WITHOUT proof of services rendered, the Commission on Audit has denied the claim of an events organizer against Makati City for a supposed unpaid bill to the tune of P4.7 million, including damages and attorney’s fees.
In a decision signed by former COA chairperson Rizalina N. Justol and Commissioners Roland C. Pondoc and Mario G. Lipana, the Commission Proper said that without sufficient substantiation, Makati City cannot be compelled to settle the claim of Creativeworx Inc. for P3.94 million in unpaid services, P500,000 in exemplary damages, and P250,000 attorney’s fees.
Creativeworx filed the petition for money claim on July 9, 2018, asserting that it did not receive payment for organizing “Gabi ng Kapatiran” and Makati Show, two events held as part of the 345th Founding Anniversary of Makati City in 2015.
The contractor said it received notification from the city government that it was awarded the contract after a public bidding and set about planning the events with the Internal Relations Department.
It said it provided audio and lighting systems, mugs and cups, hosting and entertainment as well as the venue design for the events held on June 24-25, 2015.
However, just five days later, then Mayor Jejomar Erwin Binay Jr. was suspended by the Office of the Ombudsman and vice mayor Romulo Peña Jr. took over as acting mayor.
While waiting to be paid, Creativeworx said it requested the city government for copies of the bidding documents but was allegedly informed that these were misplaced and could no longer be found.
The city then notified the contractor that its claim cannot be processed due to lack of supporting documents.
This was the same ground invoked by Makati in its answer to Creativeworx’s petition before the COA.
The COA Commission Proper sustained Makati City’s stand.
“This Commission finds the petition for money claim bereft of merit. It is a fundamental principle that claims against government funds should be supported with complete documentation,” it pointed out.
As the claimant was unable to produce copies of the Contract, Notice of Lowest Calculated Bid, Notice of Post-Qualification, Notice of Award, Notice to Proceed, Purchase Orders, and bidding documents, the commission said there is nothing to support its claim that it is entitled to payment.
“Other than its bare allegations and the attached pictures of the alleged events, Creativeworx failed to show proof that it actually rendered the services, and the city accepted the same. There were no documents … to establish that the services required are accomplished,” it added.
However, COA said Creativeworx need not go empty-handed since it can still go after individuals who contracted it for the two events.
“In this case, the concerned city officials who prompted Creativeworx to provide the services sans the contract and the compliance with government procurement procedures must be personally held liable for the same,” the COA said.
