Unresolved garnishment of funds
National Housing Authority · 2024
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What Happened?
Category: Financial ManagementIssue: Non-complianceThe agency's bank accounts are frozen because of a lawsuit, and it's been going on for years.
Why It Matters
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Original Audit Finding Excerpt
"This account consists of: Restricted funds represent funds designated for a special purpose and cannot be used in the operation of the Agency. This account consists of deposit for expropriation, deposit held-in-trust, and deposit held-in-escrow. The net increase of P240.682 million is mainly attributed to new funds from other government agencies of P1.446 billion, entrusted collections from beneficiaries of P347.838 million, and liquidations and/or disbursements of P1.553 billion. The account also includes current and savings accounts totaling P294.266 million that were garnished by PVB pursuant to Construction Industry Arbitration Commission (CIAC) Case No. 13-2014, involving a contractor and NHA. The Court of Appeals issued a final and executory decision on October 16, 2016, reversing the final award, dismissing the complaint and denying the contractor’s Petition for Review. On November 8, 2018, NHA filed a Very Urgent Motion to Lift/Cancel Notice of Garnishment and Release Order"