Manila: Executive Secretary Ralph Recto on Thursday said the government has fully complied with the Supreme Court's ruling on the transfer of Philippine Health Insurance Corp. (PhilHealth) funds, as he reiterated his innocence amid new complaints filed before the Office of the Ombudsman. 'We respect the right of any individual or group to seek legal remedies and to avail themselves of the processes provided under our laws,' Recto said in a statement.
According to Philippines News Agency, the issue has already been addressed by the Supreme Court, and the government has fully complied with its ruling. Consistent with this, funding for PhilHealth has since been restored and even augmented in order to better serve the citizens. Recto issued the statement after a coalition of doctors, health advocates, and lawyers filed plunder, technical malversation, and graft complaints against him and former PhilHealth president Emmanuel Ledesma Jr.
The complaint is linked to the transfer of PHP60 billion in PhilHealth's excess reserve funds to the national treasury. In the 31-page complaint, the group asked the Ombudsman to conduct a preliminary investigation to determine possible criminal, civil, and administrative liability, including grave misconduct. The complainants claimed the transfer violated Republic Act 7875, or the National Health Insurance Act of 1995, and Republic Act 11223, or the Universal Health Care Act.
Recto, who was finance secretary at the time of the fund transfer, maintained that he acted in good faith and under congressional authority. 'Let me also reiterate my innocence, as opined by Supreme Court Justices, that no criminal liability may attach to me, as former Secretary of Finance, for acting in good faith and in accordance with a direct mandate from Congress in ordering the remittance of PhilHealth's unused funds,' he said.
The complainants also noted that the funds transferred to the national treasury were later allocated to unprogrammed appropriations under the 2024 General Appropriations Act, allegedly causing damage and prejudice to PhilHealth members and the public. In a Dec. 3, 2025 ruling, the Supreme Court unanimously ordered the return of the PHP60 billion remitted to the national treasury and permanently barred the transfer of the remaining PHP29.9 billion in PhilHealth funds. The decision, penned by Associate Justice Amy Lazaro-Javier, did not rule on Recto's alleged criminal liability as the petitions were limited to determining grave abuse of discretion.
Recto said he remains focused on governance. 'We remain confident that the facts and the law are clear, and that the appropriate institutions will evaluate any allegations fairly and objectively,' he said. 'For our part, we will continue to uphold the rule of law, respect due process, and work to uplift the lives of our kababayan. I will not get distracted by political noise. The work of improving government performance and services is my priority,' he added.
