SC halts PhilHealth fund transfer to treasury

enablePagination: false
maxItemsPerPage: 10
totalITemsFound:
maxPaginationLinks: 10
maxPossiblePages:
startIndex:
endIndex:

Supreme Court facade (File photo)

Metro Manila, Philippines — The Supreme Court has issued a temporary restraining order (TRO) on the further transfer of the state health insurer’s surplus funds to the national treasury.

Three consolidated petitions challenged the return of the P89.9 billion of the Philippine Health Insurance Corp. (PhilHealth) to the Bureau of the Treasury. The Finance department earlier recommended the fund transfer for unprogrammed budget items. Of the P89.9 billion, P60 billion had been transferred to state coffers in at least three tranches earlier this year.

According to the Department of Budget and Management, unprogrammed appropriations are those which provide standby authority to incur additional agency obligations for priority programs or projects when revenue collection exceeds targets, and when additional grants or foreign funds are generated.

The petitioners were 1SAMBAYAN Coalition, Bayan Muna chairperson Neri Colmenares, and Senator Koko Pimentel.

Colmenares and co-petitioner Bayan Muna vice chairperson Teddy Casiño praised the issuance of the stay order.

“The transfer of these funds would have jeopardized the benefits of countless Filipinos relying on PhilHealth for essential health services. This decision prevents a grave injustice from occurring,” Colmenares said.

“The TRO reflects our assertion that the transfer of PhilHealth’s essential resources to unallocated funds undermines the organization’s primary purpose — to provide adequate health coverage to our people," Casiño, on the other hand, said.

Pimentel, meanwhile, was thankful that nearly P30 billion remains with PhilHealth.

“Kunwari nakuha na lahat ng halaga, tapos manalo kami sa kaso, ang remedy is o-order-an si national government to reimburse, return, or to refund the PhilHealth. Mahaba-habang proseso 'yan,” he told NewsWatch Plus in an interview.

[Translation: For instance, the full amount was transmitted, and we won the case, the remedy is that the national government will be ordered to reimburse, return, or refund PhilHealth. That is a long process.]

PhilHealth said it respects and will follow the court’s decision.

“We remain focused on our mission to provide all Filipinos with adequate financial protection against health risks through better and responsive benefit packages and availment policies that ensure greater access to healthcare services whenever and wherever they need them most,” it said in a statement.

Finance Secretary Ralph Recto earlier said that the use of PhilHealth’s idle funds will not affect the insurer’s daily operations and will not impact member contributions.