Not enough evidence to file raps vs. Michael Yang, Christopher Lao —House panel chair

There is no recommendation to file charges against former presidential economic adviser Michael Yang and former executive director of the Procurement Service of the Department of Budget and Management Christopher Lloyd Lao over the purchase of COVID-19 supplies at the beginning of the pandemic.

House blue ribbon committee chairman and DIWA party-list Representative Michael Aglipay on Monday said there is no sufficient evidence that could hold Yang and Lao liable over this controversial procurement of medical items.

"Lahat ng nangyari sa committee ay based sa evidence lang po (Everything that has happened in the committee is based on evidence) and we undertook all procedures and processes legally and fairly," Aglipay said at a virtual presser.

"So ang sagot ko po diyan sa tanong ninyo kay (My answer to your question regarding) Michael Yang and Christopher Lao, insufficiency of evidence. The evidence does not warrant or is not enough for cases to hold," he added.

The panel, however, recommended the filing of estafa charges against Pharmally Pharmaceutical Corporation chairman Huang Tzu Yen, treasurer Mohit Dargani, president Twinkle Dargani, director Lincoln Ong, and personnel Justine Garado and Krizle Grace Mago before the Department of Justice.

The firm secured more than P8 billion worth of government contracts for the procurement of personal protective equipment (PPEs), which were believed to be overpriced.

Huang had admitted that the company borrowed money from Yang, a businessman based in Davao City.

Yang has since denied ties with the firm, but said he had linked them to suppliers. He said it was his friends who had helped Pharmally with its finances in purchasing COVID-19 supplies.

Lao, on the other hand, headed the PS-DBM when the procurements were made in March 2020. He has since denied irregularities during the transactions.

The Senate has been searching for Lao as he was ordered to be arrested for skipping the chamber's separate inquiry into the matter.

Abolish PS-DBM

Meanwhile, Aglipay also said the panel recommended the abolition of the PS-DBM in order to streamline government functions and services.

"[The] PS-DBM has outlived its purpose considering that all agencies now have their own procurement department and BAC (Bids and Awards Committee)," he said.

The panel further suggested institutionalizing standard requirements that can better gauge the legal, financial, and technical capacities of suppliers, according to Aglipay.

There had also been other calls to abolish the PS-DBM following this issue with Pharmally. Finance Secretary Carlos Dominguez III has vowed to look into these calls.—AOL, GMA News