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HomeIndiaGovernanceGovt orders immediate audit after suspicion of scam in medicines-for-all scheme

Govt orders immediate audit after suspicion of scam in medicines-for-all scheme

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An internal audit found many irregularities in the implementation of the PMBJP, and minister Mandaviya says he’s ordered another one to probe them.

New Delhi: Smelling a scam in the Centre’s flagship medicines-for-all scheme – the Pradhan Mantri Bharatiya Janushadhi Pariyojana (PMBJP), the ministry of chemicals and fertilisers has ordered an immediate audit into the implementing agency, the Bureau of Pharma PSUs of India (BPPI).

The ministry’s move comes after ThePrint reported on 12 March that the government’s internal audit committee, the Office of the Chief Controller of Accounts, had levelled several accusations over the implementation of the scheme as well as the day-to-day working of the BPPI.

“We have ordered an immediate fresh audit of the BPPI and the implementation of the scheme. The problems highlighted by audit committee are serious, and we are determined to take immediate action,” Mansukh L. Mandaviya, minister of state for chemicals and fertilisers, told ThePrint.

“The first audit was ordered by J.P. Prakash, secretary of the department of pharmaceuticals, parent department of the BPPI. I have formed an internal committee to look into the discrepancies and evaluate the authenticity of the charges levelled by the audit report. We are awaiting the results of the fresh probe before taking any further actions,” the minister said.

Irregularities found by the first audit

Misappropriation of funds, excess spending, and poor quality control were among the 14 allegations made by the auditor against the BPPI, with the irregularities noticed between 2014-15 and 2016-17.

It also alleged that some medicines were being sold at prices higher than the market cost, defeating the entire purpose of the initiative — which is to provide high quality generic medicines at affordable prices to India’s common people.

The BPPI also allegedly favoured private firms by overriding its own regulations, making unauthorised payments, and accepting medicines that should’ve been rejected under its own rules and regulations (see link above).

Addressing the leadership crisis

Mandaviya also recognised that the BPPI is a headless organisation and lacks leadership. It has been looking for a CEO since November last year, when Biplab Chatterjee became the third person to resign from the post in three years.

“We have been giving out advertisements in the national dailies to fill up the crucial position. However, I have asked the department of pharmaceuticals to expedite the process of finding a new CEO for the BPPI. We will close the position soon,” the minister said.

Expansion plans

The misappropriation charges won’t hurt the growth of the initiative, which might have been launched under the UPA-II regime but is a priority for Prime Minister Narendra Modi, the minister said.

“We have opened around 3,300 outlets across India. Our objective is to establish 5,000 outlets before the end of the year 2019,” Mandaviya said.

Modi, in fact, mentioned the scheme in his first ‘Mann Ki Baat’ radio address of 2018, saying many people had written to him about the benefits of these ‘Jan Aushadhi Kendras’.

“With over 3,000 centres under the Pradhan Mantri Bharatiya Janushadhi Yojana, medicines are available at 50 per cent to 90 per cent cheaper than branded drugs available in the market. This is making healthcare affordable and improving the ease of living,” the PM had said.

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1 COMMENT

  1. If need to run suckesfully try to ask sum genrics people thos work in last 20year it’s good run and very good response come from coman man I was in PHARMA last 27 year but no use to serve best service due to personal finance prob I was 2nd pursun to open Jan Aushadhi in Karnataka sir I was support full for this to reach all coman man but no one support get from bppi

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