Sussex Street ‘pharma-bond’ owner is now Govt drug supplier

Lawrence ‘Larry’ Singh, owner of the controversial Sussex Street property that has been rented as a ‘Drugs Bond’ by the Ministry of Public Health for in excess of M monthly, is now a supplier of drugs to Government.

This is another of the glaring revelations the People’s Progressive Party Civic ((PPP/C) unearthed when it probed the Minister of Public Health over drugs’ purchases in that sector.

On Thursday, when that party fielded a delegation at the Office of the Leader of the Opposition, the PPP/C’s shadow representative for the health sector, Dr Frank Anthony, made the following disclosure: “Now we have a new supplier of drugs…”

Citing the Government’s own Integrated Financial Management and Accountability Systems’ report, Dr Anthony queried whether Lawrence Singh the drug supplier could be Lawrence ‘Larry’ Singh, the owner of the Sussex Street bond and a Coalition Administration supporter.

“You have a whole system here where procurement processes are not being followed. And we feel that because of that, there is corruption that is occurring. An interesting thing when we go through some of the information that was provided. For one particular region, a name comes up, and that name is Lawrence Singh, (he) is now supplying drugs to regions,” Dr Anthony said.

“And it begs the question whether that Lawrence Singh has any relation to the Larry Singh who is providing bond space to the Government. And so that is something we want clarified, cause it was not very clear. And we now have a new supplier for drugs and supplies; one we never knew of before, but whose name has come up now as a Lawrence Singh,” he added.

Following on from his colleague Member of Parliament Bishop Juan Edghill, the former Junior Minister of Finance who had earlier lamented that Government appears to now be making drugs’ purchases from sawmills, corner shop pharmacies and computer stores, Dr Anthony revealed that at least one computer store is listed as a supplier of drugs for the Government’s health sector.

Larry Singh fiasco

Has the owner of the infamous Sussex Street drug bond, a known political supporter of the coalition, now branched off into supplying millions of dollars’ worth of drugs and medical supplies to the State?

These is just one of the burning questions raised by the PPPC, and it comes in wake of the Government’s own Integrated Financial Management and Accountability Systems’ (IFMAS) reports.

According to the reports, which were provided to the Opposition to answer questions on drug procurement fielded in Parliament, Lawrence ‘Larry’ Singh is one of the latest in a line of new contractors who supply drugs and medical supplies to Government. According to the ‘free balance’ report, Singh has supplied some $7.2M worth of drugs and medical supplies to the Government.

Speaking to the matter of drug procurement, Edghill had cautioned that because 77 per cent of the Georgetown Public Hospital Corporation’s (GPHC’s) total allocation for the year had already been spent in the first two months of the year, he expected an imminent raping of the treasury when the Parliament goes into recess.

Edghill recalled that the Coalition Administration had opted to change the rules and allow for a single lump-sum allocation to be made to GPHC, which essentially circumvents parliamentary scrutiny.

Outlining the financial operations at the nation’s premier health institution, Edghill observed that of the total $8.5 billion allocated the entity for the year, employment costs account for $3.1billion; capital expenditure has been budgeted at $527million; dietary and meals at $537 million; and other purchases, such as cleaning supplies and security, have been budgeted at $579 million.

According to Edghill, this “would mean you have about $2.6 billion for the year for the procurement of drugs and medical supplies.”

With $2 billion of that money already spent in the first two months of the year — representing some 77 per cent of the total allocation for the year — Government will undoubtedly be heading to the coffers for more money.

He was adamant that “raping of the treasury will take place” during the August recess, and the full amount would not be made known until October, when Government is made to lay a Supplementary Financial Paper in the National Assembly, detailing the expenditure.

Another matter he raised concerned the hundreds of millions of dollars being allocated to the Regions for drugs and medical supplies, while small amounts are expended for this purpose; thus the bulk is remitted to the Ministry of Public Health, which is then unable to procure the required drugs and medical supplies.

Whatever money is spent by the Public Health Minister is being done with no public tender, he cautioned. Adamant that there are set criteria in the procurement laws, Edghill pointed to the fact that 92% of the drugs’ purchases made this past year was done on an emergency basis.

“Are we manufacturing emergencies to avoid proper procurement…this manipulating of the system must stop!” Edghill declared.

Lamenting the purchasing practices of the Government, Edghill recalled the ‘big hullabaloo’ that was raised because drugs’ purchases were being made from the New Guyana Pharmaceutical Corporation (New GPC) – a company that has been pre-qualified to international standards. He queried whether the State had degenerated to the point where a public official can call anyone to request the supply of drugs and make the purchase on an emergency basis.

According to Edghill, the stench of corruption permeating the Administration has reached to the high heavens. “This high state of mismanagement that is taking place must come to an end!” he insisted.

His call has been supported by colleague parliamentarians Dr Vindya Persaud and Dr Frank Anthony, both of whom have lamented the state of affairs in the country on the second anniversary of the coalition government’s coming in to office. PPPC Chief Whip Gail Teixeira was also present at this PPP/C press engagement.