Grant of PF Employer's Share Without Approval from the Office of the President
National Housing Authority · 2024
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What Happened?
Category: Financial ManagementIssue: Non-complianceNHA paid about P60.5 million in employer contributions to its Provident Fund without getting the required approval from the President's office. The rules require this approval, and even though NHA argued the fund was established before the rules took effect, the auditors found no proof the fund was legally established under existing laws.
Why It Matters
Recommended Actions
- Immediately collect from PFAI the remitted PF employer’s share for officers and employees
- And Amend Section 4.7 NHA MC No. 2022-064.
Original Audit Finding Excerpt
"NHA granted PF employer's share to officers and employees amounting to P19.440 million for the period May to December 2022, P28.876 million for CY 2023 and P12.184 million for the period January to May 2024, or a total of P60.500 million, upon implementation of NHA of the CPCS."