HEALTHMEDICINE

Kerala PPE Kit Price Scandal : CAG Report: Kerala Govt's Overpriced PPE Kit Purchases During Covid

CAG Report: Kerala Govt's Overpriced PPE Kit Purchases During Covid
A CAG report revealed that during the Covid pandemic, the Kerala government led by Chief Minister Pinarayi Vijayan purchased PPE kits at inflated prices, leading to significant financial losses.

Synopsis

A recent CAG report has unveiled that the Kerala government, under CM Pinarayi Vijayan, procured PPE kits at inflated prices during the Covid pandemic, leading to significant financial losses. The opposition claims this is a major fraud, while government leaders dismiss the allegations as political maneuvering.

Key Takeaways

  • PPE kits were purchased at Rs 1550 instead of Rs 550.
  • This resulted in a loss of Rs 10 crores for the Kerala government.
  • Opposition leaders accuse CM Vijayan and former Health Minister Shailaja of fraud.
  • Three companies offered kits at Rs 500, but the government chose San Pharma.
  • The CAG has validated the claims raised by the opposition in the past.

Thiruvananthapuram, Jan 21 (NationPress) A report from the Comptroller and Audit General (CAG), presented before the Kerala Legislative Assembly on Tuesday, disclosed that during the Covid pandemic, the Kerala government, under the leadership of Chief Minister Pinarayi Vijayan, acquired PPE kits at exorbitant rates.

The report indicated that the PPE kits, which were available for Rs 550, were instead procured at Rs 1550, resulting in a loss of Rs 10 crores.

In March 2020, Kerala reported the country's first COVID-19-positive case.

V.D. Satheesan, the Leader of Opposition in Kerala, accused Chief Minister Vijayan and the then Health Minister K.K. Shailaja of being the main perpetrators of this significant fraud, while the CPI-M party dismissed these allegations as mere political targeting by the Central government.

“We had raised this issue previously, and now the CAG has confirmed this substantial scam. We will pursue this matter as we did in the past. Currently, a legal case related to this is ongoing. Shailaja approved the PPE kit orders after receiving instructions from Vijayan,” stated Satheesan.

He noted that three companies were willing to supply a PPE kit for Rs 500, but the order was allocated to San Pharma at Rs 1550 per kit.

“Shailaja herself previously admitted that the order was placed under Vijayan’s directives. Notably, a 100% advance was paid to San Pharma. What we raised in 2021-22 has now been validated by the CAG,” added Satheesan.

Conversely, CPI-M leader K. Anilkumar suggested that the allegations were politically motivated and questioned the timing of the CAG's findings.

“The Centre is leveraging organizations to target the CPI-M government, and this is just the latest instance,” claimed Anilkumar.

S.S. Lal, a renowned health expert with the WHO, described the government's actions as a blatant act of theft.

“The Health Department is a treasure trove for those involved in procurement. Despite my political views, I am speaking as a health expert in this instance. The CAG has rightly criticized the Kerala government,” remarked Lal, who was a Congress candidate in the 2021 Assembly elections.

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