By Our Reporter
SHILLONG, Sep 24: The Comptroller and Auditor General (CAG) has raised concerns over the procurement of two essential medicines at rates higher than those approved by the Central Purchase Board (CPB).
The CPB is responsible for maintaining a list of Approved Rates of Essential Drugs.
The Directorate of Health Services (DHS) found itself in hot water as it failed to provide convincing justifications, resulting in an avoidable expenditure of approximately Rs 87 lakh for the government department.
DHS’s defense rested on the claim of an unavoidable scenario, citing the inclusion of the three drugs in the Essential Drugs List and the urgent requisition from various districts. Allegedly, the medicines had to be procured at market rates because the approved suppliers couldn’t immediately meet the CPB-prescribed rates.
However, the CAG report rebuffed the justification and pointed out that the purchase of 1.50 lakh bottles of dry syrup and 80,370 strips of 500 mg tablets, ordered on January 31, 2019, only arrived in December 2019 and September 2020. This significant delay of 11-19 months directly contradicts the emergency claim.
Additionally, the DHS failed to provide copies of indents for the medicines from the district authorities or any recorded evidence of the approved suppliers’ inability to meet the prescribed rates.
Furthermore, the Directorate couldn’t produce any documentation supporting actions taken against the defaulting firms for breaching contractual obligations.
The CAG report has recommended that the state government initiate a thorough inquiry to identify the reasons behind the procurement of medicines from unapproved suppliers at higher rates. The report also called for holding the concerned officer responsible for these lapses accountable.