Expired medicine at the government’s procurement unit totalled over €860,000 last year, the Auditor General has found.
According to the National Audit Office (NAO) annual report on public accounts for 2016, the stock, valued at €861,860, was not marked as such by the Central Procurement and Supplies Unit (CPRU). Some of the items had been expired for over five years, the auditors found.
The CPRU manages the procurement and supply of materials used across the government’s healthcare services.
The NAO said that a “considerable number” of stock items were not identified as expired, despite the fact that management reports to analyse expired stock, as well as items which will expire in the forthcoming three months, are generated on a monthly basis.
In an analysis of the final stocktake report, the NAO noted that a list of 29 entries were marked as expired, with the items valued at €325,846. Some medicine had expired in January 2014.
The CPRU management also told the NAO that each item has to be analysed on a case-by-case basis and that not all expired stock is disposed of as some items may be earmarked for return to supplier for replacement or credit.
The use of expired medicine made headlines last year after the Times of Malta reported that patients in a critical condition were given out-of-date Tamiflu medication. This prompted the Health Ministry to appoint a board of in-quiry to look into the matter.
In comments to the NAO, the management said that it had already provided “valid explanations” as to why a substantial amount of expired stock was not identified and accounted for.
“It is normal practice within the pharmaceutical industry that certain drugs can still be used beyond expiry dates if such concession is provided by the manufacturer or if the appropriate testing is made through qualified institutions,” the auditor was told.
The issues highlighted by the NAO were noted from an analysis of a report containing stock costing €18,031,558 issued by the CPRU on January 16, 2017, for stocktake purposes.
The NAO’s annual audit is made up of 22 reports on the operations of various ministries, departments and government entities, including an analysis of the financial report. Separate audit opinions on the financial and compliance audits were published.
Replying to questions, a Health Ministry spokeswoman said that the “stock in question amounted to €861,860, which is a very small fraction compared to the entire CPSU budget for medicines and medical supplies, which amount to €100 million per year”.
She added that a large portion of the expired stock, amounting to €672,000, is attributable to the national stockpile for pandemic preparation.
“This had been tested through a qualified professional laboratory with the test results confirming that the product is still effective and available for use in the unlikely event of a viral pandemic,” she said.