Insurance Commissioner Suspended for 6 Months Amid Graft Charges

The Office of the Ombudsman on Monday placed Insurance Commissioner Reynaldo Regalado under preventive suspension amid administrative charges involving the Personal Passenger Accident Insurance Program (PPAIP) for public utility vehicles. In an Order dated July 28, the Ombudsman’s office said there are sufficient grounds to suspend Regalado for six months without pay due to alleged grave misconduct; violation of Republic Act No. 6713 or the Code of Conduct and Ethical Standards for Public Officials and Employees; and violation of Republic Act No. 11032 or the Ease of Doing Business and Efficient Government Service Delivery Act, over the approval of an accreditation of a third insurance consortium despite questions over its memberships and timely filing of application. Likewise, the complaints lodged against Regaldo accuse him of conflict of interest since he previously served as senior counsel at the law firm representing the accredited insurance consortium. "This Office finds sufficient grounds for the issuance of an Order for Preventive Suspension against Regalado considering that there is strong evidence showing his guilt; the charges against him constitute grave misconduct; his continued stay in office may prejudice the investigation of the case filed against him; and, in order to preserve documents and evidence pertaining to this case which he has control and custody, and to avoid Regalado's commission of further malfeasance and/or misfeasance in office," the Order read. “Regalado was listed as Senior Counsel of AAQ Law. Regalado’s participation in any proceeding involving AAQ Law’s clients casts serious doubt as to his impartiality,” the Order added. The Ombudsman said Regalado also reportedly failed to respond to requests seeking documents related to the accreditation, refused to release records necessary for an appeal and excluded the complainant's lawyers from a conference with the Insurance Commission. Further, the Ombudsman’s Order cited allegations that his actions showed manifest partiality by approving the accreditation of an insurance consortium despite alleged violations of the Insurance Commission's own regulations governing the PPAIP accreditation process. “Regalado's preventive suspension shall remain effective until the administrative case is terminated. It also declared the suspension immediately executory, notwithstanding any motion or appeal, unless otherwise ordered by the Ombudsman or a court of competent jurisdiction,” the Order added. Regalado is also facing a complaint for violating provisions of the Anti-Graft and Corrupt Practices Act, which is a criminal complaint. — BM, GMA News