Hospital medical equipment suppliers accused of inflating prices

Published Oct 19, 2018

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Some Gauteng hospitals are paying inflated prices for supplies because of corruption where companies conspire to give inflated quotations so they can benefit.

This was according to DA Gauteng Health MEC Jack Bloom who alleged that the hospitals involved in this price fixing scandal were South Rand and Helen Joseph Hospitals.

“At the South Rand Hospital, for instance, diathermy pencils were ordered for R127 each when the market price is about R25. Three companies also submitted quotes for crutches of R318, R325 and R328 respectively, whereas the market price is about R120 each.

Helen Joseph Hospital pays between R59 and R79 for suction liners, but the market price is R25. Suction canisters are bought at more than R1000 a unit when the market price is about R25,” said Bloom.

He also said that he welcomed the scrutiny of the manner in which orders were placed for hospital items and that gross overcharging is rife as it leads to a huge waste of money more especially since thieving officials benefited instead of needy patients.

The Gauteng Department of Health said they would not take this lying down and everyone implicated and involved would be dealt with accordingly.

“MEC Dr Gwen Ramokgopa has already instructed the management to establish a standard price list for good and services and that where there is over pricing such funds be recovered."

“It is our responsibility as public servants to look after public funds allocated to our area of work and get value for money spent.

"Consequence management will be applied to those who will be found to be on the wrong side,” said the department’s spokesperson Lesemang Matuka

 

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