CORRUPTION

Sh 4 Billion — Ministry of Health on spot for varying ICU equipment costs

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Published: Aug. 31, 2024, 1:50 p.m.

Category: Corruption

KES 4.0 billion

A Dutch firm employed to produce medical tools to hospitals in a Sh63 billion programme has publicly disowned a value record tabled in Parliament by the Ministry of Well being.Philips Medical Methods Nederland BV was initially contracted by the Authorities to ship Intensive Care Unit (ICU) tools at a price of Sh3.6 billion.

However after variations, the fee shot as much as Sh4.5 billion. Philips Enterprise Growth Director Roelof Assies stated the pricing for the objects, in keeping with the contract, was completely different from what Well being CS Sicily Kariuki tabled in paperwork marked as Annex 14.

“The person merchandise is individually priced, and our numbers and amount acknowledged as properly. We’re not conscious of the record tabled by the ministry,” Assies advised the committee chaired by Isiolo Senator Fatuma Dullo.

The doc marked as Annex 14 reveals that among the many objects leased to 98 county well being amenities and 4 nationwide referral hospitals, as a part of the theatre and Intensive Care Unit (ICU) tools, are consumable and disposable kits that ordinarily ought to have been procured by the Ministry of Well being as a substitute of leasing.

The objects embrace spotlights, drip stands, microwave ovens, dressing and general-purpose trolleys, instrument trolleys, washing basins, child cots and electrical kettles.

Others are syringe pumps, infusion stands, working theatre lamps, theatre tables, resuscitators, linen trolleys, affected person stretchers and resuscitation trolleys.

Microwave oven

For example, in Kakamega Stage 5 Hospital a microwave oven was leased at Sh1.2 million ($12, 805), three spotlights leased at Sh4.2 million ($42,164), which implies every highlight is leased at Sh1.four million.

The market value for a theatre highlight is Sh1,900, which in complete ought to have been Sh5,700 for 3 items. For the affected person trolley, which prices Sh26,680 per unit out there, the taxpayer paid Sh1,447,630 per unit within the lease settlement, which is greater than 54 occasions.

For the Excessive Dependency Unit (HDU) beds, every county leased the tools at Sh600,000 for 4 items, however beneath MES challenge they paid Sh5.three million.

Anaesthetic machine

A trolley dressing that goes for Sh15,000 ($150) out there was, beneath MES, leased at Sh1.29 million ($12,900).

An anesthetic machine that prices Sh2,650,991 ($265,099) in Kenyan market worth was, beneath the lease scheme, acquired at Sh13.1 million ($131,380).

A affected person trolley at present market worth prices Sh26,680, however beneath MES, the ministry leased it to counties at Sh1.5 million.

An instrument trolley that prices Sh22,080 was every leased at Sh534,500.

Assies, nonetheless, stated the determine, as mirrored within the doc tabled, was completely different from what they signed with the Ministry of Well being.

“Underneath Annex 14 offered to us by the ministry, even if you happen to had been going to the moon, a microwave oven that may be bought domestically can’t price Sh1.2 million ($12, 805). It’s essential to have obscene mark-ups,” stated Bungoma Senator Moses Wetang’ula.

Philips Medical Methods Nederland BV (Netherlands), which equipped six ICU tools, distanced itself from the record tabled by the Ministry of Well being, claiming the costs indicated weren’t theirs.

For example, a stethoscope that was equipped beneath the MES price Sh4,700 a unit, inclusive of touchdown charges. Paperwork tabled by the ministry nonetheless confirmed it price Sh1.2 million.

“What’s essential is that that is MES contract, the whole value is constructed up on tools, financing, innovation works and coaching value.

All these collectively make sum value,” Assies, who can also be the agency’s CEO, stated.

Mr Wetang’ula additional had pressed the corporate boss over what he termed exorbitant costs beneath which the tools had been procured.

“Are you telling us that you just constructed the value of innovation, in, for instance, a highlight, which is against the law? Are you making an attempt to display that you just took benefit of the scenario to make a kill from Kenyans,” Wetang’ula requested.

In a listing of near 30 objects, Philips solely equipped 5 that they manufacture, whereas the remainder was bought domestically and equipped.“It appears you had been buying and selling, you went and purchased different objects from the market, put a value on it and equipped to the federal government,” Wetang’ula insisted.

Delivered objects

The corporate boss additional advised the committee that they had delivered objects beneath the contract aside from Meru Stage 5 Hospital, which continues to be establishing the ICU wing.Underneath the contract, the Dutch medical manufacturing firm was to produce, fee, service and prepare medical workers on the operations of the ICU tools and to ship to 11 well being amenities.

Assies advised the committee that his firm had to this point put in 78 ICU beds, 39 Excessive Dependency Unit (HDU) beds, skilled 61 BioMed, and skilled 57 ICU nurses and 243 ICU workers.

Already Philips has put in the ICU tools in 13 hospitals in Thika, Machakos, Nakuru, Nyeri, Embu, Coast Common, Msambweni, Garissa, Kakamega, Jaramogi Oginga Odinga Educating and Referral Hospital, Moi Educating and Referral Hospital, Kisii and Narok.