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Showdown looms at PSMAS

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INSTABILITY continues to dog government-funded health insurer Premier Service Medical Aid Society (Psmas) amid reports that a group of disgruntled members want the current board, led by Jeremiah Bvirindi, removed at the next annual general meeting (AGM) set for June 27.

INSTABILITY continues to dog government-funded health insurer Premier Service Medical Aid Society (Psmas) amid reports that a group of disgruntled members want the current board, led by Jeremiah Bvirindi, removed at the next annual general meeting (AGM) set for June 27.

BY RICHARD CHIDZA

Cuthbert Dube
Cuthbert Dube

Psmas at the weekend gave notice of the AGM, but it emerged that sections of the membership want to waylay the meeting with an attempt to topple the board over a litany of allegations.

In a letter dated June 8, through their lawyers, Puwayi Chiutsi Legal Practitioners, the group, led by Maphios Siamuchembu (membership number 434874) and Eden Frank Mtambalika (664754), formally gave notice “of any other business under item 3 of the agenda”.

“To consider the dissolution of the current board on account of having presided over the deteriorating service delivery and the mismanagement of the society’s funds as evidenced by the prioritisation of luxurious vehicles for management over service delivery.

“In the place of the dissolved board, to re-appoint Gibson Mhlanga, the former interim manager, or if he declines the appointment, to appoint somebody else of good standing, for a period of 12 months during which period, the appointee shall make arrangements for the appointment and/or election of a new board as provided for in the society’s constitution as read with applicable legislation,” the letter said.

Psmas board chairperson Bvirindi confirmed receipt of the letter, but said his board would look into it “and see if it complies with our constitution”.

“We have received it, but it is just part of the internal fights and efforts by disgruntled groups, including those that lost their positions, to throw spanners in the works for us. We know where this is coming from. We have not abused any funds and the cars we bought for three directors were just part of their conditions of employment,” Bvirindi said.

He added that the insurer’s managing director was currently using a vehicle bought by former chief executive officer Cuthbert Dube’s executive.

“There were nine top-of-the-range cars that we recovered from Dube and we managed to sell six of them. The other three are still on sale and we have allowed the current managing director to use one of them,” Bvirindi told NewsDay.

The members accuse Bvirindi’s board of having showered management with cars valued at $500 000, while ordinary members wallowed in penury.