Will the Parliamentary Watchdog Committee on Public Enterprises (COPE) investigate SPC, which is alleged to have manipulated the ongoing shortage of drugs at State hospitals to make money?

Treasury Secretary Dr. P. B. Jayasundera has accused the State Pharmaceutical Corporation bosses of causing a shortage of essential drugs at government hospitals for their personal gain. An irate Jayasundera did not mince his words when he alleged that some SPC officials had received as much as 30 per cent commission for making emergency purchases last year.

Well informed sources said Treasury Secretary Jayasundera had made this revelation at a recent meeting chaired by Health Minister Maithripala Sirisena at his ministry to explore ways and means of improving the network of State hospitals.

Treasury Chief Jayasundera was reacting to an accusation by a senior SPC representative that the Treasury had released only Rs. 3,000 million of Rs. 14,000 million allocated for purchasing drugs. Dismissing the SPC claim, the powerful bureaucrat had slammed the state-run-agency for conveniently turning a blind eye to an existing arrangement with the Bank of Ceylon to meet their needs, sources said. He emphasised that had the SPC got in touch with the BOC, it could have obtained the required funds. He said that due to lapses on the part of the SPC officials, people seeking treatment at government hospitals had to undergo difficulties.

He went on to summon a senior BOC official to the meeting at the Health Ministry and she explained the system in place to facilitate the purchase of drugs. According to her, the SPC could utilise upto Rs. 6,000 million to meet its needs, but it had not done so, she said.

The Treasury chief said that all government servants were paid their monthly salaries, though the Treasury was being blamed for shortcomings. Responding to him, an SPC official had said that they did not receive their salaries from the State, sources said. A smiling Jayasundera had reminded him that they received salaries as the government allowed SPC to engage in business transactions.

The SPC warned that the shortage of essential drugs could worsen within the next few months. Health Minister Maithripala Sirisena said that he was not ready to accept that and speedy action should be taken to rectify the shortcomings.

Secretary to the Treasury Jayasundera said that the SPC should not try to deceive him as he was fully aware of the procedures. He assured Minister Sirisena that he would work with him to restore an uninterrupted supply of required items.

Sources said that former Health Minister Nimal Siripala, too, was to be blamed for this situation. Although he had sought help of Treasury Chief to make emergency purchase of drugs, Sirisena’s predecessor had never cared to find out what was going on.