![A health worker in PPE [personal protective equipment] ministers to patients in the chapel of Quezon City General Hospital, which has been turned into a Covid-19 ward amid rising Delta variant infections in the Philippines. Questions have been raised concerning overpriced medical gear and equipment p urchased by the Philippine government. Photo: CNS/Eloisa Lopez, Reuters](http://examiner.org.hk/wp-content/uploads/2021/09/PHILIPPINES-LANAO-DELTA-1507665_preview-675x360.jpg.webp)
MANILA (UCAN): Philippine senators have launched an investigation into how and why an ally of the president, Rodrigo Duterte, was awarded a multi-million-dollar contract by the government to supply “overpriced” facemasks and other medical equipment in the fight against Covid-19 [SARS-CoV-2].
The Senate probe comes amid accusations of cronyism and corruption surrounding the deal.
Michael Yang, Duterte’s former economic adviser, was targeted after his company, Pharmally Pharmaceutical Corporations, won an 8.82 billion peso [$1.37 billion) contract to supply facemasks, test kits and other medical supplies to government health facilities.
Opposition senator, Richard Gordon, claimed the facemasks were more than double the market price.
“Why did the government bring in this company that sold very expensive facemasks? The normal market price for each piece is 13.5 pesos [$2.10] while Pharmally’s are 27.7 pesos [$4.31] per piece.” he told reporters at a September 6 Senate hearing on the matter. He also questioned why the contract was given to a Chinese–run company instead of a local entrepreneur.
Another senator, Vicente Sotto, questioned the price of test kits, which at 1,720 pesos [$267] were almost double the market price. He also noted that protective gear was sold at 2,000 pesos [$311] apiece compared to ones in the market at 900 pesos [$140].
“What boggles me is why the government keeps on buying from this company that sells overpriced medical products,” he said during the hearing.
‘President Rodrigo Duterte … as well as his … cohorts have used the health crisis to steal billions of pesos of the people’s money’
Bishop Broderick Pabillo
Gordon called for the contract to be torn up.
Bishop Broderick Pabillo of Palawan said facemasks have become a symbol of corruption within the Duterte administration.
“President Rodrigo Duterte … as well as his … cohorts have used the health crisis to steal billions of pesos of the people’s money,” he said on Facebook.
“Nothing speaks more eloquently about the symbol of corruption in this present administration than the face mask and face shield that we Filipinos are required to wear. This protective gear was bought from their connections at grossly overpriced amounts, totaling billions of pesos,” he said.
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Duterte’s spokesperson, Harry Roque, said the contract was awarded based on the company’s ability to supply the equipment and not on the relationship between the president and Yang.
“We have a principle that a corporation has a separate personality, separate and distinct from the stockholders,” Roque insisted to reporters on September 6 without commenting on the overpricing allegations.
