Title
Quezon City Eye Center vs. Philippine Health Insurance Corp.
Case
G.R. No. 246710-15
Decision Date
Feb 6, 2023
QCEC accused of violating PhilHealth rules via "cataract sweeping" by visiting doctors. SC ruled no due process, insufficient evidence; lifted suspension, ordered PhilHealth to pay claims.
A

Case Digest (G.R. No. 119337)

Facts:

  • PhilHealth Circulars and Initial Complaint
    • PhilHealth issued Circular No. 17 (2007) suspending claims for cataract surgeries performed during medical missions or recruitment schemes, and Circular No. 19 (2007) prescribing guidelines and listing prohibited practices.
    • A September 4, 2009 letter‐complaint alleged “cataract sweeping” by certain ophthalmologists, prompting Fact Finding Investigation and Enforcement Department (FFIED) probes of top utilizers.
  • Administrative Proceedings Against Quezon City Eye Center (QCEC)
    • PHIC Case No. HCP-NCR-12-356 to 392 (CA-G.R. SP 142323) – Dr. Allan M. Valdez performed 1,179 cataract operations (July 2009–June 2010). QCEC was charged with 37 counts of Breach of the Warranties of Accreditation, found guilty by the Arbitration Office, fined and suspended, appeal denied by PhilHealth Board, elevated to CA.
    • PHIC Case No. HCP-NCR-12-453 to 458 (CA-G.R. SP 142325) – Dr. Rhoumel A. Yadao’s six cataract operations under recruitment schemes. QCEC faced six counts, similarly found guilty, penalty modified on appeal, petitioned to CA.
    • PHIC Case No. HCP-NCR-15-036 to 044 (CA-G.R. SP 151136) – Nine suspect claims for cataract operations by Dr. Yadao, QCEC charged with violations of multiple IRR provisions, found guilty of 15 counts, penalized, appealed to CA.
    • PHIC Cases No. HCP-NCR-16-216 to 245 (CA-G.R. SP 146098), 16-580 to 767 (CA-G.R. SP 146172), and 16-291 to 381 (CA-G.R. SP 146173) – QCEC filed Rule 65 certiorari petitions before CA, assailing prosecution for filing complaints without a prima facie resolution.
  • Court of Appeals Disposition
    • CA consolidated six petitions (CA-G.R. SP 142323, 142325, 151136, 146098, 146172, 146173).
    • June 25, 2018 Decision upheld PhilHealth’s liability findings in SP 142323, 142325, 151136 and dismissed certiorari petitions in SP 146098, 146172, 146173 as premature. April 8, 2019 resolution denied reconsideration.

Issues:

  • Whether PhilHealth afforded QCEC due process in administrative prosecutions.
  • Whether substantial evidence supports QCEC’s liability for Breach of the Warranties of Accreditation.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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