CEBU, Philippines - The Commission on Audit told the Municipality of Badian to speed up the titling of the land registered under its name to validate its ownership and to protect the interest of the local government unit from adverse claims by unscrupulous parties.
COA has found that the municipality of Badian had not registered under the Torrens Title System, the 26 parcels of land, approximately valued at P5,693,270.97, which were covered by tax declarations, in its name.
It said that ownership of the land could not be absolutely established due to the absence of Certificates of Land Title for these lots contrary to the provisions of Section 148 of COA Circular No. 92-386.
Section 148 of COA Circular No. 92-386 dated October 22, 1992 provides that, “Every local chief executive shall be immediately responsible for the proper and effective use and management of real estate owned or titled in the name of the local government unit. He shall ensure that all real estate under his responsibility are registered under the Torrens Title System and safeguarded from squatters, unlawful occupants or the like.â€
“Under the law, certificate of title is the best evidence and absolute proof of ownership of the land,†COA pointed out.
COA noted that as of December 31, 2011, the Land account had a recorded balance of P5,622,540.97 for 25 parcels of land, represented by corresponding tax declarations and included the amount of taxes paid in connection with the lots where the abattoir and landfill were situated.
In addition, COA also found that there was one tax declaration for another lot with an assessed value of P70,730.00 which had not been taken up in its books, which brought the total value of the land in the name of the municipality to P5,693,270.97.
COA verification disclosed that aside from the tax declarations, no other proofs of ownership could be presented since the municipality had not yet registered these properties under the Torrens Title System which is required by law.
As stated in the face of the tax declaration, the said document is issued for real property taxation purposes only and does not and cannot by itself alone confer any ownership or legal title to the property.
“Thus, ownership of the land could not be fully validated,†it said.
COA said that without the Certificate of Title, which is considered as unassailable proof of ownership of the land, these untitled lots could be the subject of possible adverse claims by third parties that will be detrimental to the interest of the municipality.
COA recommended that the municipality through its Municipal Assessor should undertake the necessary steps for the speedy titling of the parcels of land.
It further recommended that the land account should be updated to include the value of the lot amounting to P70,730.00 which had been inadvertently not taken up in the books. (FREEMAN)