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February 23, 2022
1 min read

IESS lost money for not collecting rents for five years

La institución tiene problemas administrativos y financieros en varios frentes.

Between 2016 and 2020, 12 buildings of the institution were used without paying a penny; the authorities did not lift a finger to boost collections.

This February 23, 2022, the General Comptroller of the State announced the results of the special examination to the real estate leases from the Ecuadorian Institute of Social Security (IESS) in Guayas.

The control team concluded that administrative and judicial actions were not promoted to recover the properties through evictions, nor were unpaid amounts collected.

The auditors analyzed the situation of 12 estate, of which three correspond to commercial premises and nine to apartments and villas. In total, $135,533 were not received, between 2016 and 2020, due to non-compliance of the tenants in the payment of their obligations; and the inaction of the authorities to charge them.

The amount includes unpaid locative pensions for $123,627; water for $4,536; $640 of overdue aliquots and $6,725 for VAT. In addition, the properties were occupied without lease agreements in force.

The provincial directors of Guayas, provincial coordinators and lawyers, in their periods of action, did not promote the judicial processes initiated by the IESS for him debt collection and vacating the buildings, nor did they submit insistence before the administrators of justice for the unjustified delay in the dispatch of the cases.

The report of the special examination indicates that the periods of procedural inactivity,
in these cases, it ranged between 62 and 1,786 days, due to poor control and supervision
of those responsible for buildings in the IESSwhich did not require actions to
promote trials, observing the institutional benefit.

“Faced with this situation, it is recommended that the authorities of the IESS quarterly generate a detailed report of the procedural state in which the legal cases are found, sponsored in Guayas for these reasons”, the Comptroller pointed out.

What was found by the control body in 12 properties in Guayas is just the tip of the iceberg of the problems in managing the assets of the IESS. The former president of the institution’s Board of Directors, Jorge Wated, acknowledged at the end of September 2020 that there was not even an updated file of unproductive assets and those with legal problems.

On that date, it was estimated that these assets could add up to at least 277; but that only took into account what at some point had an “official record” such as warehouses, parking lots, land, urbanizations, premises, among others.

However, there were many other things that are in a kind of limbo, that is, neither registered nor endorsed in any way. (JS)

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