For the past two nights we've been looking at the Auditor General's special audit of the KHMH. It is just a snapshot really - one designed to examine three transactions: the first to acquire X-Ray units, the second to purchase Medical Supplies, and the third to buy pharmaceutical products.
We're spending days taking apart the report, because there were a lot of irregularities - not least of which was the sourcing of an X-Ray machine from a mystery company in Hong Kong. Very unusual because typically medical equipment is bought refurbished from clinics or other legitimate suppliers right here in the Americas. So why did they go to the far east? That's what we have been trying to find out:..
Jules Vasquez reporting
Spring HK Holdings Ltd - that company name comes up many times in the audit. The HK stands for Hong Kong, and their address says they are headquartered in this towering building, the Trend Center.
It says they are in Room 2015 - but we found multiple businesses all over the internet using that same address - including this one, Astra Defence a Swiss arms company.
Indeed the audit notes that quote: "we attempted to validate the existence of Spring Holdings Limited Hong Kong. We are currently awaiting a response.
They add that the KHMH conducted a research of Spring Holdings and its transactions with the KHMH. And, get this, quote, "According to the CEO the result revealed uncertainties about the company's physical location and the price paid for the X-Ray Machines."
But Spring Holdings continued to be a buyer of choice. The KHMH paid them 187,539 dollars and 24 cents in advance for items that weren't delivered to the KHMH at the time of the audit.
CEO Gary Longsworth told the auditors it was not consistent with the policy of the KHMH to make full payments before items were received.
But he says it was done because the Director of Financial services circumvented his office and instructed the approval of the payment.
Tomorrow we'll look into all that was irregular with the X-Ray machine which the KHMH finally got - and which stayed stocked up in boxes for months because no one wanted to touch it.
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