News / Local
Bulawayo hospital fights State takeover bid
20 Oct 2015 at 06:26hrs | Views
Ekusileni Medical Centre in Bulawayo is challenging a Cabinet resolution allowing the government to take over the specialist medical project on the basis that it had failed to open its doors to the public as a private institution.
In a letter addressed to outgoing acting chairman of the Zimbabwe Health Care Trust (ZHCT) who is also the Minister of Economic Planning Ambassador Simon Khaya Moyo, EMC interim managing director Rodney Dangarembizi argued that equipment and drugs worth over $5 million meant for operationalisation of the project were stuck at the Harare International Airport awaiting a duty waiver since February this year.
EMC is a private joint venture company between ZHCT and a South African-based company Phodiso Holdings, but was declared a national project because of the specialist nature of its services, which are not found anywhere else in the country hence it's eligibility to the government's support such as duty waivers on equipment and drugs.
Dangarembizi said the government was therefore supposed to facilitate release of duty free certificates to enable them to bring the equipment and drugs to EMC for it to re-open its doors to the public, but has not done so since February this year.
He said EMC did all that was possible including approaching the ministries of Finance, Health and Child Care, the Office of the President and Cabinet and the Zimbabwe Revenue Authority to ensure that the duty free certificates were issued, to no avail.
"With all due respect, the problem is at the door of the government. The sourcing of the drugs and equipment was done, the diligent pursuance of the clearance of the goods by Zimra was done and all that could possibly be done was done," said Dangarembizi.
He said some of the drugs had to be sent back to South Africa to avoid storage charges as the government through the Deputy Secretary in the Office of the President and Cabinet Ray Ndhlukula promised to work on the duty free certificates.
Dangarembizi said Ndhlukula was the interface between EMC and the Office of President and Cabinet since he was appointed to that role at the insistance and specific request of the late Vice President John Landa Nkomo in his capacity as chairman of the ZHCT.
"The way things stand; it appears as if certain individuals with a proclivity of grabbing other people's property misled the Cabinet by misrepresenting the situation or concealing the truth from Cabinet. "The running theme and dictate of the letter seems to be that the government is taking over because Ekusileni has failed and/or neglected to ensure the hospital doors open," he said.
He called on Cabinet to reverse its decision allowing the government to take over the hospital saying it was a clear defiance of the company's constitutional rights as there was no law empowering the State to take over private property compulsorily in the absence of criminal activity. "As such, we appeal to your good office to help regularise the situation and stop the effecting of this patently unlawful and unconscionable directive," wrote Dangarembizi to Minister Khaya Moyo.
He said failure by the government to rectify the anomaly will leave EMC with no option but to pursue the legal route. ZHCT founding deputy chairman Dr Athanasius Daud Dube echoed Dangarembizi's sentiments that the decision to let the government take over the private organisation was illegal.
Dr Dube said he was not aware of any discussions or resolutions pertaining to the government's takeover, which Health and Child Care Minister Dr David Parirenyatwa referred to. Efforts to get a comment from both Ndhlukula and Minister Khaya Moyo were fruitless by the time of going to print.
The 200-bed hospital was built in 2000 in honour of the late Vice President Joshua Nkomo. NSSA and the Mining Industry Pension Fund (MIPF) became partners to the project after providing funding to the project. Dr Parirenyatwa recently announced in Bulawayo that his ministry was taking over the running of the institution on a private public partnership.
In a letter addressed to outgoing acting chairman of the Zimbabwe Health Care Trust (ZHCT) who is also the Minister of Economic Planning Ambassador Simon Khaya Moyo, EMC interim managing director Rodney Dangarembizi argued that equipment and drugs worth over $5 million meant for operationalisation of the project were stuck at the Harare International Airport awaiting a duty waiver since February this year.
EMC is a private joint venture company between ZHCT and a South African-based company Phodiso Holdings, but was declared a national project because of the specialist nature of its services, which are not found anywhere else in the country hence it's eligibility to the government's support such as duty waivers on equipment and drugs.
Dangarembizi said the government was therefore supposed to facilitate release of duty free certificates to enable them to bring the equipment and drugs to EMC for it to re-open its doors to the public, but has not done so since February this year.
He said EMC did all that was possible including approaching the ministries of Finance, Health and Child Care, the Office of the President and Cabinet and the Zimbabwe Revenue Authority to ensure that the duty free certificates were issued, to no avail.
"With all due respect, the problem is at the door of the government. The sourcing of the drugs and equipment was done, the diligent pursuance of the clearance of the goods by Zimra was done and all that could possibly be done was done," said Dangarembizi.
He said some of the drugs had to be sent back to South Africa to avoid storage charges as the government through the Deputy Secretary in the Office of the President and Cabinet Ray Ndhlukula promised to work on the duty free certificates.
Dangarembizi said Ndhlukula was the interface between EMC and the Office of President and Cabinet since he was appointed to that role at the insistance and specific request of the late Vice President John Landa Nkomo in his capacity as chairman of the ZHCT.
"The way things stand; it appears as if certain individuals with a proclivity of grabbing other people's property misled the Cabinet by misrepresenting the situation or concealing the truth from Cabinet. "The running theme and dictate of the letter seems to be that the government is taking over because Ekusileni has failed and/or neglected to ensure the hospital doors open," he said.
He called on Cabinet to reverse its decision allowing the government to take over the hospital saying it was a clear defiance of the company's constitutional rights as there was no law empowering the State to take over private property compulsorily in the absence of criminal activity. "As such, we appeal to your good office to help regularise the situation and stop the effecting of this patently unlawful and unconscionable directive," wrote Dangarembizi to Minister Khaya Moyo.
He said failure by the government to rectify the anomaly will leave EMC with no option but to pursue the legal route. ZHCT founding deputy chairman Dr Athanasius Daud Dube echoed Dangarembizi's sentiments that the decision to let the government take over the private organisation was illegal.
Dr Dube said he was not aware of any discussions or resolutions pertaining to the government's takeover, which Health and Child Care Minister Dr David Parirenyatwa referred to. Efforts to get a comment from both Ndhlukula and Minister Khaya Moyo were fruitless by the time of going to print.
The 200-bed hospital was built in 2000 in honour of the late Vice President Joshua Nkomo. NSSA and the Mining Industry Pension Fund (MIPF) became partners to the project after providing funding to the project. Dr Parirenyatwa recently announced in Bulawayo that his ministry was taking over the running of the institution on a private public partnership.
Source - chronicle