COA flags Davao City gov’t for ₱9.48-B ‘questionable assets’

MANILA (AdChoiceTV News) — State auditors flagged the government of Davao City for the questionable existence of assets amounting to ₱9.48 billion, a 2020 audit report showed.

In a report on Davao City dated February 28, the Commission on Audit gave a “qualified opinion” on the city government’s financial statements.

This means that while the Davao City government’s financial reports were fairly presented, the auditor noted its failure to provide adequate disclosures on its property, plan, and equipment accounts.

The report stated that ₱9.48 billion, or 40.10% of the ₱23.66 billion total assets recorded as of end-December “could not be ascertained to its validity, correctness, and existence due to the absence of an actual count…”

The local government also failed to submit a Report on the Physical Count of Property, Plant and Equipment or RPCPPE resulting from the COVID-19 community quarantine restrictions, COA said.

The audit report added that the inventory accounts amounting to ₱97 million were also “doubtful and unreliable.”

“There had been no actual count conducted nor an RPCI was submitted to validate such recorded balances, neither a reconciliation was made possible between the supply records and accounting records, again due to the constraints brought about by the COVID-19 pandemic,” it explained. RCPI refers to Report on the Physical Count of Inventories.

AdChoiceTV News has requested comment from Mayor Sara Duterte but she has yet to reply. Her media relations officer said they will respond later in the day.

Reporting by Albert Rovic Tan


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