Manila Bulletin
Troubled PhilHealth officials could face 632 malversation cases
Senator Panfilo Lacson stated that PhilHealth's P14 billion Interim Reimbursement Mechanism (IRM) involved over 600 cases of malversation.
Lacson explained that each of the 632 illegal disbursements under the IRM could be considered a separate case of malversation.
He further noted that 339 of these disbursements exceeded P8.8 million, an amount punishable by life imprisonment under the Revised Penal Code.
The Senate Committee of the Whole's report declared all IRM cash advances made from March 25 to June 9, 2020, as illegal because the supporting circular was only filed with the ONAR on June 11, 2020.
Allegations of favoritism in the distribution of IRM funds also emerged during the Senate hearings.
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The Senate Committee of the Whole recommended filing malversation and other criminal charges against Health Secretary Francisco Duque III and resigned PhilHealth president and chief executive officer Ricardo Morales for alleged improper and illegal implementation of the Interim Reimbursement Mechanism (IRM).
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PhilHealth President and CEO Ricardo Morales, who resigned on August 26, acknowledged that fraud is a significant issue within the corporation, citing a 2019 study that indicated an annual loss of P10 billion in 2019.
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Philippine Health Insurance Corporation (PhilHealth) President Ricardo C. Morales resigned, with President Rodrigo R. Duterte accepting his resignation ostensibly to allow him to focus on his cancer treatment.
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Former Budget Secretary Florencio "Butch" Abad has denied the allegations of diverting P10.6 billion in PhilHealth funds, calling the Senate Blue Ribbon Committee's recommendation for criminal charges against him "baseless."
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Health Secretary Francisco Duque III expressed disappointment over the Senate's recommendation to file criminal charges against him concerning the PhilHealth Interim Reimbursement Mechanism (IRM).
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