Editorial | Not surprised by UHWI

Sadly, this newspaper can’t claim to be surprised by the auditor general’s findings of seeming flagrant disregard for the government’s procurement rules, and possible corruption, involving hundreds of millions of dollars, at The University Hospital of the West Indies (UHWI).

We were forewarned two years ago with the resignation of the hospital’s then chairman, Wayne Chai Chong, who, for his efforts at reform, appears to have merely missed being tarred and feathered and unceremoniously run out of town. Backwards!

What, however, is surprising is that the new board of governors, led by the distinguished banker, Patrick Hylton, which succeeded Mr Chai Chong’s crew, appears to have done little to address the rot at the hospital. Or, if they did, went about it so quietly that they surrendered the opportunity to rebuild the trust of stakeholders, including the public and staff, in the institution.

The two official responses to Pamela Monroe Ellis’ report, which was tabled in Parliament on Tuesday, give credence to these observations.

First is the implied acknowledgement by the UHWI’s board that it only sprang into the action to address the management and accountability failings at the hospital in the wake of Ms Monroe Ellis’ audit, and is now accelerating its efforts with the publication of her findings of after-the-fact contract tenders; of hospital using its exempt status to help private firms avoid paying import duties; that it routed purchases to its private arm, presumably to avoid scrutiny; and that routinely used direct contract or limited bid arrangements rather than open tender.

“In recognition of the cumulative nature of these issues, the board had already begun implementing a structured reform programme prior to tabling the report, aimed at strengthening governance, improving documentation, and reinforcing oversight across the hospital,” the governors said in a statement.

They added, “With the tabling of the report, the board has moved to further accelerate and formalise actions that were already under way. A comprehensive review of all procurement systems referenced in the report has been directed, with a focus on identifying root causes and strengthening controls to safeguard transparency, compliance, and value for money.”

NOT TO HAVE CONFIDENCE

Unless he is engaged in a cynical contrivance, the health and wellness minister, Christopher Tufton, appears not to have confidence in the current governors to get the job done, or to, on their own reposition The University Hospital of the West Indies as a transparent and accountable institution.

That is an extremely reasonable, if not the inescapable conclusion, to be drawn from Dr Tufton’s appointment of what is tantamount to a parallel board, which he calls a committee, that is assigned to “identifying gaps and/or weaknesses in UHWI’s corporate governance and management structures, financial, public procurement and administrative … (and) corporate risk management systems”.

This group, chaired by lawyer and businessman Howard Mitchell, and including five other high-powered individuals, is to deliver its recommendations for improved corporate accountability and risk mitigation to Minister Tufton.

Put another way, Mr Mitchell’s team is doing, or is supposed to do, the very things that the Patrick Hylton-led board of governors says they are doing. And Mr Mitchell’s outfit appears to have no reporting obligation to Mr Hylton and his fellow governors.

This approach is a recipe for chaos and possible disaster. This newspaper therefore hopes that they can avoid treadding over each other in their scramble to get their jobs done.

It is important in the circumstances to recall how we go here in the hope that Jamaica learns to discern potential crises, and to act on early signs of problems, rather than decrying, or shooting, the messenger. Which appears to have been the metaphorical fate of Wayne Chai Chong.

In December 2023 Mr Chai Chong had been chairman of UHWI for a year and when he resigned, simultaneously, the board was dissolved by Dr Tufton. The minister characterised the issue at the hospital as personality contretemps.

However, Mr Chai Chong quickly insisted the disagreements were over the board’s attempt at reform, including hiring a top-tier professional from abroad, as part of an attempt “improve the governance, management, and operational efficiency of the institution”.

There were pushbacks, Chai Chong told the Observer newspaper at the time. In the sour atmosphere, he explained, the recruited professional withdrew.

When the board, according to Mr Chai Chong, attempted to leapfrog the then acting CEO with an internal manager, they were vetoed by Dr Tufton.

Mr Chai Chong’s board, by his account, had also “detected incidents of suspected fraud in the hospital’s payroll department”, as well as other shortcomings in the management of the operations, including a failure to collect debts.

In the wake of the auditor general’s report and findings, Mr Chai Chong appears to be vindicated. At least, the manner of his departure as chair of the UHWI’s governors should have been a catalyst for a deep clean of the institution, especially given that it followed the hospital’s chaotic and years-long failure to implement a health management information system that cost buckets of money.

Hopefully, they can now get it right. Taxpayers deserve that they do.