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Hospital’s hemodialysis vendor owed $1.6M
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Posted on Apr 27 2012
»Corporation pays a ‘fraction’ for four-week delivery of supplies
By Moneth Deposa
Reporter
Reporter
Commonwealth Healthcare Corp. chief executive officer Juan N. Babauta disclosed yesterday that the hospital’s hemodialysis unit vendor was owed $1.6 million by the corporation.
He said the bulk of the obligation was absorbed by the then Department of Public Health.
Prior to the corporation takeover in October last year, Babauta revealed that JC Marketing, Inc.-which is the vendor of the unit’s supplies for many years-was owed $1.2 million which amount increased to $1.6 million to date.
Because of the scarce financial resources of the hospital, which has no actual budget allocation this fiscal year, obligations not only to vendors but to employees were not met resulting to the continuous rise of the corporation’s debts.
But yesterday, the CEO said a “fraction” of the $1.6 million debt to JC Marketing was paid which resulted in the promised delivery of new supplies for the dialysis unit. Babauta refused to say how much it paid the vendor and for how long the new supplies will last.
“CHCC paid a portion of what it owes the vendor. The vendor has agreed to resume supply but not certain for how long since CHC still owes a substantial amount, the bulk from prior to Oct. 1, 2011 under the former Department of Public Health,” Babauta said, adding that the money it pays the vendor was sourced from the revolving line of credit from the Marianas Public Land Trust.
The corporation recently received directly from MPLT the $2 million balance of the $3 million line of credit approved for the organization. Portion of the monies were utilized in partial payment of obligations to vendors and personnel including one month housing allowance.
Saipan Tribune learned yesterday that the corporation paid $150,000 for an estimated four weeks of supplies at the dialysis unit.
