Group seeks Ombudsman review of dismissed PhilHealth fund transfer case

A group of doctors and lawyers has filed a motion for reconsideration asking the Office of the Ombudsman to revisit its decision dismissing complaints against Executive Secretary Ralph Recto and former Philippine Health Insurance Corp. (PhilHealth) President Emmanuel Ledesma over the transfer of P60 billion in excess PhilHealth funds to the National Treasury in 2024.

In a resolution released on 9 June, the Ombudsman ruled that the complaints lacked prima facie evidence to establish that the two officials committed a crime in the performance of their duties.

However, lawyer Rodel Taton, one of the complainants, argued that the anti-graft body's ruling failed to consider the broader context surrounding the fund transfer.

“We are looking at the greater picture of this entirety because if we will look into one portion of the appropriations bill and the law itself, we have to look into the acts prior, during the time, and after,” Taton said.

According to Taton, investigators should also examine Recto's role as the former representative of Batangas' 6th District and a member of the bicameral conference committee that approved the 2024 General Appropriations Act (GAA).

The complainants pointed to Special Provision 1(d) of the 2024 GAA, which allows reserve funds of government-owned and controlled corporations to be transferred to the National Treasury for unprogrammed appropriations.

They alleged that the provision was inserted during bicameral deliberations and did not appear in either the Senate or House versions of the national budget.

The motion also noted that Recto was appointed secretary of the Department of Finance weeks after President Ferdinand Marcos Jr. signed the 2024 national budget into law.

The complainants likewise raised concerns over the increase in unprogrammed appropriations allocated to Lipa City, Batangas, which they said rose from P50 million in 2023 to P3.6 billion in 2024.

They also alleged that 33 infrastructure projects were awarded to the city, with one of the contractors identified as Construction Workers Solidarity Party-list Rep. Edwin Gardiola, whom they described as a running mate of the Recto family during the 2025 national elections.

The original complaints sought to hold Recto and Ledesma liable for technical malversation, graft and plunder in connection with the transfer of the PhilHealth funds.