Ombudsman files graft charges against Duque, Lao over DOH fund transfer

Former President Rodrigo Duterte authorized the transfer of P47.6 billion from the Department of Health (DOH) to the Procurement Service of the Department of Budget and Management (PS-DBM) for purchasing COVID-19 supplies during the pandemic emergency, as confirmed by former Health Secretary Francisco Duque III during a House committee hearing on Monday.

Duque clarified Tuesday that his statement was taken out of context, insisting that the transfer was necessary due to the urgent need for personal protective equipment (PPE) at the onset of the pandemic in April 2020.

He added that Duterte's directive was consistent with the national policy embodied in the Bayanihan to Heal as One Act and had been openly communicated during numerous cabinet meetings and public addresses, while also defending the transfer as above board and necessary under existing laws.

The Office of the Ombudsman has ordered the filing of graft charges against Duque and former DBM Undersecretary Christopher Lao for an 'irregular transfer' of DOH funds, following a COA report that some funds were used to contract Pharmally Pharmaceutical Corp., accused of overpricing medical supplies.

Duque maintains that the procurement was urgent and necessary during a critical shortage of PPEs, emphasizing the need for swift action in response to the health crisis.