Health reform advocate Dr. Tony Leachon on Friday welcomed the Supreme Court’s unanimous ruling ordering the return of P60 billion in PhilHealth funds that were transferred to the National Treasury last year, calling the decision a ‘quiet victory’ for millions of Filipinos relying on the Universal Health Care (UHC) program.
In a statement, Leachon said the High Court’s 15-0 ruling ‘declared the diversion of 60 billion PhilHealth funds to the national treasury unconstitutional,’ stressing that the decision ‘upheld the law and protected the lifeline of millions of Filipinos who depend on Universal Health Care.’
‘We thank the Supreme Court for its steadfast guardianship of justice. We thank the petitioners who carried this fight with conviction, and the countless advocates who labored quietly, without recognition, to defend the promise of health for all,’ he said.
‘This is not a triumph of one voice, but of many-of those who believed that health funds must remain sacred, that the poor must never be abandoned, and that justice must prevail even against the weight of power,’ he added.
The Supreme Court on Friday ordered that the P60 billion, part of the P89.9 billion in so-called ‘excess’ PhilHealth funds, be returned to the state insurer through the 2026 national budget. Only P60 billion was remitted before the Court stopped the remaining transfers through a temporary restraining order issued in October 2024.
The ruling struck down Special Provision 1(d) of the 2024 General Appropriations Act, which allowed the government to tap GOCC ‘fund balances’ for unprogrammed appropriations. The Court referred to the provision as a ‘rider’ that violated constitutional rules and contravened Section 11 of the UHC Law, which prohibits diverting PhilHealth reserves for general government expenditures.
The High Court also voided DOF Circular 003-2024, which directed the remittance of PhilHealth’s alleged excess funds.
In a separate message, Leachon said the decision ‘protects the Universal Health Care Law, ensures funds go back to patients, and permanently prohibits future diversions. A victory for integrity, reform, and the Filipino people.’
Several health groups and advocates, including Leachon, were among those who earlier questioned the legality of the transfer, arguing that the funds-much of which came from sin tax revenues earmarked specifically for UHC-could not be used for other government projects.
With the ruling now final, Leachon said the fight for stronger public health financing continues, but emphasized the importance of marking the moment.
‘Today, we honor this moment with humility,’ he said. ‘We are reminded that integrity can still win, and that the quiet persistence of people who fight for what is right can change the course of our nation.’