Terminated project due to lack of funds
National Housing Authority · 2023
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What Happened?
Category: Financial ManagementIssue: InefficiencyA large housing project was stopped because the government ran out of money, and the contractor is now claiming millions, wasting public funds.
Why It Matters
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Original Audit Finding Excerpt
"Also, we have also inspected the terminated project for the construction of a 23-storey high rise building in Brgy. Batis, San Juan City under CBIA amounting to P1.3 billion. This project was signed into MOA on January 18, 2022, while the notice to proceed (NTP) was issued on June 23, 2022. There were already barracks built and one heavy excavator found on site, but the contractor terminated the project due to lack of funds. Additionally, the contractor requested payment of claims of P67.898 million on June 30, 2023 against the Authority a few days after the NTP was issued."