PhilHealth exec admits IRM funds released before June 11 ‘illegal’

MANILA, Philippines — A high-ranking official of the Philippine Health Insurance Corp.(PhilHealth) admitted Thursday that some interim refund mechanism (IRM) funds the agency released were “illegal.”

During the joint hybrid hearing by the House committee on public accounts and the committee on good government and public accountability, Deputy Speaker Rodante Marcoleta grilled PhilHealth officials on the release of IRM funds to various healthcare facilities.

PhilHealth Circular No. 2020-007 or Guidelines on the Provisions of Special Privileges to those Affected by a Fortuitous Event, signed on March 20, states that the circular would take effect “immediately from its publication in a newspaper of general circulation and three certified true copies had been furnished the Office of National Administrative Register (ONAR) of the UP Law Center.”

However, Marcoleta said ONAR was only able to receive a copy of the circular on June 11, which means that while the circular was signed March 20, it would only take effect on June 11.

“Ang tinatanong ko sa’yo (I’m asking you), what happened to the funds disbursed prior to this date? Say, March, April, May, and June 10? What happened to those funds?” Marcoleta asked.

PhilHealth Senior Vice President Rodolfo del Rosario Jr. responded: “It would appear that those funds were not released based on the prerequisite set by the circular on the publication and the furnishing of copies to the ONAR.”

Marcoleta, clearly dissatisfied with the response, further grilled del Rosario and sought “better explanation” on the matter.

“So it is without authority, it would appear, Mr. Chair,” del Rosario said.

Anakalusugan Rep. Mike Defensor, who chairs the House committee on public accounts, then chimed in to say that the release of the funds may have been illegal.

Marcoleta then asked del Rosario if he agrees with Defensor’s remark that the release of the funds was illegal, to which the PhilHealth official responded: “Yes, I agree, Mr. Chairman.”

“I agree with Mr. Chairman that it is illegal,” del Rosario said.

IRM is an emergency cash advance measure of PhilHealth to provide hospitals with an emergency fund to respond to natural disasters, calamities as well as other unexpected events.

PhilHealth earlier announced the suspension of the IRM after several senators called for its temporary halt amid allegations that the release of funds for the country’s coronavirus response was marred with irregularities. [ac]