Ombudsman clears Recto of plunder and graft charges

The Office of the Ombudsman has dismissed criminal complaints against Executive Secretary Ralph Recto and former PhilHealth CEO Emmanuel Ledesma over the 2024 transfer of P60 billion in PhilHealth funds.

In a consolidated resolution dated June 2 and released to media on June 9, the Ombudsman ruled there was insufficient evidence to support charges of plunder, graft, malversation, and technical malversation. The complaints stemmed from Recto’s order as finance secretary to move unused PhilHealth reserves to the national treasury under the 2024 General Appropriations Act. The Ombudsman noted that the subsequent return of the P60 billion to PhilHealth negated any claim of personal enrichment. It also found no proof of corrupt intent or bad faith by either Recto or Ledesma. The complaints had been filed by the Save the Philippines Coalition and a group led by lawyer Rodel Taton. The Supreme Court had earlier declared the fund transfer provision void in December 2025.

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Illustration of Supreme Court voiding Duterte's dismissal of deputy ombudsman Carandang, awarding backwages and benefits.
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SC voids Duterte's dismissal of deputy ombudsman Carandang

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The Supreme Court has voided former president Rodrigo Duterte's 2018 dismissal of overall deputy ombudsman Melchor Arthur Carandang. The court awarded Carandang backwages and retirement benefits up to the end of his 2020 term. The Third Division ruled on January 29, 2026, that the president lacks disciplinary authority over a deputy ombudsman.

Dr. Anthony Leachon filed plunder and technical malversation charges on May 24 against Executive Secretary Ralph Recto and other officials over the diversion of P60 billion from PhilHealth and P107 billion from PDIC.

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The Office of the Ombudsman has asked the Sandiganbayan to bar Sen. Rodante Marcoleta, former congressman Mike Defensor and two others from leaving the country after they were indicted for plunder and related charges over a P75-million campaign donation.

The Philippine Health Insurance Corporation (PhilHealth) board underwent a reshuffle during the low-scrutiny period of Holy Week. Officials used SEC Memorandum Circular No. 7, Series of 2026, and the Governance Commission for GOCCs (GCG) Expert Reclassification Program to replace sectoral representatives with an Expert Panel. Critics have questioned the lack of transparency in the move.

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Department of Health Undersecretary Glenn Mathew Baggao faces graft and administrative complaints before the Ombudsman over an alleged conflict of interest in health infrastructure projects awarded to his brother's firm. A group of concerned health workers filed the complaint on Thursday, April 30, 2026. They accuse Baggao of using his position to influence fund allocation.

Senate President Pro Tempore Panfilo Lacson said the Blue Ribbon committee recommends abolishing the alleged “leadership fund” and banning “allocables” in the national budget as part of its flood control probe. Initial findings show the House leadership controls at least P143.5 billion in “allocables.”

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Ombudsman Jesus Crispin Remulla insisted he will not inhibit from the probe linking former House Speaker Martin Romualdez to the flood control scandal. He confirmed a Court of Appeals freeze order on Romualdez's assets and warned of more cases to come. Hold departure orders were also sought against former Senate President Francis Escudero and businessman Maynard Ngu.

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