Mega scam in medical SOS service

Sanjeev Shivedekar & Malathy Iyer | TNN

Mumbai: Barely a month after the state cabinet gave the green signal to
appoint a Satyam Computers-led firm as the main emergency medical service
provider for its rural areas, the multicrore project has hit a road-block.
   The Supreme Court on Monday issued notices to Maharashtra, along with
nine other states, to respond to charges levelled by the PIL claiming that
the 108 ambulance service (provided by Satyams-promoted Emergency Medical
Research Institute (EMRI)) smacked of a gigantic scam to the tune of Rs
5,600 crore. *

Lack of ambulance tender raises eyebrows

*
Mumbai: The Supreme Court has taken note of a petition alleging a gigantic
scam in the emergency ambulance service. Maharashtra is still to sign a
memorandum of understanding with EMRI, but nine states and Union health
minister Anbumani Ramadoss have already done so. The Centre's MoU is
reportedly worth Rs 3,000 crore for the provision of ambulances across state
highways and the use of 108 software which combines responses to the fire
department, police and ambulance service.
   The fact that the MoUs between EMRI and the states and the Centre were
signed without calling for a tendering process has reportedly raised
eyebrows. India has half-a-dozen ambulance providers who have currently
filed tenders in states such as Delhi and Bihar.
   On Monday, an SC bench comprising CJI K G Balakrishnan and Justice P
Sathasivam entertained the petition filed through advocate Siddharth
Chowdhury, issued notices to the health ministry and Andhra, Gujarat, Madhya
Pradesh, Tamil Nadu, Rajasthan, Uttarakhand, Goa, Assam, Haryana, Punjab,
Karnataka and Maharashtra, asking them to respond to the charges levelled by
the PIL.
   Maharashtra had in October decided to sign on EMRI as the emergency
service provider in rural Maharashtra, at a cost of Rs 310 crore over the
next three years. On Monday, Maharashtra health minister Vimal Mundada said,
"I have not received the SC orders, so it will not be appropriate to comment
on the issue. After receiving the order copy, the state government, in
consultation with concerned officials, will file its reply in the apex
court.'' However, a senior health department official said that the 108
software is only with Satyam Computers. "Since no other company has that
software, where does the question of inviting tenders come in?''
   The PIL filed by two NGOs—Ambulance Access Foundation India (AAFI) and
Transparency in Contracts (TIC)—claimed that EMRI had signed an MoU with 10
states to provide ambulance and emergency services without any call of
tender.
   Arguing for the PIL petitioners, senior advocate Rajeev Dhawan said,
"EMRI is set to withdraw an estimated Rs 3,800 crore from public funds and
get control and possession of 500 acres of prime government land in state
capitals and leading cities valued at Rs 1,800 crore.''
   He added, "The misuse of public money and siphoning off of prime
government land is made possible due to lack of transparency in the process
and is possibly one of the biggest scams in post-independent India as the
process of award of contracts to operate ambulances and emergency response
services has been effected without following the due process for award of
contracts.''

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