Financial irregularities detected in Lahore hospital's Covid spending

LAHORE: The Auditor General of Pakistan (AGP) has detected financial irregularities in Services Hospital, Lahore’s Covid-19 related expenditure, reported ARY News.

According to a report of the AGP, the hospital administration inflicted a loss of over Rs2.5 million on the exchequer by purchasing shoe covers at inflated rates from companies other than those that usually supply such material to the medical facility.

Besides, it disclosed, surgical masks and sanitizers were bought for Rs25.3 million at rates higher than their market prices. Rs7.2 million worth of medicines were unnecessarily purchased, it said.

The report revealed that the hospital squandered over Rs2.8 million government funds on setting up Covid-19 wards without approval of the cabinet committee and spent a staggering Rs78.6 million on a total of 771 patients.

In sharp contrast, Sir Ganga Ram Hospital spent Rs4.53 million on 641 patients. Withholding tax amounting to Rs9,800 and Punjab sales tax to the tune of Rs210,344 were also not levied on the hospital’s purchases.

Dr Iftikhar, the medical superintendent of the hospital, said he has submitted his response to the AGP’s objections. Denying any role in the irregularities, he said senior professors purchased Covid-19 related material.