A COALITION called “Save the Philippines” has escalated its concerns over the handling of Philippine Health Insurance Corporation (PhilHealth) funds by filing a formal complaint against key former officials.
The complaint, lodged with the Ombudsman on Monday, targets former Finance Secretary Ralph Recto, now Executive Secretary, and former PhilHealth President and CEO Emmanuel Ledesma, alleging misuse of public funds related to the transfer of PhilHealth’s excess funds to the national treasury.
The charges include plunder, graft, technical malversation, and grave misconduct.
The legal action follows a Supreme Court (SC) decision that directed the government to return P60 billion of excess funds, previously transferred from PhilHealth to the national treasury, back to PhilHealth through the 2026 General Appropriations Act. The high court had declared the initial transfer void, along with Special Provision 1(d), Chapter XLIII of the 2024 GAA, and Finance Circular No. 003-2024, citing grave abuse of discretion.
Last year, PhilHealth had already remitted P60 billion of the total P89.9 billion in excess funds to the national treasury before the SC issued a temporary restraining order, halting the transfer of the remaining P29.9 billion.
In response to the allegations, Recto issued a statement affirming his respect for citizens’ rights to seek legal redress and pledged full cooperation with the Ombudsman during the preliminary investigation.
“With the able representation by the Solicitor General, I welcome the opportunity to clarify the issues, prove my innocence, and debunk the allegations put forth,” Recto stated.
He also reiterated his belief that “no criminal liability may attach to me, as former Secretary of Finance, for acting in good faith and in accordance with a direct mandate from Congress in ordering the remittance of PhilHealth’s unused funds,” referencing the opinion of Supreme Court Justices.
Recto concluded by stating that he would remain focused on “improving government performance and services” and would not be distracted by “political noise.”
