The Philippines Commission on Audit has determined that five officers of the country’s gaming regulator paid P234 million (US million) to lease a non-existent property.
According to the Manila Bulletin, the five include former CEO of the Philippine Amusement and Gaming Corp. Cristino L. Naguiat Jr.
Auditors notified newly installed PAGCOR Chairwoman Andrea Domingo that the other liable parties are Assistant Vice Presidents Recto Baltazar Jr. of the finance and treasury department; Milagros Pauline Visque of general services and engineering; Sharon SJ Quintanilla of accounting; and Evelyn Salvador, of the internal auditing department.
Also found liable was Vanderwood Management Corp., which was paid for the lease of a 6,500-square-meter casino gaming facility within the Museo ng Maynila Complex, formerly the Army & Navy Club. COA said the payment “was disallowed in audit considering that the premises to be leased was not yet existing” when the contract was signed.
“It is common practice in the rental industry that payment of advance rental is being made for a leased premises that is ready for occupancy or at least existing at the time,” the audit report continued.
Naguiat approved the advance rental of P156 million, at P13 million a month for 12 months plus a security deposit of P78 million. Baltazar signed the check, Visque certified that the payment was necessary and documents were “complete and proper,” Quintanilla certified that it was certified and Salvador passed the lease transaction in audit.
In its letter to Domingo, the COA said “please direct the aforementioned persons liable to settle immediately the said disallowance.”
