No CDSCO certificate, incomplete docs: Health dept orders inquiry over irregularities in medical equipment purchase

Earlier this year, the MMGPA had floated a tender to procure essential medical equipment like cell counter, microscope, lab autoclave, haemoglobin meter, haemoglobin strips, lithotomy table and lamp. A total of 5 companies participated in this tender, out of which only 2 were qualified.

A complaint has been submitted with the Public Health department which alleges, CDSCO (Central Drug Standards Control Organisation) certificate was not submitted for medical equipment like autoclave and microscope, even though it was mandatory and tenders were awarded despite incomplete documents. It has been alleged that both the qualified bidders are authorised by the same manufacturing company.

“This is a direct violation of the Indian Competition Act 2002 and Tender Rule 2.2.6 (Conflict of Interest). Both the qualified tenderers did not attach the required documents such as work experience, customer testimonials and official tender documents signed by a chartered accountant to prove completion of the work worth Rs 28 crore (mandatory turnover value).

The complaint has also mentioned that over all these tender irregularities, one ineligible bidder had duly registered objections with the Health Appeals Department and the Directorate of Industries office.

“However, without properly resolving these objections and doubts, the price envelope was opened in a hurry and the ineligible bidder was qualified and given a work order and a contract. This action clearly shows the complete lack of transparency in the tender process,” the complaint said.

The public health department on June 4 asked MMGPA to undertake detailed inquiry into the objections raised against the tender process and submit the report at the earliest.