- Audit report expected in two months
A group of 30 investigators has been deployed by the Auditor General’s (AG) Department to probe the allegations of misappropriation of public monies to the tune of Rs. 30 billion as a result of procuring certain types of medicines at significantly high prices over the past several years and to submit a report within two months.
When contacted, Minister of Health Keheliya Rambukwella acknowledged the investigation by the AG’s Department.
He told The Sunday Morning that he had requested a special audit to be carried out on the allegations recently levelled by the Frontline Socialist Party (FSP), claiming that a substantial sum of public money, amounting to Rs. 30 billion, had been disbursed to a specific supplier for medicines procured at significantly high prices over several years.
It is learnt that the special audit that has been launched by the National Audit Office (NAO) is to be completed in two months, which the Minister of Health confirmed.
“I have personally requested the Auditor General to expedite the process, but the Auditor General said it might take two months,” Rambukwella said.
During a recent media briefing, FSP Education Secretary Pubudu Jayagoda alleged that the supplier in question was Singapore-based Eureka Life Sciences, represented locally by Yaden International.
Jayagoda cited a particular instance where 9,000 vials of erythropoietin alpha, comprising 1,000 IU vaccines, had been purchased at a rate of $ 34.78 per vial in 2018. In contrast, a Chinese company had supplied the same vaccine at less than 50 US cents during the same period.
In addition to the inflated prices, these medicines were reported to have quality issues. In 2020, 19 out of 80 medicines were deemed unfit for use and the numbers rose to 23 out of 120 in 2021 and 10 out of 86 in 2022, all imported by one company.
Jayagoda questioned the beneficiaries of such alleged malpractices, emphasising that the tax revenue from skilled professionals leaving the country could have amounted to Rs. 48 billion, but that a substantial Rs. 30 billion had been purportedly misspent on a sole medicine supplier.
Accusing the Government of using various tactics including disruptive strategies, the FSP representative urged the people not to allow allegedly corrupt practices and injustices to be brushed under the rug.
When asked about the allegations, Minister Rambukwella downplayed them, charging that anyone could make claims, but that proving such remained to be done.
“Even during the no-confidence motion, they failed to provide substantial evidence for any of the allegations. There was nothing concrete. Even throughout the three-day debate, allegations were made baselessly and without any investigation,” Rambukwella opined.
However, like health ministers before him, Rambukwella has faced a barrage of allegations about tender irregularities, corruption, and import of pharmaceuticals under ‘emergency’ terms, thereby circumnavigating the usual checks and balances.
Rambukwella argued that he had initiated this audit process, thereby taking responsibility for ensuring transparency and accountability for the ministry’s actions.