COA orders EVMC to pay P1.1-M for drugs, medicines, IV fluids bought from 2014 to 2016
The Commission on Audit (COA) has ordered the Eastern Visayas Medical Center (EVMC) in Tacloban City to pay P1.12 million to Endure Medical, Inc. (EMI) for purchases of drugs, medicines, and intravenous fluids from 2014 to 2016.
In its petition for money claim, EMI sought the payment of P1.35 million from EVMC.
In partly granting the petition, the COA said the claim should be reduced by P69,088.68 in value-added tax (VAT) since it was not stamped received by EVMC, as well as the liquidated damages amounting to P92,697.84 due to the delay in delivery of the items.
Thus, instead of P1,354,455.30 as claimed, the COA ruled that EMI should be paid P1,127,868.78.
The ruling was signed by COA Chairperson Gamaliel A. Cordoba and Commissioners Mario G. Lipana and Douglas M.N. Mallillin.
The award to purchase drugs from EMI was issued by EVMC on April 10, 2013, while the purchase orders (POs) were done from 2014 to 2016.
EMI's statement of account showed that EVMC has an outstanding balance of P1,354,455.30 as of Nov. 23, 2021. Despite several demands, EVMC failed to pay as its accounting department said it lacked necessary documents for payment.
EMI then filed a petition for money claim before the COA, arguing that the items have already been delivered and utilized by EVMC. The COA, for its part, agreed with EMI and partly granted its claim.
The COA said: "On this particular issue on the non-submission of documents, which relate to the preliminary steps and bidding stage, EMI cannot be faulted because these documents should have been under the custody of EMVC.”
It also said: “It is EMVC which has the primary duty to ensure that procurement laws are observed and all documents pertaining thereto are in order. In this case, it was EMVC which is remiss in its duty."