UHWI confirms companies named in audit report that flagged use of tax-exempt status

The University Hospital of the West Indies (UHWI), has confirmed the names of four companies that an auditor general report has named as beneficiaries of the hospital's misuse of its tax exempt status to import items for the entities.

Speaking at Tuesday's meeting of Parliament's Public Accounts Committee (PAC) Acting Chief Executive Office Eric Hosin identified the entities as Supreme Laundry Services, The Willman Sales Company Limited , Scientific Medical Services, and the JACDEN Group of Companies.

The Auditor General’s report, tabled in Parliament on January 13, flagged procurement breaches at UHWI, including missing documentation for dozens of contracts and concerns over the use of the hospital’s tax-exempt status.

The report found that UHWI used its tax exemption to import goods for the private entities, resulting in significant unpaid customs duties. However, the report did not name the companies or attribute fraud or wrongdoing to any specific company.

"UHWI inappropriately utilised its tax-exempt status to import goods for private companies, resulting in losses totalling $23.1 million," the audit report said.

In a statement in February, JACDEN Group of Companies maintained that its engagement with UHWI is compliant and that the Auditor General’s findings relate to administrative and systemic issues within the hospital, not any misconduct on its part.

“The report identifies administrative and systemic failures within UHWI’s internal procurement and customs-related processes and does not conclude that JACDEN caused or directed those failures,” the company said in a statement on Feburary 9. It added that its work is “conducted under formal arrangements and in accordance with applicable procedures.”

JACDEN is a healthcare and janitorial services company based in St Andrew. Its chairman is Dennis Gordon, the founder, who is also the opposition People’s National Party Member of Parliament for St Andrew East Central.

He is a member of the Public Accounts Committee. He was absent from Tuesday's meeting.

More details to come.

Follow The Gleaner on X, formerly Twitter, and Instagram @JamaicaGleaner and on Facebook @GleanerJamaica. Send us a message on WhatsApp at 1-876-499-0169 or email us at onlinefeedback@gleanerjm.com or editors@gleanerjm.com.