Uncollected Long Outstanding Receivables from CISFA Local Housing Program
National Housing Authority · 2023
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What Happened?
Category: Financial ManagementIssue: Non-complianceThe agency failed to collect millions in old loans outstanding for up to 20 years, making financial records unreliable.
Why It Matters
Recommended Actions
- Exhaust all possible remedies to collect the receivables, otherwise file collection suit for accounts which have matured.
Original Audit Finding Excerpt
"NHA failed to collect the long outstanding receivables totaling P62.159 million from borrowers of CISFA Local Housing Program (LHP) ranging from 10 to almost 20 years, rendering the validity of the balances of LR -LGU and LR-others accounts doubtful, contrary to Section 3 of RA No. 7835, Sections 6 and 7 of COA Circular No. 2016 -005 dated December 19, 2016, Items 5 and 6.1 of NHA MC No. 2020 -060 dated October 16, 2020, and provisions of the MOA."