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Telangana yet to act on scam in sale of medicines

Activist alleges EHS CEO brought drugs at higher rates.

Hyderabad: A huge scam in the procurement of medicines for government hospitals was unearthed, following which a departmental enquiry was launched into the doings of K. Padma, the joint director of insurance services. But even after a year after the scam came to light and the Vigilance Enforcement wing of TS carried out a detailed enquiry and submitted its report, action is yet to be taken against the perpetrators.

M Srinivas, an activist said, “K. Padma, while she was chief executive officer EHS, who used to look after the journalists’ health scheme, violated the procedures laid out in the finance code for procuring medicines from government recognised rate contract firm at a standard rate and calling for tenders for procuring medicines. As per the regular procedure, the government procures medicines from a specific rate contract firm. However, Ms Padma procured medicines from the non-rate contract firms at a high rate compared to the government rates. She also didn’t call for open tender or e-tender for the procurement of drugs. The medicines procured directly from the manufacturing firm usually cost less. However, she procured medicines from the distributors instead for higher rates.”

He said that a charge memo was also issued on her for buying `60 crore worth of medicines without following proper guidelines.

Recently, Deccan Chronicle had reported on the detailed enquiry report of the Vigilance Enforcement wing-TS. According to the report, no drug procurement committee was formed by the director, Insurance Medical Services (DIMS), for analysing the requirement of drugs and medicines at the beginning of the year.

The medicines which were not supplied by the rate contract firms and the medicines which were not included in the list were locally purchased without forming any local purchase committee, which is mandatory. A tender scrutiny committee was also not formed by the DIMS to identify bidders through the pre-bid process.

The officials have failed to identify the eligible firms and as a result, the quotation was accepted from two or three firms which belong to a single family, with minor variation in prices, thus defeating the very purpose of the tender.

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