THE Commission on Audit has lifted the notice of disallowance issued in 2012 against the P21.63 million janitorial contract of the Social Security System (SSS) for April 2011 to March 2012 despite findings of irregularities.
But in its six-page decision released yesterday, the COA Commission Proper instructed its Prosecution and Litigation Office to turn over audit records to the Office of the Ombudsman for investigation if SSS officials who reviewed and approved the contract should face criminal charges for their participation.
The COA said the contract awarded to Ultimate Care Janitorial Services on March 1, 2011 was anomalous because it violated provisions of RA 9184 or the Government Procurement Reform Act from the very start.
It noted the bidder was supposed to submit a copy of its single largest project within two years of June 3, 2010, but the contractor submitted one that ended March 2008 or outside the two-year requirement.
Likewise, under the Revised Implementing Rules and Regulations (RIRR) of RA No. 9184 the bidder was supposed to submit proof that it is compliant with the regular remittance of social security (SS) and employee’s compensation (EC) contributions.
“The SSS clearance submitted by Ultimate Care as required in Bid Bulletin No. 1, at the time of its issuance on June 8, 2010, contained false information,” auditors pointed out.
Complaints filed by the contractor’s employees prompted a re-assessment which revealed that Ultimate Care had delinquencies totaling P716,169.81 for the period covering September 2006 to December 2010.
“In view of the foregoing, Ultimate Care should have been declared disqualified and should not have been awarded the contract,” the COA declared.
Despite these findings, the commission said the contractor is entitled to payment because it delivered its obligations under the contract.
“Nevertheless, based on the time-honored principles of unjust enrichment and quantum meruit, Ultimate Care is entitled to payment for its services notwithstanding its violation of RA No. 9184 and its RIRR,” it said.
Held liable under the notice of disallowance were former president and CEO Emilio De Quiros Jr.; Social Security Commission chair Juan Santos and members Eliza Bettina Antonino, Rosalinda Baldoz, Daniel Edralin, Bienvenido Laguesma, Ibarra malonzo, Marianita Mendoza, and Diana Pardo-Aguilar; Bids and Awards Committee chair Amador Monteiro, vice chair Marissu Bugante, and members Marianito Pablo Tolentino, Emmanuel Trinidad, and Alfredo Villasanta; SSS managers Belinda Ella, Marissa Tizon, and Jesse Caberoy; and payee Ultimate Care.
However, the COA said Laguesma should be excluded because he took his post a full month after the janitorial contract was approved.
Accounting Department manager Ella was also cleared of any liability because her participation in certifying the availability of funds for the contract was merely ministerial.
“The Prosecution and Litigation Office (PLO) is directed to forward the case to the Office of the Ombudsman (OMB) for investigation and filing of the appropriate charges, if warranted, against the persons liable for the ND, except Commissioner Bienvenido E. Laguesma and Ms. Belinda B. Ella,” the COA said.
