Medical equipment kickbacks, industry corruption must be rectified!

📅 2023-08-10 📂 Zhiming Hot Comments Zhiming Hot Comments [1] 🏷️ #CriminalLaw #DoctorBribery #MedicalDevices #PharmaceuticalRepresentatives #Kickbacks

Compiled from The Paper
 
[2] A linear accelerator, imported at a cost of 15 million yuan, was purchased by the hospital for 35.2 million yuan, with the hospital director pocketing 16 million yuan in kickbacks.

[3] Image source: Internet; delete if infringing.

[4] A reporter from The Paper noted that this corruption case, which shook the industry, refers to the collective corruption scandal at Pu'er People's Hospital in Pu'er City, Yunnan Province.
 
Case review
[5] On June 28, 2020, the Yunnan Pu'er City Commission for Discipline Inspection and Supervision announced that Yang Wenjun, former Deputy Party Secretary and President of Pu'er People's Hospital, and Yang Wenhong, Party Committee Member and Vice President of Pu'er People's Hospital, were both under investigation.
 
[6] On February 3, 2021, Yang Wenjun and Yang Wenhong were both expelled from the Party and removed from their posts on the same day.
 
After investigation, Yang Wenjun violated political discipline by engaging in "one-man rule," turning the "three major and one large" system into a mere formality, and failing to implement inspection rectification requirements; violated the spirit of the Central Eight-Point Regulations by illegally accepting gifts and participating in activities that could affect impartial execution of official duties; exhibited formalism by treating inner-party political life unseriously and perfunctorily; violated organizational discipline by failing to truthfully explain issues during organizational inquiries; violated integrity discipline by repeatedly borrowing others' vehicles with expenses paid by others, borrowing large sums from unit employees, and allowing his son to accept property using his influence; violated mass discipline by fabricating charges to collect fees; violated work discipline by improperly performing duties, causing economic losses; violated life discipline by engaging in and maintaining improper sexual relations during marriage, and failing to properly manage and educate his son, causing adverse effects. Yang Wenjun is suspected of bribery, abuse of power by state-owned institution personnel, dereliction of duty by state-owned institution personnel, and unit bribery.
 
After investigation, Yang Wenhong violated the spirit of the Central Eight-Point Regulations and integrity discipline by illegally accepting gifts and participating in activities that could affect impartial execution of official duties; violated organizational discipline by failing to truthfully explain issues during organizational inquiries; violated life discipline by pursuing vulgar interests and engaging in improper sexual relations during marriage; used her position to seek benefits for others in medical equipment and pharmaceutical operations and accepted property, with a large amount, suspected of bribery.
 
 
"Criminal Law of the People's Republic of China"
Article 163
Employees of companies, enterprises, or other units who use their positions to demand or illegally accept property from others to seek benefits for them, if the amount is relatively large, shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention; if the amount is huge, shall be sentenced to fixed-term imprisonment of not less than five years, and may also have their property confiscated.
Employees of companies, enterprises, or other units who, in economic transactions, use their positions to violate state regulations by accepting various forms of kickbacks or handling fees for personal possession shall be punished according to the preceding paragraph.
Personnel engaged in public service in state-owned companies, enterprises, or other state-owned units, and personnel dispatched by state-owned companies, enterprises, or other state-owned units to non-state-owned companies, enterprises, or other units to engage in public service, who commit the acts in the preceding two paragraphs, shall be convicted and punished according to Articles 385 and 386 of this Law.
 
Article 385
Any state functionary who, by taking advantage of their position, extorts property from another person, or illegally accepts another person’s property in exchange for securing benefits for that person, constitutes the crime of bribery.
Any state functionary who, in economic activities, violates state regulations by accepting various forms of rebates or handling fees for personal possession shall be punished as a bribe-taker.
 
 
[1] The author's perspective
The procurement of medical equipment differs significantly from that of ordinary equipment. Although equipment exceeding a certain amount must be procured through bidding by the procurement center according to regulations, hospitals and their departments have the final say in the configuration and parameters of the equipment. Therefore, some equipment manufacturers and agents are willing to spend heavily to bribe department heads and supervising leaders in hospitals, causing these bribe-takers to set procurement standards based on the instrument parameters provided by the bribe-givers.
 
Thus, it can be seen that while there are policies from above, there are countermeasures from below. After all, the medical industry is highly specialized, making it difficult for outsiders to manage. However, those in positions of power should not abuse their authority in such a manner. In any case, doctors should have a parental heart, living up to the moral principle of medical benevolence and the trust bestowed by the people.

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