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'Public funds plundered': Senate committee seeks raps vs Duque, Pharmally execs

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Job Manahan, ABS-CBN News

<div class="embed-wrap"><figure data-feedback="fb:likes,fb:comments"><img alt="https://sa.kapamilya.com/absnews/abscbnnews/media/2022/tvpatrol/02/01/odrigo-duterte_francisco-duque_michael-yang.jpg" src="https://sa.kapamilya.com/absnews/abscbnnews/media/2022/tvpatrol/02/01/odrigo-duterte_francisco-duque_michael-yang.jpg"/></figure></div><h3>Blue Ribbon: Duterte &#x27;betrayed public trust&#x27;</h3>MANILA (4th UPDATE)— The Senate Blue Ribbon Committee has recommended the filing of charges against Health Secretary Francisco Duque III and other officials of Pharmally Pharmaceutical Corp. for allegedly plundering public funds meant to address the pandemic, a preliminary report showed on Tuesday. The Senate committee also recommended charges against other key individuals tagged in the probe —former presidential economic adviser Michael Yang, former budget undersecretary Lloyd Christopher Lao, and Overall Deputy Ombudsman Warren Liong, a former director at the Department of Budget and Management-Procurement Service (PS-DBM).<ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/spotlight/10/06/21/senators-focus-on-pharmally-officials-as-cabinet-execs-barred">READ: Senators focus on Pharmally officials as Cabinet execs barred</a></li>	<li><a href="https://news.abs-cbn.com/news/11/04/21/gordon-delay-in-senate-probe-on-pandemic-deals-because-of-duterte">READ: Gordon blames Duterte for &#x27;delay&#x27; in Senate probe on pandemic deals, Pharmally</a></li></ul>In its partial report, the Senate Blue Ribbon Committee said senators found that &quot;public funds (were) plundered as the Filipino people struggled&quot; during the COVID-19 pandemic. The panel said the government &quot;favored an unqualified, undercapitalized company&quot; that was assisted by China-based businessman Yang, President Rodrigo Duterte&#x27;s former economic adviser. Yang earlier denied the claims and said he only introduced &quot;friends&quot; to Pharmally executives to aid in the pandemic supply deals with PS-DBM. <ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/12/21/21/appointment-of-pharmally-exec-meant-to-ensure-michael-yang-gets-paid">READ: Appointment of one Pharmally exec meant to ensure Michael Yang gets paid: firm&#x27;s chair</a></li></ul>Duterte, on the other hand, &quot;betrayed public trust&quot; as he continued to defend the personalities &quot;close to him&quot; who are also linked in the deals, the Blue Ribbon Committee said. &quot;Instead of ensuring that crucial supplies were made available, the public servants who were supposed to be responsible for the people’s welfare lined their pockets, acquiring grossly overpriced equipment for stockpiling, favoring an unqualified, under capitalized company,&quot; the preliminary report signed by committee chairman Sen. Richard Gordon read. <blockquote class="twitter-tweet">In its partial report, the Senate Blue Ribbon Committee said that &quot;public funds are plundered as the Filipino people struggled&quot; during the COVID-19 pandemic. <a href="https://t.co/JqkSH5Ot6N">https://t.co/JqkSH5Ot6N</a>— Job Manahan (@jobmanahan) <a href="https://twitter.com/jobmanahan/status/1488461784847904771?ref_src=twsrc%5Etfw">February 1, 2022</a></blockquote><div><script async="" src="https://platform.twitter.com/widgets.js" charSet="utf-8" type="text/javascript"></script></div>&quot;[They were] exceedingly assisted by the foreign citizen Presidential Adviser on the economy who turned out to be so influential in the critical acquisition of supplies favoring his supplier-friends abroad,&quot; it added. The committee recommended the following personalities to be charged in violation of the Plunder Law and the Anti-Graft and Corrupt Practices Act:<ul>	<li>Health Secretary Francisco Duque III </li>	<li>Lloyd Christopher Lao</li>	<li>Warren Rex Liong</li>	<li>Linconn Ong</li>	<li>Mohit Dargani</li>	<li>Twinkle Dargani</li>	<li>Krizle Grace Mago</li>	<li>Huang Tzu Yen</li>	<li>Michael Yang</li>	<li>Lin Weixiong</li></ul>The panel also recommended filing charges against a certain Dickson Panti for allegedly violating the Anti-Graft and Corrupt Practices Act.The report also said Lin, Yang, and Qing Jin Ke should be deported for being &quot;undesirable aliens.&quot; The following, meanwhile, could face charges for perjury/ false testimony, the committee said: <ul>	<li>Linconn Ong</li>	<li>Krizle Mago</li>	<li>Mohit Dargani </li>	<li>Rose Nono Lin </li></ul>These individuals were also recommended to be charged for allegedly violating the Government Procurement Reform Act:<ul>	<li>Lloyd Christopher A. Lao</li>	<li>Warren Rex H. Liong</li>	<li>Huang Tzu Yen</li>	<li>Twinkle Dargani</li>	<li>Mohit Dargani</li>	<li>Linconn Ong</li>	<li>Krizle Grace Mago</li>	<li>Lin Weixiong</li></ul>The following should be charged of disobedience to summons issued by Congress: <ul>	<li>Linconn Ong</li>	<li>Mohit Dargani</li>	<li>Michael Yang</li></ul>The following people, meanwhile, violated the Revised Corporation Code, according to the committee report:<ul>	<li>Huang Tzu Yen</li>	<li>Twinkle Dargani</li>	<li>Mohit Dargani</li>	<li>Linconn Ong</li>	<li>Krizle Grace Mago</li>	<li>Lin Weixiong</li></ul>Falsification of public documents were allegedly committed by the following: <ul>	<li>Warren Liong</li>	<li>Jorge L. Mendoza</li>	<li>Mervin Ian D. Tanquintic</li></ul>The panel is also seeking estafa charges against Mago and Mohit Dargani, while Lao and Liong, the lawmakers said, should be charged with Fraud Against the Public Treasury and Similar Offenses. <ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/10/19/21/grand-conspiracy-gordon-says-pharmally-deals-approved-by-duterte">READ: Gordon accuses Duterte of &#x27;grand conspiracy&#x27; in Pharmally deals as probe continues</a></li></ul>Some senators have said that Pharmally won some P11 billion in government contracts from 2020 to 2021 for face masks and COVID-19 test kits, even though it was only incorporated in 2019 and only had a capital of about P625,000.<div>BETRAYAL OF PUBLIC TRUST</div>The committee criticized Duterte for intervening in their investigation and for his failure to go after those being tagged in the alleged anomalies. &quot;Unfortunately, based on the President’s own behavior, one cannot help but conclude that he was aware of, allowed, and condoned the misdeeds of his closest associates and appointees. For this, he must be held accountable,&quot; the partial report read.Senators also questioned Duterte&#x27;s intent for defending the people close to him— notably Lao and Yang — and for issuing an <a href="https://news.abs-cbn.com/news/10/05/21/duterte-formally-bans-aides-from-joining-senate-probe">order barring executive officials</a> from attending the Senate hearing. <ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/10/19/21/grand-conspiracy-gordon-says-pharmally-deals-approved-by-duterte">READ: Gordon accuses Duterte of &#x27;grand conspiracy&#x27; in Pharmally deals as probe continues</a></li></ul>The committee report said Duterte discredited the Commission on Audit&#x27;s findings and the Senate&#x27;s mandate to investigate such matters &quot;and in doing so attempting to render inutile the Senate’s role in investigating corruption.&quot;&quot;Why the massive attack and offensive based on false and unfounded accusations against a co-equal branch of government that was merely doing its job to protect the country?&quot; the report said. &quot;This is not only from the unseen enemy that is COVID-19, but also from perfidious enemies from within who deprived, for the sake of a greedy few, the Filipino people of the protection and succor that they needed during the most trying time of their lives,&quot; it read.<figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=1913319" width="100%"></iframe></figure><div class="iwantbar">Watch more in <a href="//www.iwantv.com.ph/">iWantv</a> or <a href="//tfc.tv/">TFC.tv</a></div>Malacañang cannot yet comment on the committee report as it has yet to receive a copy and the document has not been adopted yet by the Senate, said acting presidential spokesman Karlo Nograles.&quot;&#x27;Di pa yan adopted ng committee. Partial pa lang &#x27;yan and unofficial kumbaga. At hindi pa &#x27;yan ina-adopt ng committee o kahit ng Senado. It’s just, right now, not something we cannot truly comment on kasi hindi pa naman official and it&#x27;s just a partial report,&quot; he told ANC&#x27;s Headstart.(It&#x27;s not yet adopted by the committee or even the Senate. It&#x27;s just partial and unofficial. Right now, It&#x27;s not something we cannot truly comment on because it&#x27;s not yet official and it&#x27;s just a partial report.)&quot;Paulit-ulit na sinasabi naman ni Pangulong Duterte sa kanyang Talk To The People program, file-an niyo ng kaso ang kailangan niyong file-an ng kaso. Wala siyang pinoproteksyunan dito. Sino man ang dapat kasuhan, kasuhan ninyo.&quot;(President Duterte has repeatedly said in his Talk To The People program, file cases against those who are liable. He&#x27;s not protecting anyone here. People who need to be charged should be charged.)Duterte had maintained that the Pharmally deals were above board, even as he told lawmakers to &quot;crumple&quot; the company.<div>&#x27;PREMEDITATED PLUNDER&#x27;</div>The committee described the government deals as &quot;premeditated&quot;, with Lao designated as the &quot;concertmaster.&quot; Lao was in charge of handling some P<a href="https://news.abs-cbn.com/news/08/18/21/doh-transferred-p42b-to-dbm-to-mask-unobligation-rate-inefficiency-drilon">42 billion in funds</a> that the Department of Health (DOH) transferred to the PS-DBM without proper documentation, the investigating panel earlier found. <ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/08/19/21/go-denies-ties-to-ex-official-in-flagged-p42-b-fund-transfer">READ: Bong Go denies ties to ex-DBM official linked to P42-billion DOH fund transfer</a></li></ul>The committee described the government deals as &quot;premeditated&quot; with Lao designated as the &quot;concertmaster.&quot; Lao was in charge of handling some <a href="https://news.abs-cbn.com/news/08/18/21/doh-transferred-p42b-to-dbm-to-mask-unobligation-rate-inefficiency-drilon" target="_blank">P42 billion</a> in funds that the Department of Health (DOH) transferred to the PS-DBM without proper documentation, the investigating panel earlier found. “The pre-meditated plunder commences with appointing an all-in-one trusted election supporter, a bent lawyer who reports and is accountable only to the President and to no other, is plentifully corrupt, and one who has a deplorable sense of indifference to the suffering of others, to a low-profile, but which turns out to be a highly-lucrative government posting,” a separate Senate press release read, citing the report.“As concertmaster, he ensures that the contracts are given mostly to a favored or favorite supplier even if the corporation will not even qualify technically, legally, and financially,” it added.Liong&#x27;s ties with Lao and Duterte also led lawmakers to allege that he too, influenced the supply deals when he was still in PS-DBM. <ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/09/21/21/deputy-ombudsman-linked-to-pharmally-deal-ready-to-inhibit-from-case">READ: Deputy ombudsman linked to Pharmally deal ready to inhibit from case</a></li></ul>When asked what his role was in the Pharmally deal, Liong had said he was only &quot;recommending approval of the procurement based on the records, documents&quot; submitted to him. “After all the major contracts had been consummated and paid for, the need for protection, in case the plot is discovered, had become imperative,&quot; the statement read, referring to Liong. &quot;There had to be a rear-guard action to cover the retreating conspirators from any legal peril that could surface later. A getaway plan must be put into action,” it added. <div>REACTIONS</div>“The pre-meditated plunder commences with appointing an all-in-one trusted election supporter, a bent lawyer who reports and is accountable only to the President and to no other, is plentifully corrupt, and one who has a deplorable sense of indifference to the suffering of others, to a low-profile, but which turns out to be a highly-lucrative government posting,” a separate press release read, citing their report.“As concertmaster, he ensures that the contracts are given mostly to a favored or favorite supplier even if the corporation will not even qualify technically, legally, and financially,” the senators said. Lion&#x27;s ties with Lao and Duterte also led the lawmakers to allege that he also influenced the supply deals when he was still in PS-DBM. <ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/09/21/21/deputy-ombudsman-linked-to-pharmally-deal-ready-to-inhibit-from-case">Deputy ombudsman linked to Pharmally deal ready to inhibit from case</a></li></ul>When asked what his role was in the Pharmally deal, Liong had said he was only &quot;recommending approval of the procurement based on the records, documents&quot; submitted to him. “After all the major contracts had been consummated and paid for, the need for protection, in case the plot is discovered, had become imperative,&quot; the statement read, referring to Liong. &quot;There had to be a rear-guard action to cover the retreating conspirators from any legal peril that could surface later. A getaway plan must be put into action,” it added. <div>REACTIONS</div>Lawyer Ferdinand Topacio, who represents Ong and Dargani, claimed the Senate report contains &quot;nothing but reiterations&quot; of &quot;unfounded claims&quot; against his clients. Topacio alleged that the panel is just using the proceedings to &quot;milk it to the last drop to boost their floundering candidacies.&quot; &quot;Before the courts, I am confident that the evidence will lead to the eventual acquittal of our clients from the charges recommended by the BRC, whose report is, to quote Shakespeare, &#x27;full of sound and fury, signifying nothing,&#x27;&quot; said Topacio. The health department has yet to receive a copy of the committee report, its spokesperson Undersecretary Maria Rosario Vergeire said.&quot;Rest assured itong (these) issues na &#x27;to will not affect the work and commitment of the DOH... We&#x27;re just waiting for the formal report to be forwarded to us para mas mapag-aralan natin at makasagot tayo kung sakaling may kasagutan na hinihingi,&quot; she told reporters.(We&#x27;re just awaiting for the formal report to be forwarded to us so we can study this and we can respond if it is required.)Justice Secretary Menardo Guevarra, meanwhile, said the two Congressional committees will endorse their respective reports to the Department of Justice and the Office of the Ombudsman &quot;for appropriate action.&quot; &quot;On the part of the DOJ, it will make a preliminary evaluation to determine if there is a need to refer the reports to the (National Bureau of Investigation) for validation of the evidence. If in the affirmative, the NBI will be directed to conduct its investigation and build, if necessary, on the evidence already gathered by Congress,&quot; he said.<figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=1911927" width="100%"></iframe></figure><div class="iwantbar">Watch more in <a href="//www.iwantv.com.ph/">iWantv</a> or <a href="//tfc.tv/">TFC.tv</a></div>

The panel found that the government 'favored an unqualified, undercapitalized company' that was assisted by businessman Michael Yang, President Rodrigo Duterte's former economic adviser. 

'Public funds plundered': Senate committee seeks raps vs Duque, Pharmally execs

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'Public funds plundered': Senate committee seeks raps vs Duque, Pharmally execs

Job Manahan,

ABS-CBN News

Published Feb 01, 2022 06:53 PM PHT

|

Updated Feb 02, 2022 08:23 PM PHT

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Pharmally

Pharmally Pharmaceutical Corp

preliminary report

Pharmally deals

Richard Gordon

Blue Ribbon Committee

Dargani

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