The purchase of ‘Fateh kits’, which are being provided by the Punjab Government to Covid-19 patients, has come under scrutiny with the National Health Mission (NHM) awarding the purchase of kits worth ₹20 crore without following the due tendering process.
Also, Grand Way Incorporation, a Ludhiana-based firm which was given the purchase order, doesn’t have the drug licence — a mandatory condition to participate in the tendering process.
A Fateh kit contains a digital thermometer, a steamer, a fingertip pulse oxymeter, vitamin C limcee and zinc tablets, vitamin D3 capsules, Ayush kwath, dolo and other medicines.
NHM director (finance) Neeraj Singla said the purchase was made in emergency as cases of infection were rising exponentially in Punjab and the department did not have the kits to distribute it to the patients. The purchase order was given on May 7.
The NHM had invited the tenders for the purchase of kits on April 29, it is learnt.
The tender was reportedly cancelled because four companies quoted the same price at the rate of ₹1,780 per kit. The NHM officials claim that the tender was cancelled because all four bidders deliberately quoted the same price.
“Since new tendering would have taken more time and we wanted kits immediately, one of the companies, which earlier provided 50,000 kits ₹1,095 apiece agreed to supply us kits at ₹1,195 apiece. The pandemic has taken such a turn that we needed to buy the kits urgently,” said Neeraj Singla.
{{/usCountry}}“Since new tendering would have taken more time and we wanted kits immediately, one of the companies, which earlier provided 50,000 kits ₹1,095 apiece agreed to supply us kits at ₹1,195 apiece. The pandemic has taken such a turn that we needed to buy the kits urgently,” said Neeraj Singla.
{{/usCountry}}The company was asked to provide 1.5 lakh kits at a total cost of ₹20.07 crore.
The firm was given the earlier purchase order on April 19 of supplying 50,000 kits through tendering. It did not have the mandatory drug licence while participating in the bidding process at that time also.
“A bidder cannot even apply for tenders for supplying drugs without the licence as per Drugs and Cosmetics Act. The bidder was allowed to involve a third party for supplying drugs. All other applicants in both the tenders had the drug licence,” said a health department official.
NHM director Kumar Rahul said the condition of having drug licence is not necessary and the company can make purchases from third party as the kit contains several items in non-medicine category.
“Since the tender was cancelled, the other bidders will also be given the purchase order as our kit is in demand because of the rising Covid cases. All procedures have been duly followed,” he said.
Attempts to contact Grand Way Incorporation did not yield any result.