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[av_heading tag=’h3′ padding=’10’ heading=’ Return bonuses, COA tells ex-MIWD directors’ color=” style=’blockquote modern-quote’ custom_font=” size=” subheading_active=’subheading_below’ subheading_size=’15’ custom_class=”]
BY GLENDA SOLOGASTOA
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Thursday, June 22, 2017
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ILOILO City – The Commission on Audit (COA) affirmed its Notice of Disallowance against the Mid-Year Performance Incentives Bonus (MPIB) of the Board of Directors (BOD) of the Metro Iloilo Water District (MIWD) in 2010 amounting to P516,200.
One of the former directors, Dr. Danilo Encarnacion, said he was willing to return his bonus.
If COA finds irregularities in a government project or fund release, it issues a Notice of Disallowance, which means that the concerned agency or officials should return the money.
The Notice of Disallowance against MIWD’s BOD was issued on June 15, 2012. The BOD asked COA to reconsider the disallowance. Just this May 15, 2017 the Commission denied the petition for review.
MIWD’s BOD issued Board Resolution No. 128, series of 2010 granting the “traditional” 2.5 months MPIB to employees, the BOD and the corporate secretary of the water district.
In a post-audit, however, the Audit Team Leader (ATL) and Supervising Auditor (SA) disallowed the MPIB paid to the following BOD:
* Celso Javelosa (then chairman of the Board) with gross amount disallowed amounting to P106, 800
* Adrian Mondaca (P106,800)
* Bernadette Castellano (P89,000)
* Sergio Gonzales (P106, 800)
* Encarnacion (P16,800)
COA cited Section 13 of Presidential Decree (PD) No. 198 or the Provincial Water Utilities Act of 1973, as amended, forbidding water district directors from receiving compensation in excess of the allowed per diems and other allowances and benefits from the district without prior approval from the Local Water Utilities Administration (LWUA).
A separate Notice of Disallowance was issued to Encarnacion on the ground that his appointment as member of the BOD was nullified by the then Acting Administrator of LWUA.
The BOD filed a Consolidated Appeal Memorandum (petition for review) citing good faith in the release of the MPIB.
COA, however, ruled that the petition was devoid of merit.
“Section 13 of PD 198 as amended…clearly states that members of the BOD of water districts are not entitled to receive allowances and benefits without prior approval of LWUA, except for reasonable per diems. Thus, petitioners…cannot feign good faith because the law itself dictates the limitation on the compensation and allowances that may given to them,” COA emphasized.
Reached for his comment, Encarnacion said he was willing to return the money. He will no longer contest the COA ruling.
“Tamad na ko (mag appeal),” said Encarnacion.
Iloilo Provincial Legal Office head Atty. Dennis Ventilacion said the former MIWD Board has 15 days upon receipt of the COA ruling to make an appeal before the Supreme Court.
“Amo na ang aton rule. Ang decision sang aton constitutional bodies like COA diritso Supreme Court, indi na mag agi sa Court of Appeals,” he said./PN
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