Ben Madilynn
THE Criminal Investigation and Detection Group (CIDG) arrested on Wednesday, September 18, 2024, former Procurement Service of the Department of Budget and Management (PS-DBM) executive director Lloyd Christopher Lao over charges of graft and corruption.
Lao was arrested around 11 a.m. at the Ecoland in Davao City through an arrest warrant issued by the Sandiganbayan on September 12 for the alleged violation of Section 3 of the Republic Act 3019, or the Anti-graft and Corruption Practices Act.
The bail was set at P90,000.
Lao was implicated in the irregularities in the procurement of medical supplies at the height of the Covid-19 pandemic, particularly of over 51,000 RT-PCR test kits covered by three contracts through a start-up company, Pharmally Pharmaceuticals.
Despite only having a P625,000 initial capital, Pharmally bagged at least a P8.6 billion contract from the PS-DBM, then headed by Lao, for the procurement of face masks, personal protective equipment and Covid-19 test kits on behalf of the Department of Health.
The matter was investigated by the Senate Blue Ribbon Committee in 2021 where it was found that the medical supplies from Pharmally was overpriced as compared to the offer of some other bidders, including local manufacturers and that the company was allegedly favored due to its links to Michael Yang, a foreign national who was appointed as “Economic Adviser to the President” in 2018, under the administration of President Rodrigo Duterte. (TPM/SunStar Philippines)
