim, the city did not interpose any objection. The COA, for its part, found the petition meritorious.
The COA said: This Commission is convinced that VCDC should be compensated. While the absence of existing appropriation and available funds for the project rendered the transaction void, denying payment would be to allow the city to enrich itself at the expense of VCDC.
The six-page decision was signed by Chairperson Gamaliel A. Cordoba and Commissioners Roland Cafe Pondoc and Mario G. Lipana.
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