Corruption rampant in Lahore General Hospital

Corruption in the Lahore General Hospital is rampant and causing financial loss following re-entering into new agreement, keeping aside the original one, for providing maintenance of the MRI machine installed in the hospital for the post-warranty period of five years.
According to documents available with Business Recorder, the Lahore General Hospital had procured/purchased MRI machine by adopting legitimate procedure of inviting tenders to ensure competition among the suppliers. As a result, the committee comprising Dr Ali Ajwad Shah, Principal, Post-Graduate Medical Institute and Lahore General Hospital, the then Finance Director Dr Junaid Mirza, Additional Medical Superintendent, and Dr Mushtaq Qureshi resolved to select Metora Digionics (Pvt) Ltd for supplying of Phillips MRI machine at a cost of $1,398,500.
The committee, accepting quotation vide number T040422/QLGH dated April 22, 2004 issued purchase order and executed an agreement in this regard on June 10, 2004. Under the agreement, the MRI supplying company was bound to provide maintenance along with parts for the MRI machines during the warranty period of five years. Besides, the committee, after hectic negotiations with the company's representatives, struck a deal for also providing maintenance during the post-warranty period of additional five years at a cost of $34,000.
Under the agreement, the supplier/manufacturer had given undertaking to repair/replace parts during the five-year warranty period and on payment of addition cost of S34000 during the post warranty period of another five years.
The agreement shows that maintenance would be responsibility of the manufacturer or its agent and an annual optimal uptime of 95 percent is considered as acceptable level of performance. Moreover, the manufacturer will guarantee the availability of spare parts and accessories for the system for ten years.
Meanwhile, Dr Junaid Mirza, Additional Medical Superintendent, who was one of the purchase committee members, proceeded for attending Master of Public Health course just ahead of expiry of warranty period.
In his absence, Dr Mansoor Bukhtiari, Incharge of MRI Department, with the support of Dr Tariq Salah ud Din, Principal, of Post-Graduate Medical Institute and Lahore General Hospital, entered into a new one on August 18, 2010 with the same company--Matora Diginoics (Pvt) Ltd, keeping aside the original contract. The new agreement was furnished on a stamp paper of Rs 100 and was signed by the representatives of the company and the Lahore General Hospital high-ups.
It is noted that Lahore General Hospital agreed to pay substantial amount of Rs 7,800,000 on account of maintenance charges to the supplying company for the post-warranty period against the previously agreed amount of $34000 for the purpose. The total amount was required to be paid by the hospital in four equal instalments ie first payment on November 17, 2010, second payment on February 17, 2011, third payment on May 17, 2011 and further payment on August 17, 2011.