The Office of the Ombudsman has dismissed complaints against Finance Secretary Ralph Recto and Philippine Health Insurance Corporation (PhilHealth) president Emmanuel “Mandy” Ledesma due to lack of evidence to support criminal charges.

The case stemmed from the alleged anomalous transfer of P60 billion from PhilHealth’s reserve funds to the National Treasury in 2024, which was later ruled unconstitutional by the Supreme Court. Complainants sought charges of technical malversation, plunder, and grave misconduct against the officials.

The funds were later returned to PhilHealth in September 2025 on the order of President Ferdinand “Bongbong” Marcos Jr., with the agency saying it would use the amount to improve services for its members.

In a resolution dated 2 June, the Ombudsman said it found no sufficient basis to proceed with the complaints.

“The criminal complaints against Ralph Gonzalez Recto and Emmanuel Rufino Ledesma Jr. are dismissed for lack of prima facie evidence with reasonable certainty of conviction,” the resolution read.

In their counter-affidavits, Recto and Ledesma denied wrongdoing, saying the fund transfer was done in good faith and without personal gain.

Recto argued that the movement of public funds alone does not constitute plunder, adding that there was no proof any portion of the money went to him or his associates.

Ledesma, for his part, said the transfer was carried out under provisions of the 2024 General Appropriations Act and related Department of Finance circulars, which he said were binding at the time.

He also said PhilHealth’s compliance was mandatory, citing possible administrative and criminal sanctions for noncompliance.