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PNP arrests ex-DBM official tagged in multibillion-peso COVID-19 supplies mess


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The bail for former PS-DBM chief Lloyd Christopher Lao is set at P90,000

MANILA, Philippines – The Philippine National Police (PNP) has arrested a former Department of Budget and Management (DBM) official tagged in the multibillion-peso COVID-19 supplies controversy.

PNP’s Criminal Investigation and Detection Group (CIDG) arrested former Procurement Service of the DBM (PS-DBM) chief Lloyd Christopher Lao at around 11 am on Wednesday, September 18, in Davao City.

The PNP arrested Lao through the warrant of arrest issued by Sandiganbayan First Division Chairperson Associate Justice Maria Theresa Mendoza-Arcega dated September 12. Lao was ordered arrested for his alleged violation of section 3(3) of Republic Act No. 3019 or the Anti-Graft and Corrupt Practices Act.

Lao can avail himself of provisional liberty by posting a P90,000 bail set by the court. The former official was brought to the CIDG office in Davao Region after his arrest.

In August, the Office of the Ombudsman filed the graft case against Lao and former Department of Health (DOH) secretary Francisco Duque III with the Sandiganbayan. The graft was in relation to the controversial transfer of P41.4 billion worth of DOH funds to Lao’s office in 2020 to procure COVID-19 supplies.

According to the Ombudsman, Duque and Lao allegedly caused injury to the government since the transaction charged a 4% service fee, which totaled P1.659 billion. The Ombudsman prosecutors added that Duque acted in bad faith when he approved the fund transfer and when Lao accepted the money even if the PS-DBM did not have the supplies needed by the DOH.


Ombudsman pushes graft case vs Duque, Lao over ‘irregular’ transfer of P41B for COVID-19 supplies

Aside from the criminal charge, the Ombudsman also found Duque and Lao guilty of grave misconduct and conduct prejudicial to the best interest of the service last May. The Ombudsman dismissed them from service, with forfeiture of all their retirement benefits and perpetual disqualification from reentering government. – Rappler.com



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