Pharmally 'borrowed money' from Yang, to be paid with gov't funds – exec
MANILA, Philippines — Former presidential economic adviser Michael Yang lent money to Pharmally Pharmaceutical Corp. to aid the firm in fulfilling the country’s order of personal protective equipment sets (PPEs) last year, the corporation’s president admitted to senators.
“I just wish to state on record that we did receive Mr. Michael Yang’s help. We borrowed money from him,” Pharmally president Huang Tzu Yen said during Friday’s Senate blue ribbon committee hearing.
“Since we were not able to finance these things and we really needed to do that so that we will not get blacklisted, he offered to borrow (lend) us the money so that we will be able to pay for it,” he added.
Asked how much Pharmally borrowed from Yang, Huang cannot ascertain the amount yet.
“But we would pay him back once we receive the money from the government,” he added.
The Senate blue ribbon committee is currently investigating the procurement of “overpriced” personal protective equipment, face masks and shields made by the Department of Budget and Management-Procurement Service on behalf of the Department of Health last year.
At the center of the probe is Pharmally Pharmaceutical Corp. It was awarded government contracts worth over P8.6 billion at the height of the pandemic last year despite being only several months old and having just P625,000 in paid-up capital.
Yang was linked to the controversial procurement after a 2017 video showed him introducing Pharmally officials to President Rodrigo Duterte in Davao City.