The NHA's bank accounts were garnished, but the NHA argued that the garnishment should have been approved by the Commission on Audit. The garnishment was eventually lifted, but the matter was referred to COA.

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Original Audit Finding Excerpt

"Contingent liabilities Claims of HGC The NHA’s contingent liability of P4.119 billion to HGC, now PHILGUARANTEE, relative to the terminated Smokey Mountain Asset Pool (SMAP) Agreement, has not yet been recognized in the books pending the results of the evaluation, reconciliation, coordination/mediation, and compromise with the parties concerned. Compromise Agreement under CA-GR CV No. 99324 The compromise agreement, amounting to P1.122 billion, entered into by the NHA with a contractor to amicably settle the litigation under CA-GR CV No. 99324 dated February 7, 2018, was approved by the Court of Appeals based on the Decision issued on May 30, 2019. The amount of P1.122 billion is not yet recognized in the books pending the submission of the claim for settlement to the proper authorities, pursuant to Section 20(1), Chapter IV, Subtitle B, Title I, Book V of EO No. 292. NHA conveyed 72,000 sqm. lot property to the contractor to comply with the settlement conditions under"

Source Document