PhilHealth still has P714 million debt to Red Cross for COVID-19 testing

By: - Reporter / @DYGalvezINQ
/ 12:14 PM August 17, 2020

MANILA, Philippines — The Philippine Health Insurance Corp. still has to pay about P714 million to the Philippine Red Cross for its COVID-19 testing.

PhilHealth Vice President Oscar Abadu revealed this on Monday during a House probe on the state insurer’s corruption allegations.


The agency recently made a payment of about P123 million to Red Cross but it still has to settle its payment of about P714 million to the humanitarian organization.

Abadu explained that it cannot process immediately the claims of Red Cross as it was only submitted recently.


“We have already paid last Tuesday around P123 million. However, they submitted a new list of billing since Thursday, Friday and Saturday, and that is the claim for the P714 million,” he said.

“So far, kaka-receive pa lang namin, and we cannot also process immediately while it was just submitted three, four days ago,” the PhilHealth official added.

Red Cross chairman and CEO Senator Richard Gordon earlier said the organization could suspend its COVID-19 testing due to the failure of PhilHealth to pay its remaining balances.

PhilHealth’s non-payment of its debt will prevent the Red Cross from ordering the needed test kits to replenish its dwindling supply, thus forcing the PRC to stop its operations in its testing center in Manila, the senator added.

The PRC will also not be able to open its newly-built laboratories in Bacolod, Zamboanga and Cagayan de Oro City.

READ: PRC most likely to suspend COVID-19 testing due to PhilHealth’s debt

PhilHealth is currently under fire following claims of massive corruption within the agency.


Among allegations of corruption raised involve the procurement of alleged overpriced IT equipment; a supposedly questionable release of funds under the corporation’s Interim Reimbursement Mechanism (IRM); and the alleged manipulation of the corporation’s financial status.

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TAGS: COVID-19 Testing, P714 million, Red Cross
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