DRUGS PROCUREMENT PROBE: HEALTH PS GETS DEATH THREATS, 2 SENIOR OFFICIALS RESIGN

MANZINI – The effects of the alleged misconduct relating to the procurement of medial drugs are seemingly getting serious and life-threatening.

This is if more allegations of death threats against certain government officials are anything to go by. As it is, Principal Secretary (PS) in the Ministry of Health Khanya Mabuza is reportedly receiving death threats, allegedly from some government suppliers, while two senior civil servants have resigned from the Ministry of Health due to same. Mabuza is said to have received the threats along with two senior civil servants from the ministry, who have since resigned in fear for their lives. The two senior civil servants were said to have been responsible for technical activities, which included the procurement of drugs. According to sources, the pair tendered in their resignations to the ministry’s management, citing that their lives were in grave danger as they were receiving calls and text messages threatening them.

Threatened

According to sources, the two senior officials claimed that they were being threatened by some of the suppliers who were supposedly fingered in the Forensic Audit Report on the Acquisition and Distribution of Medicines to Public Health Facilities in Eswatini. It was gathered that one of the senior staff members, who was being intimidated, communicated with the management of the Ministry of Health that resigning was the best option, as she had a family that needed her the most in her native land. The sources claimed that the threats directed to the personnel of the ministry had been subtle, but intensified following the publication of the Comprehensive Forensic Audit Report on the Acquisition and Distribution of Medicines to Public Health Facilities in Eswatini, which was tabled in Cabinet and is yet to be presented in Parliament. It is worth noting that during the national budget presentation by the Minister of Finance, Neal Rijkenberg, he submitted to Parliament an abridged report on the forensic audit.

Corrupt

On the other hand, the comprehensive report, which is yet to be tabled in Parliament, details a number of alleged corrupt acts, which were said to have been committed by a number of suppliers and also Central Medical Stores (CMS) personnel.  As such, the sources claimed that due to the allegations published in the comprehensive report and also what could be submitted in the two ongoing investigations within the ministry, many ‘players’ who supposedly engaged in illicit acts were panicking and threatening people. The sources claimed that there were more personnel who were being intimidated. They supposed that the technical staff was more hands-on in the procurement of medical drugs and supplies within the ministry.
Since the conception of the investigations into the shortage of medical drugs and supplies in public health hospitals, a number of people have purportedly received death threats.
Among them is the Audotor General (AG), Timothy Matsebula,  who this publication reported that he had dashed to detail intimidation and death threats to law enforcers, allegedly from businesspeople along with some civil servants.

Matsebula was said to have been receiving declarations of an intention to inflict damage, punish or hurt him. The threats were said to have had connotations instructing him to supposedly desist from proceeding with the investigations. The communication relaying the threatening message is said to be from unknown telephone numbers to him. As such, the AG was said to have reported the matter to the police and according to sources, it had been referred to prosecutors. The threats were against the backdrop of Matsebula reporting to law enforcers that his email account, used to store valuable government information, had been hacked. The AG expressed suspicions that the people behind the hacking of his email were linked to the probe into the theft of medical drugs and pharmaceutical supplies.

Alerted

At the time, Matsebula said he was alerted of the hacking by a former employee at his office, who is now based in the Republic of South Africa. The AG reportedly said a number of email accounts using his name were being used to send messages to his various colleagues. His suspicions were that the perpetrators were impersonating him in anticipation of getting confidential government information. Also, on February 14, 2024, this publication reported that Judge Muzikayise Motsa said his safety was threatened due to presiding over the medical drugs case. According to Judge Motsa, his personal safety and security and that of his children and family, whom he endeared so much, was now at stake and threatened, because he presided over the matter.

On the other hand, last month, it was reported that Senior Attorney Zweli Jele was reportedly receiving menacing threats, as he represents two Ministry of Health officials (Principal Procurement Officer Sincedile Magwaza and Deputy Director Pharmaceutical Services Fortunate Bhembe) in the case against the Civil Service Commission (CSC), the Ministry of Health, AG (Matsebula) and Funduzi Forensic Services. Jele was quoted saying the threats to the judges were linked to the intimidation directed at him, and that they were all reported to the police. It is worth noting that, not less than E2.4 billion went to waste at the CMS, through undelivered drugs, duplicate payments, price ballooning and payment of donated medication.

According to the Forensic Audit Report on the Acquisition and Distribution of Medicines to Public Health Facilities in Eswatini, a number of factors account to a loss of E2 406 558 897.23. The cumulative figure of events said to have happened in a period of two financial years: 2020 - 2022- has factors which include that suppliers cashed E1.17 billion for drugs they did not deliver to the CMS.

Some of the allegations
contained in the report:

The report states that investigators from Funduzi Forensic Services reported that they identified that there were payments made in respect of the years 2021, 2022 and a portion of 2023, which were made without orders. From this act, they said their conclusion was that the procurement process was riddled with inefficiencies, possible corruption and fraud, as well as undue enrichment to certain suppliers. The report stated that in 2021, CMS paid E346 227 869 and in 2022 paid E467 224 258. Last year, it was said drugs valued at E352 590 390 were paid for. Also, drugs for the antiretroviral therapy (ART) valued at E328.2 million were delivered without being ordered. It was reported that the Government Payment System reflected that payments were made to foreign companies based on the reference numbers/codes against those payments. They said at the time of concluding the report, they had not obtained or been furnished with details relating to these payments and justification thereof. The orders delivered without purchase orders tallied E328 228 715 as at 2021, government paid E45 529 405 while in 2022, an amount of E237 829 361 while last year, E44 869 949 was paid. Also, it was the finding of the investigation that there were discrepancies between delivered stock on record and payments made. It was said in the antiretroviral (ARV) inward book for 2020/21 financial year, E233 871 079.15 was recorded, while there was a total expenditure of E257 742 616.34. This depicts a variance of E23 871 537.19.

Expenditure

On the other hand, in the 2021/22 financial year, the inward book reflected E118 275 882.47, while the total expenditure was E265 291 612.32 which depicted a difference of E147 015 729.85. It was also said government paid E7 million for donated trial drugs. The report states that in one instance, this possible fraudulent, fruitless and wasteful expenditure resulted in E7 million paid towards a service provider in respect of donated trial drugs, which should not have been paid for. It is said in light of this, certain suppliers were complicit in the creation of a false claim relating to payment for donated trial drugs (Remdesivir). The trial drugs were said to have been donated at the height of COVID-19 and during the forensic investigation by Funduzi Forensic Services, they were found in large quantities at CMS and also at the Mbabane Government Hospital.

In addition to this, it was the finding of Funduzi Forensic Services that there were possible duplicate payments made to certain suppliers and in one instance, amounting to E68 million. On the other hand, certain suppliers were reportedly overpaid, as in one instance, a supplier was paid about E8 million more, following that they were awarded a tender at E2 million which at the end cost the taxpayer E10 million as the it is the amount government paid. The report also states that CMS had drugs valued at E81 162 288.06 of expired medicines reported over the two years under review (2020-2021 to 2021-2022). This was said to be fruitless and wasteful expenditure of millions incurred by government.

Abusing

It was further claimed in the report that certain suppliers found a way of abusing the (procurement) system by dumping stock, which had not been ordered knowing that certain public officials would facilitate payment thereof. The investigators identified that some orders were delivered, but without any records of the orders being placed. In the 2020/21 financial year, it was claimed that orders delivered without being requisitioned by the CMS amounted to E101 721 535.42, while in 2021/22 were valued at E42 765 018. Subsequently, the unordered products were reportedly paid for by CMS to the tune of E7 330 079. This, it is said, clearly indicated that certain suppliers could bully their way into being paid by government by simply dumping their excess stock and later demand and indeed get paid for same.

Expenses

Furthermore, it was reported that the expenses incurred due to orders not being delivered or partially supplied amounted to E516 936 183.80 for just 10 public health facilities. It was claimed that certain suppliers did not deliver the full stock of drugs despite huge payments being made or expenditure being incurred thereof. Also, it was reported that Eswatini pays E208 485 293.91 more than South Africa for the antiretroviral (ARVs) of a similar population of 45 000, annually. The report states that the ordering patterns do not seem to follow best practices regarding the determination of volumes and quantities to order in order to avoid excess stocking of drugs that end up expiring. In an example of the ARVs ordered in South Africa and Eswatini, a population of 11 556 in South Africa had an expenditure of R12 649 280.40 while in Eswatini it is E66 188 303.88. This means Eswatini spends E53 539 023.48 more despite the population being equal. Another example was that of a population of 45 000 which result in South Africa spending R49 257 322.43 annually while Eswatini spends E 257 742 616.34 in the same period.

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