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No Compensation For PSMAS Members - VP Chiwenga

2 years agoSun, 06 Nov 2022 10:48:01 GMT
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No Compensation For PSMAS Members - VP Chiwenga

Vice President Constantino Chiwenga has said Premier Service Medical Aid Society (PSMAS) members, mostly civil servants and other low-income earners will not get any compensation.

Chiwenga who doubles as the Minister of Health and Child Care (MoHCC) told Parliament last Wednesday that no one will get compensation as looted funds will be forfeited to the State.

He said those who abused money will be charged once investigations are complete and go to jail if convicted. 

The PSMAS board was dissolved to pave way for a new interim board, which the VP promised would be in place soon.

Meanwhile, a forensic audit is being undertaken to assess the loss to the entity.

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PSMAS members have for years failed to get medical attention at health institutions as PSMAS failed to pay for services offered despite members paying their subscriptions.

The government funds 80% of the contributions whilst civil servants contribute 20% which constitutes 100% towards PSMAS contributions.

The depreciation of the Zimbabwe dollar contributed to the losses experienced by members. Most institutions are offering services in United States Dollars (USD).

Some years ago, reports of a scandal involving former chief executive officer Cuthbert Dube emerged suggesting that Dube was earning half a million dollars every month, allowances equivalent to his monthly basic salary of US$230 000 plus a bonus of over US$1 million. This brought his annual earnings to just over US$6.4 million. 

The amount of money the top bosses were paying themselves was allegedly enough to eradicate the suffering of more than 61 111 people suffering from HIV and AIDS who could have ARVs bought for them every month with these huge salaries.

These salaries were also being paid out of medical aid funds which was contributed by mostly civil servants who were earning an average of US$350 per month.

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