TI-Z ALARMED BY RECENT AUDIT REVELATIONS AT ZAMMSA, CALLS FOR CRIMINAL INVESTIGATIONS

0

TI-Z ALARMED BY RECENT AUDIT REVELATIONS AT ZAMMSA, CALLS FOR CRIMINAL INVESTIGATIONS



Transparency International Zambia (TI-Z) is deeply alarmed by revelations carried in the News Diggers editions of 14th and 15th July 2025, based on findings from a forensic audit conducted by PricewaterhouseCoopers (PwC), which exposed serious procurement irregularities at the Zambia
Medicines and Medical Supplies Agency (ZAMMSA).



According to the reports, ZAMMSA awarded a K16.1 million contract to Mukushi Business Ventures—a supplier that was not registered with the Zambia Medicines Regulatory Authority-ZAMRA as required by law.
Additionally, deliveries under the contract reportedly commenced
after the contract had already expired, suggesting a clear violation of procurement procedures
and regulatory standards.



Even more concerning are findings that ZAMMSA purchased medicines at highly inflated prices without any evidence of negotiations.

For instance, the agency procured packs of Ibuprofen 200mg at a shocking K3, 952 per pack—an increase of over 1,600% from the estimated fair market price of K231. This is not only grossly irresponsible and therefore unacceptable, but also points to possible collusion, abuse of office, or deliberate profiteering at the expense of public health.



These revelations come at a time when Zambia is already facing public scrutiny and donor concerns over governance lapses in the health sector.

Just recently, the U.S. Government
announced the withdrawal of millions of dollars in health sector support citing procurement and accountability failures.



The findings from this audit, therefore, risk further eroding public
confidence, damaging the country’s credibility with cooperating partners, and compromising the delivery of essential medicines to Zambians.

TI-Z views these incidents as a serious indictment on the effectiveness of Zambia’s procurement systems and institutional oversight mechanisms.



It is unacceptable that such large-scale financial decisions, funded by public and donor resources, are made with such disregard for transparency,legal compliance, and value for money.


We therefore demand the following:
1. Immediate publication of the full PwC forensic audit report to allow for broader scrutiny and public accountability.

2. Administrative and criminal investigations into all individuals and entities implicated in the procurement breaches, with appropriate sanctions for misconduct or abuse of
authority.



3. Suspension of all officials found to have acted outside the law pending the outcome of investigations.

4. Full transparency and restitution to donors and cooperating partners whose funds may have been mismanaged.



5. Urgent strengthening of ZAMMSA’s procurement oversight systems, including integration with e-procurement tools, mandatory due diligence checks, and price
benchmarking.

6. Regular independent audits of public procurement entities, with results made public to restore trust in public financial management.



Zambia cannot afford to treat such serious issues with indifference or kid gloves. If public trust in the health sector is to be restored, and if donor support is to be retained, those responsible for these failures must be held accountable, and systemic safeguards must be urgently reinforced.



Failure to take decisive action in this respect will create a culture of impunity not just in the health sector but other sectors as well, and Zambia can ill-afford such a culture taking root.



TI-Z remains committed to supporting efforts that promote transparency, accountability, and the responsible use of public resources for the benefit of all Zambians.

Maurice K. Nyambe (Mr.)
EXECUTIVE DIRECTOR

LEAVE A REPLY

Please enter your comment!
Please enter your name here