THE COMMISSION on Audit (CoA) has flagged the Mountain Province provincial government’s uninsured assets totaling P275.4 million, citing these public facilities at risk of not being compensated in case of loss or damage.
State auditors said the provincial government violated the Property Insurance Law of 1951 and a CoA circular requiring all government assets and properties to be insured by the Government Service Insurance System (GSIS).
“Property, Plant, and Equipment aggregating ₱275.445 million, were not covered by the GSIS General Insurance Fund due to insufficiency of fund, contrary to… the Property Insurance Law and CoA Circular No.2018-002… exposing the Provincial Government to the risk of not being indemnified or compensated for any damage,” the CoA said in its report.
The provincial government of Mountain Province did not respond to an email and Facebook Messenger chat seeking comment on the report.
The CoA urged the provincial government to appropriate necessary funding for the insurance premiums of its assets and properties with the GSIS.
State auditors also flagged the cash advances for financial assistance worth P2.2 million as it was disbursed to municipal treasurers instead of special disbursing officers under the provincial government.
It also noted that cash advances amounting to P752,000 were liquidated by officials beyond the prescribed period under a CoA circular on advances. — Kenneth Christiane L. Basilio
