Herbal industry files graft raps vs Cabral

MANILA, Philippines - A group of manufacturers of herbal and dietary products has charged Health Secretary Esperanza Cabral with graft before the Office of the Ombudsman.

In its complaint, the Chamber of Herbal Industries of the Philippines Inc. (CHIPI) accused Cabral of violating Section 3(e) of the Anti-Graft and Corrupt Practices Act.

Cabral has caused them injury through bad faith in issuing an administrative order last March 18 to replace the warning “No Approved Therapeutic Claims” on the labels of herbal and dietary products to “Mahalagang Paalala: Ang (name of product) Ay Hindi Gamot At Hindi Dapat Gamiting Panggamot sa Anumang Uri ng Sakit,” according to Ethelyn Perez, CHIPI executive director.

Administrative Order 2010-0008 seeks to punish violators with imprisonment of a maximum of 10 years and a fine of not less than P500,000, she added.

Cabral’s order was issued without any public consultation, hearing, or notice and with undue and uncharacteristic haste, Perez said.

It is damaging to the herbal industry, she added.

CHIPI said the order has caused the industry P47.4 million in damages and injury in the form of cancelled advertisement contracts and wasted voluminous advertising and promotional materials, excluding losses in sales expected with the disparaging message required in all advertisements except point-of-sale ads.

Cabral also violated Article 32 of the Civil Code which states: “No law shall be passed abridging the freedom of speech, of expression, or of the press, or the right of the people peaceably to assemble and petition the government for redress of grievances,” CHIPI added.

Lorna Filipino, CHIPI legal counsel, said advertising is “commercial speech” which disseminates information important for consumers to make decisions on what to buy.

“The free flow of commercial information is for their own benefit,” she said.

Filipino said Cabral has restricted the freedom of speech of companies manufacturing and marketing dietary products through the mandated disclaimer.

“Airing advertisements carrying the required phrase is tantamount to using the herbal industry’s own resources to belittle their own products,” she said.

“Worse, the administrative order even suppresses the freedom of the health professionals to promote food supplements with valid and substantiated health claims which are allowed or acceptable abroad.”

CHIPI claimed that it tried to ask Cabral for reconsideration in a letter dated March 31, requesting the DOH to consider the phrase “Mahalagang Paalala : (name of product) ay Hindi Gamot” as substantial compliance to the administrative order.

CHIPI said on April 19, they wrote a letter to Cabral to express deep concern over the substantial damage the herbal industry will suffer once the order is implemented.

However, on April 23, they received a letter from the Department of Health denying the request, CHIPI added.