Duterte defends Pharmally, Michael Yang, says he will resign if graft is proven

President Rodrigo Duterte defended Pharmally Pharmaceutical Corporation and former presidential adviser Michael Yang as he slammed the Senate inquiry into alleged overpriced pandemic-related medical goods anew.

In a taped briefing aired Saturday morning, Duterte likewise offered to resign if graft in the government procurement of face masks and face shields is proven.

“Dito ko sinabi na mag-resign ako kung may corruption diyan. Ora mismo bababa ako. COA [Commission on Audit] na nagsabi na walang anomalya sa disbursements at delivery ng items. Ano ba ang gusto ma-elicit? Ano ba ang inyong gusto?” Duterte asked.

(Here I am saying I will resign if there is corruption there. Immediately, I will step down. COA already said there is no anomaly in the disbursements and delivery of items. What is it that you want to elicit? What do you want?)

“Ang agenda ng (The agenda of the) blue ribbon committee [is] motu propio investigation. The senators kept looking for the technical and financial requirements of Pharmally. Wala naman akong pakialam diyan (I don't have anything to do with it). Pharmally is really a Pharmally corporation sa Singapore. Doon ‘yan nag-provide (Pharmally is really a Pharmally corporation in Singapore. That is where it provides [goods and services],” he said.

Duterte also defended his former adviser Michael Yang, saying it is natural for a businessman to dip its fingers in various biddings.

“Itong si Michael Yang for the last 20 years negosyante ng Davao. Siya ‘yung inutusan ko initially noon when I made contacts with Chinese. Siyempre may negosyo nakikisali. Eh negosyante e. Ano magawa mo?”  he said.

(This Michael Yang is a businessman in Davao for the last 20 years. He is the one I initially asked when I made contacts with Chinese. Of course he has a business. He's a businessman. What can you do.)

“What is clear is that there was a contract, there was delivery, kumpleto lahat ng specifications at quality, quantity and all. Tapos after delivery bago pa nagbayad ang Pilipinas," the President added.

(What is clear is that there was a contract, there was delivery, and everything was complete in terms of specifications as to quality, quantity and all. The Philippine government also paid after delivery.)

He also tagged Congress as “maldito” (evil) for launching an investigation against the Department of Health’s COVID-19 funds spending and the overpriced medical goods.

“They started first with the unspent billions. Tapos sabi nila walang nakuha kasi nga unspent. But they are asking si Duque kung bakit hanggang ngayon 'di nagastos. You do not run the DOH by legislation. ‘Yun ang problema sa kanila,” he said.

(They started [the probe] first with the unspent billions. Then they said they could not get anything because the funds were unspent. But they are asking DOH Health Secretary Francisco] Duque [III] why the funds were not spent. You do not run the DOH by legislation. That is their problem.)

“Don’t listen to Congress. They are bullshit. Pang-istorbo lang ‘yang yawa na ‘yan (Those devils are just a disturbance),” he added.

Duterte said even COA chairman Michael Aguinaldo said that the audit observation is focused on the medical goods’ inventory management and not on the overpricing issue.

The Senate blue ribbon committee is looking into the Department of Budget and Management-Procurement Service's procurement of P8.6-billion worth of face masks, face shields, and PPEs from Pharmally Pharmaceutical Corporation. The company only had P625,000 paid-up capital, Senator Franklin Drilon said.

During a Senate hearing on Friday, Pharmally president Huang Tzu Yen admitted that they borrowed money from former presidential adviser Michael Yang.

Drilon also chided former DBM Undersecretary Christopher Lloyd Lao for insisting that the purchase contracts approved by the DBM-PS, which he formerly headed, were aboveboard.

“Because this Lao is so arrogant and is saying that he complied with all the requirements. So here you are, the basic financial capacity requirement was not available… the one who was given the contract admitted that they had no funds and they went to Michael Yang,” Drilon pointed out. —KG, GMA News