THE Premier Service Medical Aid Society (PSMAS) will today hold a special general meeting (SGM) in Harare with observers saying it could be explosive after the medical aid provider has failed to convene an annual general meeting since 2022.
The meeting, coming after a prolonged period of internal conflict, is expected to address a number of critical issues facing the medical aid society.
The 2022 AGM was cut short when PSMAS members discovered the area had been cordoned off by authorities with the anti-riot police having been called to disperse them.
According to sources, who spoke to NewsDay yesterday, among key issues to be discussed is the presentation of results of the forensic audit which the government ordered about two years ago.
The report has not been released to date.
“The then Health minister, Vice-President Constantino Chiwenga ordered the audit. Also, this general meeting has been blocked for the last three years and is now only going ahead under the interim manager,” they said.
Government appointed the acting general manager, Simon Nyadundu, the ministry’s chief director of human resources, in November last year.
“Additionally, none of the ministry officials who led the issues is still in place, including Chiwenga, deputy minister John Mangwiro, secretary Jasper Chimedza and four other directors. (They) are all gone,” the sources said.
- Opinion: Corruption a threat to viability of health systems
- Health talk: Zim health system grapples with corruption
- PSMI workers sing the blues
- $2,1bn deficit weighs down PSMI
Keep Reading
They also revealed that the forensic auditor was still using PSMAS offices two years after their appointment.
“Unfortunately, the company, PSMAS, had already taken a position, freezing the holding company out and not paying staff or any obligations since 2022 even though it (holding company) was formed through an AGM resolution,” the sources said.
Meanwhile, in a notice, Nyadundu said key agenda items included the presentation of a forensic audit report, the interim manager’s report and a proposal to reverse the establishment of Premier Service Holding Company (Pvt) Limited and the Premier Service Trust.
The meeting will also consider amendments to the PSMAS constitution, particularly regarding the composition of the board of directors.
The proposed amendments seek to reinstate a previous version of section 7 of the constitution, which gave government, civil servants, members, affiliated employer organisations and the principal officer a greater say in the governance of PSMAS.
The meeting is expected to consider and approve several amendments to the PSMAS constitution.
PSMAS has been riddled with accusations of corruption, pilferage, underhand transactions, kickbacks and financial mismanagement involving government officials, board members and top executives.
PSMAS is the oldest medical aid provider, having been established in 1930, but top executives and government officials have, over the years, been accused of spending money on high-end automobiles and obtaining huge bonuses while medical aid fund participants struggle to obtain medical treatment.
