$3m NHIA single source procurement attracts Audit Service red flags

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The Audit Service review of procurement methods at the National Health Insurance Authority (NHIA) has flagged single source procurement of ¢11,260,793 and $3,307,000.

According to the Service, the justification outlined in the contract document [GR/NHIA/CS/009/17] signed and dated July 7, 2017, for single source procurement method were contrary to Sections of the Public Procurement Act, 2003 (Act 633).

In a letter dated May 3, 2018, the Service observed that the new NHIA team (as a result of a change of government) has inherited poor finances with potential liabilities of about ¢2 billion incurred over a year.

Since this was constraining its fundamental operations, the Authority planned to establish an audit to block the fraudulent claims which were causing the financial leak.

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