Tahir Mushtaq
JAMMU, Sept 17: State Vigilance Organization registered a case against Ashok Kumar Sharma, then Director Health Services, Jammu, Members of the Tender Opening Committee, officers, officials of NRHM, J&K, Members of Verifying Committee & others for purchase of Asha Drug Kits & other Drug Kits during the year 2010-11 from private manufacturers at highly exorbitant rates fraudulently mentioning that the drugs have been manufactured by the CPSE’s (Govt. owned pharmaceutical firms) which caused huge loss to the public exchequer.
A preliminary enquiry was conducted to enquire into the allegations regarding purchase of medicines worth crores of rupees on exorbitant rates by Director Health Services, Jammu ignoring the codal formalities and standing instructions regarding purchases. It was further alleged that the medicines had been procured from the firms which had been permanently de-registered/blacklisted by Director General, Health Services (Medical Stores Organization) R. K. Puram, New Delhi.
The enquiry conducted has revealed that Mission Director, NRHM requested Director Health Services, Jammu that under NRHM various Drug Kits were to be supplemented to the Health Institutions of the State and requested Director Health Services, Jammu to purchase the Drug Kits from Central Public Sector Enterprises (CPSE’s) as per guidelines of Ministry of Health & Family Welfare, Govt. of India conveyed vide D.O. No. M7/130/2010-NRHM-1 dated 12.10.2010 along with office Memorandum issued by Ministry of Chemical and Petroleum, GOI No. 590013/1/2006-SO(PT-IV) dated 07.08.2006 and D.O. of even No. dated 13.06.2008.
Director Health Services, Jammu issued limited NIT for purchases of medicines from CPSE’s. The said medicine did not fall within the ambit of 102 medicines approved purchase from CPSE’s. In Drug Kit for Asha, 4 out of 6 medicines in Drug Kit for Sub-Centre A only 1 out of 7 medicines and in Drug Kits for Sub-Centre B only 3 out of 11 medicines fell within the ambit of 102 medicines approved by the GOI for purchase from CPSE’s under Purchase Preference Policy (PPP). Director Health Services, Jammu vide letter dated 12.01.2011 requested the Chairman Purchase Committee No. 2 GMC, Jammu to approve the rates with reference to terms and conditions of the NIT, but on 28.01.2011 vide another order, Director Health Services, Jammu himself constituted a committee for opening the tenders and approval of rates without any noting on the file depicting reasons for ignoring the first request.
The tender opening committee approved rates quoted by all the bidders, despite the fact that rates quoted by all the four bidders in respect of all the eight Drug Kits were similar and far too excess as compared to previous year.
The Tender Opening Committee further recommended to place the orders to the tune of 25% to each CPSE’s, without any negotiation and without taking into consideration the price fixed by National Pharmaceutical Pricing Authority which provided for a discount upto 35% and also the rates approved during last year. The Tender Opening Committee did not conduct any market survey or any other mode to check the genuineness of the rates quoted by the firms.
Further, the Verifying Committee without taking into consideration terms and conditions of supply order as well as guidelines of GOI, failed to point out that medicines supplied had not been manufactured by supplying firms; the Committee also ignored Good Manufacturing Practice Certificates of the firm, who supplied the medicines to CPSE’s.
It has further been found that M/s Rajasthan Drugs and Pharmaceuticals Ltd. (M/s RDPL) had purchased ORS Powder for supply from M/s Syndicate Pharma Indore and the supplying firm M/s RDPL had been permanently de-registered for ORS Powder by the Director General of Health Services vide file No. Y11014/7/2008 St III dated 01.03.2009.
The enquiry conducted has prima-facie established the allegations contained in the complaint and it has been further established that the purchase of Drug Kits during the year 2010-11 by Director Health Services, Jammu under NRHM was on highly exorbitant rates and in total disregard of codal formalities prescribed for the purchase of Drug Kits which resulted in huge loss to public exchequer.
JAMMU, Sept 17: State Vigilance Organization registered a case against Ashok Kumar Sharma, then Director Health Services, Jammu, Members of the Tender Opening Committee, officers, officials of NRHM, J&K, Members of Verifying Committee & others for purchase of Asha Drug Kits & other Drug Kits during the year 2010-11 from private manufacturers at highly exorbitant rates fraudulently mentioning that the drugs have been manufactured by the CPSE’s (Govt. owned pharmaceutical firms) which caused huge loss to the public exchequer.
A preliminary enquiry was conducted to enquire into the allegations regarding purchase of medicines worth crores of rupees on exorbitant rates by Director Health Services, Jammu ignoring the codal formalities and standing instructions regarding purchases. It was further alleged that the medicines had been procured from the firms which had been permanently de-registered/blacklisted by Director General, Health Services (Medical Stores Organization) R. K. Puram, New Delhi.
The enquiry conducted has revealed that Mission Director, NRHM requested Director Health Services, Jammu that under NRHM various Drug Kits were to be supplemented to the Health Institutions of the State and requested Director Health Services, Jammu to purchase the Drug Kits from Central Public Sector Enterprises (CPSE’s) as per guidelines of Ministry of Health & Family Welfare, Govt. of India conveyed vide D.O. No. M7/130/2010-NRHM-1 dated 12.10.2010 along with office Memorandum issued by Ministry of Chemical and Petroleum, GOI No. 590013/1/2006-SO(PT-IV) dated 07.08.2006 and D.O. of even No. dated 13.06.2008.
Director Health Services, Jammu issued limited NIT for purchases of medicines from CPSE’s. The said medicine did not fall within the ambit of 102 medicines approved purchase from CPSE’s. In Drug Kit for Asha, 4 out of 6 medicines in Drug Kit for Sub-Centre A only 1 out of 7 medicines and in Drug Kits for Sub-Centre B only 3 out of 11 medicines fell within the ambit of 102 medicines approved by the GOI for purchase from CPSE’s under Purchase Preference Policy (PPP). Director Health Services, Jammu vide letter dated 12.01.2011 requested the Chairman Purchase Committee No. 2 GMC, Jammu to approve the rates with reference to terms and conditions of the NIT, but on 28.01.2011 vide another order, Director Health Services, Jammu himself constituted a committee for opening the tenders and approval of rates without any noting on the file depicting reasons for ignoring the first request.
The tender opening committee approved rates quoted by all the bidders, despite the fact that rates quoted by all the four bidders in respect of all the eight Drug Kits were similar and far too excess as compared to previous year.
The Tender Opening Committee further recommended to place the orders to the tune of 25% to each CPSE’s, without any negotiation and without taking into consideration the price fixed by National Pharmaceutical Pricing Authority which provided for a discount upto 35% and also the rates approved during last year. The Tender Opening Committee did not conduct any market survey or any other mode to check the genuineness of the rates quoted by the firms.
Further, the Verifying Committee without taking into consideration terms and conditions of supply order as well as guidelines of GOI, failed to point out that medicines supplied had not been manufactured by supplying firms; the Committee also ignored Good Manufacturing Practice Certificates of the firm, who supplied the medicines to CPSE’s.
It has further been found that M/s Rajasthan Drugs and Pharmaceuticals Ltd. (M/s RDPL) had purchased ORS Powder for supply from M/s Syndicate Pharma Indore and the supplying firm M/s RDPL had been permanently de-registered for ORS Powder by the Director General of Health Services vide file No. Y11014/7/2008 St III dated 01.03.2009.
The enquiry conducted has prima-facie established the allegations contained in the complaint and it has been further established that the purchase of Drug Kits during the year 2010-11 by Director Health Services, Jammu under NRHM was on highly exorbitant rates and in total disregard of codal formalities prescribed for the purchase of Drug Kits which resulted in huge loss to public exchequer.
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