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Friday, February 17, 2023

MP: Probe Health Ministry's ventilator procurement for negligence

 


The authorities have been urged to investigate the deal which resulted in a company supplying faulty ventilators to the Health Ministry between 2020 and 2022.

In a statement today, Bandar Kuching MP Kelvin Yii said action must be taken because ventilators are a crucial life-saving tool for Covid-19 patients.

"If proven there are elements of negligence, action has to be taken and the ones responsible must be held accountable, for such actions would also directly jeopardise the quality of care of patients, especially during the pandemic," he said.

Yii (above), a trained doctor and lawyer, said although the ventilators were procured due to an emergency, the lack of procurement documentation warranted a probe.

Documentation would have provided better legal protection for the Health Ministry and would have stipulated the liabilities of the parties involved.

"The parties involved have to answer and be accountable. This matter must not be taken lightly or swept under the carpet.

"If proven there are elements of negligence, action has to be taken and the ones responsible must be held accountable as such actions would have also directly jeopardised the quality of care of patients, especially during the pandemic," he said.

Ventilators attached to patients in a hospital ICU for Covid-19 treatment in this picture circulated by the Health Ministry in May last year

According to the second series of the Auditor-General's Report 2021, there were 108 out of 136 unusable ventilators supplied by a company between 2020 and April 2022.

In all, the government paid RM24.07 million for the 136 ventilators to a company that the National Audit Department (NAD) referred to only as 260790-T.

Companies Commission name the company 260790-T as Pharmaniaga Logistics Sdn Bhd - a subsidiary of Pharmaniaga Bhd, which in turn is controlled by the Armed Forces Fund Board (LTAT) through Boustead Holdings Bhd.

The NAD said the cabinet on March 25, 2020, agreed to allocate RM20.1 million for the ventilators under emergency funds. By Sept 1, 2020, the cost had ballooned to RM24.07 million.

Of the 108 faulty units, only 15 could be returned to the manufacturer while compensation amounting to RM13.07 million for the other 93 units could not be claimed because of a lack of procurement documentation.

"No documents related to ventilator procurement transactions were submitted to auditors, who also were unable to confirm the role and responsibility of company 260790-T as a company that managed the procurement of ventilators and which dealt with the manufacturers.

"Based on NAD's calculation, the amount of losses from the 93 ventilators which could not be used (minus 15 that are being replaced by the manufacturer) is at RM13.07 million," read the report. - Mkini

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