Former Health Minister Dr Subramaniam must explain why is there a monopoly of medicine tender during his tenure as Health Minister from 2013 – 2016 where tender amounted to RM3.7 Billion were controlled by six main tendering agents.

(19-6-2018)

Former Health Minister Dr Subramaniam must explain why is there a monopoly of medicine tender during his tenure as Health Minister from 2013 – 2016 where tender amounted to RM3.7 Billion were controlled by six main tendering agents.

We refer to The Star report on 13 June where a 12 page documents were emailed by a Whister blower to the Health Minister Dr Dzulkefly Ahmad.

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The document claimed that from 2013 to 2016, the total medicine tender awards by the Health Ministry which amounted to RM3.7bil were controlled by six main tendering agents.

The document also claimed that collectively, the top three tendering agents were awarded RM2.8bil or 75.9% of the RM3.7bil; top six were awarded RM3.4bil or 90.93% of the RM3.7bil of the total tender contracts value.

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If this claim were to be true it would mean that these middlemen earned a handsome profit when these monies could be used to buy more medicine should there be a transparent open tender in place. This form of rent seeking, anti-competitive behavior has increased the medicine procurement cost which potentially also involved corruption needs to be investigated immediately.

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This shocking exposure could explain the shortage of medicine in government hospitals which happen since 2017 where patients that used to get their medicine every month need to get their prescription every week due to medicine being rationed and drugs running low in government hospitals.

We urge former Health Minister Dr Subramaniam to explain why is there a monopoly of medicine tender during his tenure as Health Minister from 2013 – 2016 where tender amounted to RM3.7 Billion were controlled by six main tendering agents. Subramaniam must answer whether he is aware of this monopoly of medicine tender? If so, did he condone to this monopoly of medicine tender?

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We hereby lodge a report to the MACC and urge MACC to get to the bottom of this allegation as precious taxpayer monies are wasted through this monopoly of medicine supply in government hospitals.

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