Trinidad loses P3M in trade fair-A A +A
Wednesday, March 13, 2013
LA TRINIDAD, Benguet – Commission on Audit (COA) team leader Ignacion Jasmin Jr. and supervisor Nadelline Orallo are advising Mayor Greg Abalos to stop conducting trade fairs without permission.
Both auditors inspected the recently concluded trade fair fronting the municipal building and advised Abalos to “collect the unremitted stall rentals amounting to approximately P3.869 million from the designated collector or from the organizer.”
Both state auditors recommended a refrain in the conduct of trade fairs without the necessary Memorandum of Agreement (MOA) and contract and council Resolution.
The team conducted an ocular inspection of the trade fair in front of the municipal hall of La Trinidad which ran from April to December 2012 and verification from stall owners’ rental income observing multiple lapses.
The team noted there were 54 stalls in the area and culled rental is pegged at P300 per day totaling a daily revenue of P16,200 counting 245 days there is an estimated revenue of P3,969,000.
The COA observation audit revealed there were no official receipts issued to stall owners by the male collector whom they did not identify.
The collector merely indicated the marking “paid” opposite the names of the stall owner when payment is made in his list of stall owners.
The millions of monies were allegedly collected by the unknown individual, instead of the Municipal Treasurer or her duty authorized representative.
The COA ruled the act is contrary to Book II, Title One, Chapter 3, Section 170 of Republic Act (RA.) No. 7160 or the Local Government Code (LGC) and Chapter VII, Article 7A.06 of the 2005 La Trinidad Revised Revenue Code (LTRRC).
Stall owners also told the audit team that they did not know whether the collector is a municipal employee.
COA inquired with the municipal treasurer who disclosed there was no Municipal Council (SB) Resolution authorizing her or her authorized representatives to collect from the stall owners in the trade fair.
According to the municipal treasurer an SB Resolution is needed authorizing her to collect since a trade fair is not among the revenue measures in the 2005 LTRRC, further explaining the attention of management and the SB was sought.
Jasmin and Orallo said La Trinidad was not able to realize an additional income of approximately P3.869 million from the collection of rentals of 54 stalls during the trade fair from April to December 2012.
Further recommendations stated the municipality must submit copies of the Memorandum of Agreement between La Trinidad and the organizer, and a resolution authorizing the conduct of trade fair in front of the municipal hail, for evaluation of the audit team.
The audit team said the municipality should see to it that collection of revenues, especially for the use of municipality-owned property, be made by the municipal treasurer or her duly authorized; an amendment to the 2005 La Trinidad Revised Revenue Code to include the conduct of trade fairs should also be made.
The COA forwarded the results to Abalos as well as the local council last month.
Abalos was sought for comment in the matter, but advised Sun.Star Baguio to speak with the COA.
Published in the Sun.Star Baguio newspaper on March 14, 2013.