Morales says he ”miscalculated” time to set up IT system

August 11, 2020

Philippine Health Insurance Corp (PhilHealth) president Ricardo Morales said he ''miscalculated the time required to get the IT system up and running'' but stressed he will continue to investigate the ''systemic'' fraud in the agency.

Morales made this statement virtually as the Senate held its second hearing on the PhilHealth controversy. His doctor, in a letter to the Senate, said the retired Army general had lymphoma and needed treatment.

''Fraud has always been in the system as it has always been in al similar health systems of the world. The problem is systemic and cannot be solved in one year and not even three years'' Morales said in his opening statement.

''I miscalculated the time required to get the IT system up and running. one year was not enough. The budget was inadequate for the job. The internal anti-fraud mechanisms were inadequate and in appropriate to address the internal weaknesses'' he said.

Morales was referring to the P2.1 billion infotech deal which would, among others, fix PhilHealth membership list. His critics claimed this deal was overpriced and several officials resigned allegedly over this.

''The resources necessary for the transformation of an organization of this size and the mission  given to it are not found within the organization,'' he said.

' From management. in all humility we commit hard work and dedication  transparency and full cooperation in this investigation with all agencies so we can achieve the goals of universal healthcare'' he said.

On Monday, Defense Secretary Delfin Lorenzana said that given Morales' medical condition it was best for him to quit.

Defense Secretary Delfin Lorenzana said it is best for Philippine Health Insurance Corp. (PhilHealth) chief executive officer and President Ricardo Morales to resign from his position to rest and recover from his health condition.

"But if I were in his position, I would resign already because it's already a health problem, health issues," Lorenzana told ANC's Headstart on Monday.

"If I were him, confronted by that sickness that will incapacitate me to do my job, for even one, two weeks, one month or six weeks, I think the best thing to do there so that he can rest and recover is to resign," he added.

In another interview, Lorenzana said he did not believe Morales was involved in any corruption in PhilHealth.

"I know him personally and I don't think he has been involved in some of the anomalies there. It so happened that he is in the helm so he need to answer the questions of Senate and any investigators," Lorenzana added. DMS/Robina Asido