Report: Muhammad Ashfaq
The inquiry committee report of Ayub Medical Teaching Hospital Abbottabad (AMTI) has uncovered embezzlement over Rs.200 million in the purchase of medicines, machinery, and surgical instruments. The procurement process was marred by serious violations of Khyber Pakhtunkhwa Public Procurement Authority (KPRA) rules.
According to the report, details obtained from the IT Pharmacy Services and Procurement Department of AMTI revealed that the entire procurement process was dubious, resulting in a significant loss of millions of rupees to the national exchequer.
The report reveals the direct involvement of several key individuals in the corruption, including the former director and principal accounting officer of the hospital, Dr. Ather Lodhi, former inventory management head and main medicine store official, Habib Ullah Turabi, deputy director of IT, Shehryar Ali, deputy director of procurement, Murtaza Khan and senior auditor of ATH, Amjad Elahi. Additionally, 21 more individuals have been found to be implicated in the embezzlement of millions of rupees.
The report clearly outlines that the individuals mentioned above colluded in the embezzlement. They were found to be involved in the illegal procurement of medicines, machinery, surgical instruments, and IT goods valued at over Rs.1.355 billion. This corruption resulted in a loss of over Rs.200.88 million to the national exchequer.
According to the inquiry report, in violation of procurement rules, fake bids, NTNs, and fraudulent documents without bank statements were used to award contracts to ineligible companies. Essential items, including pharmacy supplies and IT equipment, were purchased at prices above market value without conducting a market survey.
The report further revealed that despite an existing agreement with Pakistan Microbiological Associates (PMA) for the financial years 2022-2025, the tender for a chemistry analyst was re-advertised in the financial year 2023-24.
The report also uncovered that several pharmaceutical companies were provided with fake documents, including FBR registration and bank statements. Despite this, contracts worth over Rs.147,394,845 were awarded.
These contracts were signed by former hospital director Dr. Ather Lodhi, allowing for arbitrary adjustments in favor of certain companies. Moreover, drugs worth millions of rupees were purchased at prices well above the market rate, resulting in millions of rupees in overcharges.
The inquiry committee has recommended that the investigation be handed over to a “Proper Investigation Agency”, expressing belief that the embezzled amount is likely much higher than the reported figure. The committee’s report also highlighted that the inquiry process was hindered by the lack of interest, delay tactics, and suspicious actions of two committee members, Dr. Sardar Ayub and Muhammad Ali. As a result, both were excluded from the inquiry based on the committee’s recommendation.
The inquiry committee has recommended the removal of all individuals involved in the corruption, in accordance with the law, and suggested taking legal action under criminal laws to recover the embezzled amount of Rs 200.88 million. Additionally, the committee has called for a further forensic audit by external agencies to recover the full extent of the embezzled funds.
