RECTO, CABINET OFFICIALS FACE PLUNDER RAP OVER ALLEGED FUND DIVERSION

An independent health reform advocate has filed plunder and technical malversation charges before the Office of the Ombudsman against Executive Secretary Ralph Recto and several Cabinet officials over the alleged diversion of ₱60 billion from Philippine Health Insurance Corp. and ₱107 billion from Philippine Deposit Insurance Corp.. 

The complaint alleges that the fund transfers were illegal and violated laws governing universal health care and earmarked insurance funds. 

It claims the officials intentionally misused public money, even without proof of personal enrichment, constituting technical malversation. 

The case stems from the 2025 transfer of PhilHealth reserves to the National Treasury, which was later ordered returned by the Supreme Court for inclusion in the 2026 budget. 

Recto has dismissed the complaint as a “nuisance” and “harassment case,” insisting the funds were transferred in good faith and under lawful authority.

Source: PhilNews24 | May 26, 2026

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