The Commission of Inquiry (COI) into the unauthorised disclosure of information on the procurement of pharmaceuticals at the Ministry of Public Health has recommended that Permanent Secretary of the Ministry of Public Health, Trevor Thomas, be fired and that there be a major shake-up of the Materials and Management Unit (MMU), including the dismissal of an office assistant.The inquiry also recommended that Western Scientific Company Limited be debarred from tendering for contracts, accusing a top official of the company of conspiring with staff of the MMU to gain a competitive advantage over other suppliers. In the report compiled by Commissioner Winston Cosbert, Assistant Commissioner of Police (Ret’d), and dated December 12, 2016 it was recommended that Thomas be removed due to “his inability to effectively carry out the mandate of the Ministry.”
Willingly evasive
“The Permanent Secretary was willingly evasive and deceptive in his testimony when questioned by the Board of Inquiry…The Permanent Secretary had made inconsistent and deceptive statements during his testimony. The Board finds that the inconsistencies were sufficiently material to affect the truthfulness and accuracy of his testimony,” the report stated. Thomas, a career public servant had been employed at the Ministry of Public Health between 2012 to August 2015 as the Ministry’s Deputy Permanent Secretary but was on September 1, 2015 appointed as Permanent Secretary to the said ministry. He served as PS at several other ministries as well as the Teaching Service Commission. During his testimony before the Board of Inquiry, Thomas explained his job description and the procurement procedure with the Ministry.
The Ministry of Public Health does procurement for all health posts and regional hospitals, except the Georgetown Public Hospital Corporation (GPHC). Prior to 2015, the Health Ministry procured pharmaceuticals, medical supplies and equipment for the regions without consultations.
In 2015, a new procedure for the procurement of medical supplies and pharmaceuticals was implemented whereby the 10 Administrative regions would prepare a list of needs and submit it to the Ministry’s procurement department for procurement of the required items. However, Thomas found difficulty with the system and told the Board of Inquiry that the regions were challenged to prepare their lists despite training which was facilitated by the Supply Chain Management Complex (SCMC). He even suggested that the Ministry of Public Health would return to the old procurement system as the current one was a failure in his eyes.
Censure
Meanwhile, the Commission recommended that the Deputy Permanent Secretary Colette Adams be “censured for authorising advance payment on a contract without first perusing the contract.”
The explanations provided by Adams were deemed unsatisfactory by the Board and “the Board recommends disciplinary actions that are commensurate to the level of breach or neglect in the performance of her duties.” Additionally, the Commission has recommended that Chetwin Felix, Principal Personnel Officer within the Ministry of Public Health be trained in personnel and office procedures noting that his demeanor was “adversarial” and he was “very evasive in providing answers to questions put to him.”
It was also recommended that the contract of Finance Manager, Sandra Singh should not be considered for renewal. “She paid a supplier without seeing the contract for the transaction. Being an experienced person in that particular department, it was prudent for her to have first advised the Deputy Permanent Secretary Adams, or object to such irregular practice given the fact that, Singh is acquainted with the Government Financial Regulation.”
Singh is responsible for the Audit Report, signing off payment vouchers and the Donor funds. She told the Commission that part of the system relates to payment of suppliers and is based on the contractual agreement and noted that if the contract stipulates 30 per cent advance payment then the Ministry of Public Health is required to pay 30 per cent. She said too that if there is an addendum, then it must be included before payment can be made.
Advanced payment
The Finance Manager testified that in relation to contract number MMU-01-2016-p4, dated October 4, 2016 between the Permanent Secretary and a senior official of the New GPC Inc. to the value of $544,440,973 was an agreed advance payment of 30 per cent for the supply and delivery of drugs to the Ministry of Public Health.
“Ms. Singh stated that on October 13, 2016 the Deputy Permanent Secretary instructed her in writing to pay 50 percent on the above contract, she also indicated that at the said time she was not in receipt of the said contract but complied with the Deputy Permanent Secretary’s instructions because she was told there was a shortage of drugs in the Ministry.”
Additionally, Singh said she later discovered that the contract stipulated a 30 per cent advance and was signed by the Permanent Secretary and as a result she had concerns. “She acknowledged however that 30 per cent advance payment was adequate to fulfill the demand shortage. Ms. Singh further acknowledged that she was wrong in paying the supplier (New GPC Inc.) 50 per cent before perusing the document.” She also said the Permanent Secretary later came and signed an addendum dated October 28, 2016 for the 50 per cent advance payment.
Transfers
Meanwhile, the Board of Inquiry has recommended that the staff of the Materials Management Unit (MMU) should be transferred to a department suitable for their qualifications and skills and alternatively be trained in the area of procurement.
Moreover, it was recommended that the Ministry of Public Health should “immediately” fill the positions at the Materials Management Unit with personnel who have the requisite qualifications and skills set due to the fact that the department handles multi-million dollar contracts. Having determined the aforementioned the Board of Inquiry believes that Kandasie Aaron, Office Assistant Materials Management Unit be dismissed from the Ministry and noted that during her testimony she admitted under oath that she spoke with supplier of pharmaceuticals Edwin Mc Koon about supplier Meditron Inc.
“Further, there is evidence before the Board of Inquiry that Mr. Edwin Mc Koon called Mortrez Lindore (Materials Management Unit supervisor) on several occasions enquiring about bids that were not made public. It is evident from the evidence that Ms. Aaron was conspiring with Mr. Mc Koon to gain insider information which obviously would have been used to his advantage over his competitors,” the report added. As a result, it was also recommended that legal advice be sought to review all contracts awarded to Mc Koon. Mc Koon was invited by the Board of Inquiry to testify but failed to do so. “Mc Koon’s refusal and non-cooperation had led to the several assumptions. It is highly recommended that Mr. Mc Koon be debarred from future tenders.”