COA recommends Ombudsman probe vs DepED execs over unpaid educational materials

The Commission on Audit has recommended an investigation against regional officials of the Department of Education due to the unpaid delivery of educational materials in Western Visayas.

A COA en banc decision released on Monday said the commission will refer its findings to the Office of the Ombudsman to determine the sanctions against the DepEd Region 6 officials for violation of the Government Procurement Reform Act.

"The Prosecution and Litigation Office, Legal Services Sector, this Commission, is hereby directed to forward the case to the Office of the Ombudsman for investigation and filing of appropriate charges, if warranted, against the persons liable for the transaction," the COA said, without naming the DepEd officials.

The ruling stemmed from the petition for money claim of Jovita Aquino, vice president of Bookcraft Publishing Company Incorporated, for the delivery of supplementary educational materials in the region in 2005 worth P67.9 million.

The beneficiaries of these materials were Iloilo City, Passi City, Roxas City, and the provinces of Capiz and Antique.

Bookcraft requested for the funds to be released in 2006 and 2007, but Undersecretary Alberto Muyot blocked the transaction since the materials were purchased through direct contracting instead of a public bidding and were not included in the agency's annual procurement plan.

In January 2013, then-DepEd chief Bro. Armin Luistro affirmed the materials from Bookcraft were not part of the 2005 procurement plan. He, nonetheless, said the dispute of the firm is within the jurisdiction of the COA.

The COA said Bookcraft has earned its right to receive payments due to the fact it accomplished the delivery of the goods.

"Total denial of the claim therefore will lead to the unjust enrichment of the DepEd at the expense of Bookcraft. Hence, Bookcraft is entitled to reasonable compensation based on the principle of quantum meruit. This principle is a device to prevent undue enrichment based on the equitable postulate that it is unjust for a person to retain benefit without paying it," it said.

However, the COA said it will only grant the claim of Bookcraft in the amount of P2.46 million, representing the declared value of the shipping materials worth P2.07 million and the total shipping cost of P388,617.50.

The commission based its computation on the Way Bills issued by MLBP Cargo Movers. It said Bookcraft failed to provide the en banc to the total production cost, including the labor and material costs, of the educational materials in the evidence it submitted. —LDF, GMA News