Minister awaiting detail on health officials accused of corruption

Queensland Health Minister Tim Nicholls says he is yet to be briefed on the details of the staff in his department accused of taking kickbacks for allowing the use of a medical device company’s equipment in public hospitals.

It comes as the medical device sector expressed concern about the alleged conduct, and one health sector insider told this masthead the firm involved was expected to be a smaller operator that may no longer be in business.

The state’s Crime and Corruption Commission announced fraud and official corruption and misconduct charges for four people in relation to the alleged scheme on Thursday, with an arrest warrant issued for a fifth.

Representatives of a medical device company are alleged to have made secret payments to public officers in return for the rollout of its equipment, with the officials also accused of failing to declare the payments and their involvement in the company.

With the four set to appear in court in January, little further detail has been revealed by the anti-corruption agency, the Health Ombudsman that aided what was described as an extensive investigation, or the department.

The tight-lipped nature of the probe has seemingly extended to the government, with Nicholls telling reporters in Brisbane on Friday morning he was yet to be briefed on the identities of those involved and whether they had been stood down.

“We’re awaiting information about the names of those employees and who they are … we have not been informed by the CCC,” Nicholls said.

“I’d like to be able to give you a lot more information but as I say, while the matter is still with the CCC, I think it’s appropriate that the CCC be allowed to continue to carry out their investigations and complete what obviously is quite a substantial … allegation of fraud.”

He said no concerns about patient safety had been raised. Instead, the allegations related to “the way in which medical equipment was to be used and put into our hospitals, and the … inducements” surrounding that.

Nicholls said the charges involved alleged activities that stretched back to 2019 or 2020. A health sector source, granted anonymity to discuss the sensitive matter, said they understood the firm involved was a smaller operator that may no longer be trading.

Ian Burgess, chief executive of the Medical Technology Association of Australia – the industry’s peak body – told this masthead: “These are serious allegations that are appropriately before the courts.”

Given the ongoing investigation and lack of detail released by the corruption watchdog, Burgess said his organisation could not comment further, but had a code of practice developed with consumers and other community groups.

“Compliance with the code is mandatory for MTAA members and the code ensures that healthcare professionals and hospital officials are not influenced in their decision-making around the use of devices through financial or other inducements,” he said.

“Inducements of any kind are strictly against the code. MTAA calls for medical device manufacturers and suppliers that are not members of MTAA to be required to adhere to such a code of practice, by law or regulation.”

The health department has declined to comment on the matter. The corruption watchdog said it would not comment further while the matter was before the courts. The health ombudsman has also declined to comment, citing confidentiality provisions in its laws.

But an ombudsman spokesperson noted the office “conducts investigations into individual health practitioners where there may be evidence of professional misconduct or the practitioner poses a serious risk”.

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