Inquiry clears local firms

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By Rebecca Kuku
THE Public Accounts Committee which held an inquiry last year into the supply, procurement and distribution of medicine has cleared local companies queried on the matter.
Committee chairman Sir John Pundari tabled the report in Parliament yesterday saying the Health Department had “failed as the custodian” in managing medicine supply, procurement and distribution.
It included Borneo Pacific Pharmaceutical. Sir John also said the “accusations by Australia against PNG companies which were awarded contracts were unsubstantiated and made without any evidence”.
Sir John said Australia refused to assist in the inquiry despite being invited to do so.
“The committee sent three letters of invitation without success,” he said.
“This is unfortunate, especially since it was Australian claims in the media that prompted the public outcry that led to the committee inquiry in 2014.
“The committee was looking forward to understanding the facts and addressing the issues that caused these accusations to arise and to find a better solution that will engage once more our Australian friends in our medicine supply system.”
He said the committee therefore could not validate the accusations made by Australia against local companies in respect to the contracts awarded.
Sir John said the committee concluded that the Health Department “failed as the custodian in its role to manage medicine supply, procurement and distribution”.
“The inquiry revealed controversy and criticisms, with fingers pointed at the companies and suppliers of the Health Department.”
Sir John said the committee also found that the current system accumulated a large backlog of payments outstanding to contractors including Borneo Pacific Pharmaceutical which was owed K40 million by the Government but continued to procure medicine for the country.

8 comments

  • Chairman Pundari must come clean as to what happened to the senior Health official implicated earlier on in the COI? The asshole that bribed or attempted to bribe the company executive in exchange for favors. Has he been convicted already?

    We knew earlier on from the information being publicized (from the COI) that the firms engaged or contracted were either co-conspirators to the huge contracts that were dished out, or innocent victims of foul play by civil servants in the Health department.

    What the Government needs to do is introduce a policy framework and related mechanisms to fight endemic corruption in the public service machinery of this nation. There has to be Accountability. Each and everyone must be held accountable to one another or to someone higher up the hierarchy or command chain.
    Without this the situation will only get worse and continue to deteriorate until the little people will have no option but to resort to anarchy to arrest the situation, i.e. endemic corruption and misappropriation of public funds and assets by so-called public servants.

    Would the Government desire the nation to go down this path?

  • So there are no prosecutions, they are left off he hook. Does the PAC have powers to refer any wrong doers to the Public Prosecutor?

  • Just wast of public money and a clean fraud by the PAC. PAC has deceived and wasted peoples’ money for nothing and that should not have occurred.
    PAC MUST push for and given the power to prosecute the responsible Health Department personnel involved in the whole scheme.

  • Back to John Pundari, now that you have identified were the faults was and who was involved what is your next action now?.

    Will you just allow the default Officers to be side lined with corrupt Politicians including their associates to roam freely and enjoy the money they have stolen or will you make recommendations for them to be brought before the Court system of our country

  • Someone must be held responsible for his actions and so anyone today and in future won’t repeat the same corrupt mistakes. If he/she needs to be send to prison let it be so.

  • All these COIs are just a huge waste of tax payers money, they seem to be a milking ground for all involved. Dont we already have other bodies in place who can do what PAC is doing?

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