Due to its refusal to pay its debts that are piling up by the hour, the Philippine Red Cross (PRC) is threatening to cut ties – once again – with the state-owned Philippine Health Insurance Corporation (Philhealth).
As of last week (April 6), the outstanding debt of Philhealth for the Covid19 testing services being conducted by the PRC has ballooned to over P876 million.
PRC chairman (and incumbent Senator) Richard Gordon said if Philhealth’s arrears aren’t addressed soon, the PRC will necessarily have to terminate the testing services because it is running out of funds to cover the costs.
“I wish Philhealth would pay its huge debt so we can also use the money to help those in need,” he said.
This isn’t the first time such a problem has cropped up between Philhealth and PRC. Last October 2020, PRC stopped its Covid testing services when Philhealth’s debt reached P930 million, forcing Malacanang to intervene by ordering chairman Dante Gierran to pay up to avert a health crisis.
Photo: Sen. Gordon FB