Why would the potential FNM candidate and the FNM Party so HATE BAHAMIANS? – The Opposition sent conflicted Marvin Smith to oppose the case against FREE PRESCRIPTION DRUGS FOR BAHAMIANS – YINNER HATE BAHAMIANS, EH?
NASSAU| Bahamas Press is following a Tribune article this Monday morning where THE Bahamas Pharmaceutical Association (BPA) Dr Marvin Smith, the Association’s president, claims the government did not consult his group on the expansion programme of National Health Insurance.
Dr. Michael Daville announced during the mid-year budget debate the Davis Government’s plan to expand free medication coverage under the National Health Insurance (NHI) programme. Dr Darville listed a number of conditions for which Bahamians will be covered to assist in their health care.
Smith, however, who we understand wants to run in the next election, has come out with his anti-Bahamian machine (Tribune) to suggest that his organization was not consulted about the programme. WATCH THIS NOW!
Marvin Smith, when he worked for the Government before 2014, paraded an exercise of CONFLICTS within the Health Department where he negotiated for himself; greased himself and profited for himself. Now don’t take our word for it. Read what the Forensic Audit to PUBLIC HOSPITALS AUTHORITY BOARD in 2014 said about Dr Marvin Smith below:
REPORT: Para 90 – 95: Abuse of the Tendering Process – Dr. Marvin Smith
90. Our investigations uncovered details of at least one abuse of the tendering system when Dr. Marvin Smith, Deputy Director of BNDA, circumvented the tendering process by ordering “urgent” supplies that apparently were not in demand, that benefited a supplier, National Supply Inc., who was not at the time the approved supplier for the oncology drugs ordered.
The MPC#13 tender process was circumvented and it appears that Dr. Smith may have carried out this transaction in questionable circumstances. The amount of drugs ordered were not supplied, and the receipt of the drugs was certified by the same person ordering, Dr. Marvin Smith. Additionally, the internal auditors found evidence that the receiving documents may have been altered from the original invoices from 200-Docetaxel 40 mg and 200-Oxaliplatin 200 mg to reflect a receipt of 400-Docetaxel 20 mg and 400-Oxaliplatin 100mg.
Good segregation of duties and best practices in inventory management do not allow the person authorizing or ordering the inventory item to be responsible for certifying the receipt of the inventory ordered. Assuming the audit report is accurate, this manifests a fundamental flaw in internal controls. The PHA’s policy on the purchase of emergency supplies mandates that “should a primary supplier not be able to fulfill mandated contracted items, a supplementary supplier is obligated to render goods to BNDA for some drugs listed in MPC#13 Tender and ultimately the pharmacy or clinic request drug.”
91. The internal audit report noted that National Supply Inc. was not at the time (May, 2011) a listed supplier of the BNDA and had just receive the pharmacy registration from the Pharmacy Council just three days prior to the ordering of the drug on an “emergency” basis.
The total orders of the drugs were not delivered, yet no documentation for the backorder was prepared. Instead, the original invoice was modified to reflect a different quantity received.
Yet the internal financial controls at PHA allowed a check to be issued for $86,557 payable to a vendor not on the approved list. This indicates that the accounting department was negligent in the issuance of the check, notwithstanding an approval by the MD, and again indicated the power of the MD and the top management of PHA to circumvent the controls that they themselves established, when it suited them to do so. In this case, the PHA was defrauded out of over $11,500.
92. Additionally, the company National Supply Inc. appears to be a shell company, quickly established for the purpose of transacting with the BNDA. The company apparently used a fictitious address of “All My Children’s Plaza P.O. Box SP-63888, Soldier Rd, Nassau, Bahamas, but there was no physical address. A second address provided was 214 Lagoon Court, Sandyport, P.O. SP-63888. An Internet search for the address of 214 Lagoon Court comes up with the address of Gibraltar Global Securities Inc., a brokerage firm owned by Warren Davis (who also hold the business license for National Supply), who may be an Associated of Dr. Marvin Smith. Mr. Warren Davis is s CFA involved in securities trading with no history in the supply of pharmaceutical drugs. This entire incident and relationship should be investigated for possible ethical breaches and fraudulent purchases.
Shell Companies
93. A shell company is an entity that has no active business and usually exists only in name as a vehicle for another company’s business operations. In essence, shells are entities that exist mainly on paper, have no physical presence, employ no one and produce nothing. They are frequently used to shield identities and/or to hide money. A number of red flag indicators including no phone number, no email address, no physical address, no company logo, and no contact person can often identify a shell company.
94. Shell companies are often associated with fraud of fraudulent activities. Although they are legal entities that do have a legitimate function in business operations, shell companies are also utilized by criminals to facilitate fraudulent activities. Such activities include money laundering, billing schemes, fictitious service schemes, bankruptcy fraud, tax evasion, and market manipulation. While shell companies are frequently linked to multiple forms of frauds, law officials are unable to prosecute all cases because the agents of the state or officers of the court do not collect enough ownership information on company formation documents. This is important when the nominee shareholders are unwilling or unable to cooperate with the court officer by producing a declaration of trust document that reveals the identities of the true owner.
Findings
95. The following items highlight the key findings that surfaced during the construction and analysis of PHA’s MMD Department. More details can be found in the remainder of this report.
a) At least one high-ranking PHA official compromised the integrity of the procurement process by circumventing internal control measures by assuming unauthorized signing abilities to authorized advance payments to a wholesaler to provide materials that were never subsequently satisfactorily provided. This official is still in the same position at PHA;
b) The staff at MMD routinely circumvented the internal controls and issued purchase orders that indebted the Authority without approval.
c) Staff requests and accepts gifts from vendors.
d) Vendors circumvented the tender process, did not conform to the terms of the agreement, and reused the same PO number on numerous occasions.
e) The MD demonstrates significant influence on the tendering process. His lack of enforcement of the written ethical code, his continuing to transact with vendors who may have defrauded the Authority, his failure to remove HODs that compromised the Authority, his approving emergency purchases with vendors not on the approved list, all point to managerial negligence and questionable leadership.
f) During a Crown Agent Value for Money Assessment, some concern was expressed about the concentration of suppliers to two or three vendors without the benefit of a cost/benefit analysis.
g) The MMD HOD gave a ‘compromised’ vendor high rankings on the internal control assessment of vendors, indicating a questionable relationship when all is considered, with this particular vendor.
We ga report and let yinner decide!
BP EDITORIAL COMMENTS: See Dr Smith the “medical cartel” nor the WUTLESS MEDIA in the Bahamas cannot protect you from the deep investigators of Bahamas Press. We have more to this than we share but just know WE GAT DA FILES!
