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COVID-19 MEDICAL CRISIS: RAHUL GANDHI RAISES MASSIVE PROFITERRING ON CORONAVIRUS RAPID TEST KITS

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National

COVID-19 MEDICAL CRISIS: RAHUL GANDHI RAISES MASSIVE PROFITERRING ON CORONAVIRUS RAPID TEST KITS

Ritu Yadav.
Former congress president Rahul Gandhi called for an immediate inquiry into the alleged massive profiteering by some companies while importing rapid testing kits for coronavirus from China. Also, asked Prime Minister Narendra Modi to “act swiftly” against those who are taking advantage of the unprecedented medical crisis.
Rahul Gandhi was reacting to reports about India paying double for Chinese Rapid Antibody Tests that have been put on hold in many states because of faulty results. “When the entire country is in grapple against the COVID-19 pandemic, some people are still trying to earn profits using unscrupulous ways. Such a corrupt mindset makes me cringe. The country will never pardon them,” Rahul Gandhi tweeted in Hindi.
“An insult to every Indian.” said Rahul Gandhi on profiteering of rapid testing kits stressing on the crisis that the country is facing due to the Pandemic.
“That any human being would try & profiteer from the immeasurable suffering of millions of his brothers & sisters is beyond belief & comprehension. This scam is an insult to every Indian. I urge the PM to act swiftly to bring the corrupt to justice,” he stated.
“One had heard that Chinese companies had adopted mercenary pricing but these are Indian companies,” Congress Lok Sabha member Manish Tewari said in an online press conference.
Congress’s Ahmed Patel wrote: “The recent Delhi HC judgment has raised a pertinent question -Why was ICMR purchasing antibody test kits for Rs 600 per piece, which was imported for Rs 245? In the midst of a pandemic, no one should profit at the expense of poor. Hope Govt clarifies this.”
Congress chief spokesperson Randeep Surjewala also said it was “shameful and inhuman” that people were supplying test kits bought for Rs 225 at Rs 600 to the state exchequer.
“Corruption in Corona Testing Kits OR Profiteering by duping the Exchequer. Import Price of 1 Testing Kit= Rs 225! Purchase Price of Testing Kit= Rs 600! Profit Margin = 166.66 pc! Shameful and Inhuman! Will PM fix responsibility,” he said on Twitter.

The world after the end of Covid19 Crisis

The profiteering was revealed after an importer, Matrix Labs, got into a legal dispute with another company, Rare Metabolics that was meant to distribute/supply 1 million kits to the Indian Council of Medical Research (ICMR).
Each kit cost Rs. 245, including taxes; they were being sold to the ICMR for Rs 600 per kit. However, the matter reached the Delhi High Court as the importer and the distributor got into a dispute over pending supplies.

“The Court is of the view that a profit mark-up of Rs. 155, i.e. 61 per cent on the landed cost price of Rs. 245, is much on the higher side and in any case more than sufficient for the seller, for the kits/tests to be made available in India for urgent extensive tests through the country, especially in these present extraordinary circumstances of the worldwide pandemic. Public interest must outweigh private gain. The dispute between the parties should give way to the greater good. In view of the above, the kits/test should be sold at a price not beyond Rs. 400 per kit/test inclusive of GST,” the Delhi High Court ordered.
Following the Delhi High Court order, both parties have agreed to sell antibody test kits in India at the court-mandated price of Rs 400 per kit, inclusive of GST.
After listening to both parties, Delhi High Court decided that 2.24 lakh tests shall be delivered to ICMR, the moment it land in India. The balance amount of Rs. 8.25 crore has to be first paid to importer Matrix Labs within 24 hours of petitioner receiving money from ICMR, before they are adjusted for any purpose. The court also ordered remaining 26,000 kits from the Tamil Nadu government’s order to be provided directly to the stated the moment they reach India.
The Indian Council of Medical Research, the nodal body for coronavirus testing, had received complaints from Rajasthan, Bengal and Tamil Nadu that the kits were faulty. The ICMR had assured a resolution.

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