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Tuesday, June 19, 2018

Perak DAP lodges MACC report on medicine monopoly scandal


Perak DAP has lodged a report with the MACC on the allegation that RM3.7 billion worth of medicine tender awards by the Health Ministry were controlled by six main tendering agents.
In a statement today, state DAP economic bureau chief and Keranji state assemblyperson Chong Zhemin urged former Health Minister Dr S Subramaniam to explain the existence of such monopoly during the latter's tenure at the ministry from 2013 to 2016.
"Subramaniam must answer whether he is aware of this monopoly of medicine tender. If so, did he condone (it)?" Chong asked.
Chong was referring to a report in The Star on June 13 on a document emailed by a whistleblower to new Health Minister Dr Dzulkefly Ahmad, about the tender awards being controlled by six agents.
The 12-page document had claimed that collectively, the top three tendering agents were awarded RM2.8 billion or 75.9 percent of the RM3.7 billion; top six were awarded RM3.4 billion or 90.93 percent of the RM3.7 billion of the total tender contracts value.
Chong said that if these claims were true, it meant that the middlemen reaped a handsome profit at the expense of purchasing more medicines.
"This form of rent-seeking, anti-competitive behaviour has increased the medicine procurement cost, which potentially also involves corruption and it needs to be investigated immediately.

"This shocking exposure could explain the shortage of medicines in government hospitals, which has happened since 2017, where patients who used to get their medicines every month now need to get their prescriptions every week due to medicines being rationed and drugs at government hospitals running low," he said.
The statement was jointly issued with Perak DAP legal bureau chief and Malim Nawar assemblyperson Leong Cheok Keng. - Mkini

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