MALACAÑANG announced that former Philippine Health Insurance Corp. CEO Edwin Mercado is now the new secretary of the Department of Health (DOH), replacing Jose Pujalte Jr., who resigned less than a month after taking the helm.
In a press briefing on Monday afternoon, Palace Press Officer Undersecretary Claire Castro said Pujalte resigned for “health reasons.”
On July 31, a complaint was filed with the Presidential Complaint Center at Malacañang against Pujalte for allegedly frequenting gambling at major casinos like Okada Manila and Solaire Resort and Casino.
The complainants claimed that Pujalte uses the aliases "Louis Santos" and "Louiss Santos" to avoid public recognition.
The group argued that his actions directly violate Presidential Decree No. 1869, which prohibits government officials and employees from playing or staying inside casinos.
On Aug. 5, a group identifying as medical practitioners, epidemiologists, and health advocates filed a complaint against Pujalte anonymously before the Office of the Ombudsman to protect whistleblowers from retaliation. They accused him of deliberately stalling the procurement of tuberculosis (TB) drugs and commodities to buy time for a favored supplier.
Pujalte denied the claims, describing the complaint as a "demolition job" and stating that the review of the P3-billion procurement of TB drugs was necessary to protect public funds and patient safety.
Addressing inquiries regarding whether the complaints contributed to his departure, Castro noted that Pujalte’s resignation was voluntary and accepted by the president.
She added that any formal complaints filed against the former secretary before the Office of the Ombudsman will remain under the Ombudsman's jurisdiction to investigate as appropriate.
Pujalte took his oath as Health secretary on July 14, replacing Ted Herbosa, who left for health reasons.
Before Mercado was appointed DOH secretary, he was tapped to lead PhilHealth in February 2025. His extensive background in healthcare management includes serving as medical director at the Daniel Mercado Medical Center from 1998 to 2000 and leading various hospital networks as president and CEO from 2000 to 2016.
Mercado holds a Doctor of Medicine degree from the University of the Philippines, a Master of Medical Science in Global Health Delivery from Harvard Medical School (2023), and an Executive Master’s Degree in Healthcare Administration from the University of North Carolina in the United States.
Castro said that President Marcos's marching orders for the incoming Health chief remain focused on prioritizing public welfare and health services.
Having served at the helm of PhilHealth, Mercado is expected to seamlessly align DOH initiatives with the administration's healthcare vision.
Meanwhile, Dr. Beverly Lorraine Ho has been named acting president and CEO of PhilHealth, filling the vacancy left by Mercado.
Ho is currently serving as the Chief Health Officer of Ayala Healthcare Holdings Inc. and previously served as an assistant secretary of the DOH from January 2023 to January 2024, undersecretary from July 2022 to December 2022, and DOH deputy spokesperson from March 2020 to December 2023.
The DOH saw two secretaries in the span of one month. On Saturday, Undersecretary Emmie Liza Perez Chiong also tendered her resignation.
Assistant Secretary Christian Lel Saquilabon will take over Chiong’s post as oral health and medical tourism undersecretary.
‘UHC-friendly team’
Sen. JV Ejercito, principal author of the Universal Health Care (UHC) Law, welcomed Mercado’s appointment.
"We are optimistic that he will bring his valuable expertise as a physician and healthcare executive to the DOH at a time when we need to push our health reforms even further," Ejercito said in a statement.
He also welcomed the appointment of Ho to PhilHealth.
"I had the chance to work closely with Dr. Ho during the crafting of the Universal Health Care Law, where I have seen her dedication to improving healthcare for our people," Ejercito said.
"There is still much work to be done. We need to expand Zero Balance Billing, improve PhilHealth packages including PhilHealth’s participation in hospital bills, and lower out-of-pocket expenses," he added.
The senator expressed hope that with Mercado and Ho leading these two important institutions, "we can achieve the objectives of UHC law of providing quality and affordable healthcare services for all Filipinos."
"I look forward to working with them as we plan to undertake a review of the UHC implementation as we approach its 10th year," Ejercito said. "This will be a UHC-friendly team!"
