Manila: Executive Secretary Ralph Recto on Monday expressed his readiness to cooperate with the Office of the Ombudsman following the filing of complaints against him. These complaints are linked to the transfer of Philippine Health Insurance Corp. (PhilHealth) funds to the National Treasury.

According to Philippines News Agency, the Save the Philippines Coalition has filed complaints accusing Recto and former PhilHealth president and CEO Emmanuel Ledesma Jr. of technical malversation, plunder, and grave misconduct. These allegations arise from the transfer of PHP60 billion in PhilHealth reserve funds to the National Treasury during Recto's tenure as Secretary of Finance.

Recto stated, "I respect every citizen's right to seek redress before the courts and will fully cooperate with the Office of the Ombudsman during the conduct of preliminary investigation." He emphasized his willingness to address the allegations through proper legal channels and expressed confidence that the issues would be clarified.

He further noted, "I welcome the opportunity to clarify the issues raised by the Save the Philippines Coalition, with representation by the Office of the Solicitor General." Despite the complaints, Recto remains focused on his duties as Executive Secretary, asserting that government work would not be derailed by the ongoing issue.

In 2024, an order was issued by the Department of Finance to transfer PHP89.9 billion in unused PhilHealth subsidies to the Treasury. Of this amount, PHP60 billion had been remitted, with approximately PHP29 billion still with PhilHealth due to a temporary restraining order issued by the Supreme Court.

The High Court unanimously ruled that the transfer of PHP60 billion to the national treasury was unconstitutional and ordered its return to PhilHealth. It also permanently prohibited the transfer of the remaining PHP29.9-billion fund balance.

Recto, in a separate statement, emphasized that the Supreme Court has affirmed his innocence, stating that he acted in good faith and followed a direct mandate from Congress. He reflected on his long career in public service, noting that this was the first case of its kind he had encountered.

PhilHealth's reserve funds, generated from member contributions and government subsidies, are essential for ensuring the sustainability of benefits and operations of the state health insurer.