POLITICS

R7,3m overpayment for Bara Cat Scans - Jack Bloom

DA MPL says best and cheapest (R22,1m) bid by Philips Medical Systems was rejected

BARA CAT SCAN SCANDAL - WHY DID WE OVERSPEND R7 MILLION?

The Gauteng Health Department paid R29.45 million for the two CAT Scanners that have been installed this month at the Chris Hani Baragwanath Hospital, but this is R7 million more than the lowest price tendered.

According to a written reply to my questions by Gauteng Health MEC Ntombi Mekgwe, the tender was first advertised on 11 December 2009 and closed on 8 February 2010.

Philips Medical Systems was the cheapest at R22.1 million, and also scored higher points.

But Medi-Four Medical Supplies, which is an agent for Toshiba, got the contract despite scoring only 60 points to the 90 points scored by Philips.

Bids by Sikelela Medical & Dental Supplies and Phambili Hospital Products were also a lot cheaper (R22.4 million and R23 million respectively) and also received higher points (88.55 and 91.14 respectively).

According to Mekgwe, "The selection of the service provider was dictated by criteria set in accordance with specifications developed in consultation with the clinical engineering unit as well as inputs from reputable companies."

I frankly don't believe this. I smell a rat because the Department admits that a letter of award went to Medi-Four before it was approved by the Departmental Acquisition Council on 17 January 2011.

How could a company be promised the contract before the DAC had considered it?

This is highly irregular.

It looks like we were ripped off as the highly regarded Philips machine could have been bought for R7.35 million less.

There must be a full inquiry into this matter, including why it took nearly a year to officially award the tender after it had closed.

Patients and staff have suffered enormously because of the delayed purchase, and there must be full accountability.

Many patients have been turned away for months because of the breakdown of the old CAT scanners.

It's a scandal and we need to know why it happened and who benefited.

Statement issued by Jack Bloom MPL, DA Gauteng Health Spokesman, March 28 2011

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