But JVR, treasurer counter report COA sees irregularity in hiring of 91 guards

CEBU, Philippines - The Commission on Audit said the administration of Talisay City Mayor Johnny De los Reyes committed irregularity when it hired the services of 91 security guards of Blackpearl Security Agency as job order employees instead of directly hiring their services.

This was based on a COA report dated March 31, 2014.

De los Reyes, who assumed office last July 1, 2013, hired the services of the personnel from August to December 31, 2013. They were receiving P430 per day.

COA said the city committed irregularity because job order employees assigned in different offices of the city are only paid at P300 per day.

"Had the management directly hired the services of the security guards as city paid job order employees instead of contracting their services through the agency, it could have saved the amount of P1,822,910," the COA said.

The city government paid P5,972,510 to the Blackpearl from August to December.

But De los Reyes, in an interview with reporters yesterday, said there was nothing irregular in the move and that the city government was not put into a disadvantage.

When he assumed to office last July 1, De los Reyes said the contract of services of then the Lancer security agency was already expired.

De los Reyes said he hired 91 job order personnel acting as security guards, which is part of  his Adopt-a-Talisaynon program. He added that Blackpearl trained them for security.

"Tinuod mga job order na sila pero ang nag-train nila for security kay ang Blackpearl. Ilang gidala ang ngalan sa Blackpearl pero ang atong JO nga nag-serve as security guard nagdawat sa ilang sweldo gikan sa City Hall," De los Reyes said.

In the COA report, out of the P430 daily wage, a security guard was paid only P300 per day while the remaining balance of P130 went to the agency.

The guards wore the prescribed uniform of the security agency and were directly supervised by the Blackpearl.

Although the job order-security guards signed the time book and payroll to acknowledge receipt of their wages, it was found out that a representative of the security agency claimed the guards' wages in cash from the city treasurer's office.

The guards signed an authorization in favor of a representative of the security agency to claim their wages every 15th and 30th of the month.

De los Reyes said the hiring of job order as security guard was done "by administration."

City budget officer Edgar Mabunay, who is one of the members of the Bids and Awards Committee, said there was no disadvantage on the part of the city government at the time the city hired the services of 91 security guards.

Mabunay explained the P130 remaining balance went to agency for the security guards' uniforms and other materials needed in their services.

Last March, the city conducted a public bidding and Blackpearl won the bid.

Mabunay said there were other security agencies that expressed their intent to participate the bidding but when the bidding took place, only the Blackpearl participated and won the single bidding.

The city is paying the agency at P566 a day to one security guard or P16, 980 a month. This means, the city government is now paying P1,545,999 to the security agency per month.

"Asa man ang disadvantage niana? Mas naka-save man ang city government niadto compare karon nga aduna'y difference of P136," Mabunay said.

However, Mabunay said the P566 already includes their management fee and benefits as mandated by labor laws among others.