The corruption inquiry into the Karl Heusner Memorial Hospital resumed its public hearings this morning and it was a full day of testimony.  The three member commission chaired by Supreme Court Justice Adolph Lucas is probing into the allegations of wrongdoing in the purchasing of pharmaceuticals between 2007 and 2009.  They called three witnesses today and it began at 9 with Carlton Usher – the manager of the Supplies and Materials Unit.  Again it was a full day of testimony and so tonight we have a short recap.

Carlton Usher appeared with his attorney Anthony Sylvestre. Usher is the former supplies manager who was fired in August 2008 for alleged fraud. But this morning he told the commission that at all times – he acted on requests.

Carlton Usher, Former Manager - Supplies and Material Unit
“There are no point in times that as manager of the supplies and material unit that I was ever authorized to sign any purchase order. My task was just to create requisitions based on requests from the units or based on requests from the directors.”

Usher says he also acted on directives – one of which was from Director of Finance Carlos Perrera to begin buying from selected suppliers from Orange Walk.

Carlton Usher,
“When Carlos Perrera, Director of Finance took over, he instructed me to get all meat, all fish, from Orange Walk.”

Orvin Nicholas, Commissioner
“Was his instruction in writing?”

Carlton Usher,
“No his instruction wasn’t in writing, it was verbal.”

Orvin Nicholas,
“Who you used to get these items from before?”

Carlton Usher,
“We used to get them from Smiling and the fish from a local fishermen, I can’t recall his name. I think it is Gough or something like that.”

Adolph Lucas, Commission Chair
“Did you have the opportunity to inspect those commodities?”

Carlton Usher,
“Yes I had. In some cases and I can recall particularly in reference to the fish, we got a set of fish that weren’t good.”

This afternoon the then Director of Financial Services Cecil Knowles confirmed Carlton Usher’s account. But he went further.

Cecil Knowles, Former Director of Financial Services
“From the appointment of the Chairman of the Board, the board started interfering in the daily management and running of the hospital including directing myself where and from whom to purchase medical and food supplies.”

Orvin Nicholas,
“So who were these people replaced with?”

Cecil Knowles,
“Mr. Smiling was replaced with Mr. Gillett, Gillett’s Meat.”

Adolph Lucas,
“You know his location?”

Cecil Knowles,
“He is located in Orange Walk. It went to the extreme that even poultry supplies that we were securing from Quality Poultry Products was extended to Mr. Gillett and even the fish that we were supplying through Mr. Gough was extended also to Mr. Gillett. The first shipment of fish that came in were un-scaled and un-gutted and Mr. Gillett I understand had to pay the dietary staff to get that job done.”

Orvin Nicholas,
“Who specifically made the changes?”

Cecil Knowles,
“I made those changes on the directive by Dr. Ricardo Fabro, the Chairman.”

And there was more fishy business concerning a shipment of medical supplies which were duty exempted.

Carlton Usher,
“Mr. Carlos Perrera the Director of Financial Services signed off on requests for exemption for hospital supplies that were available at Central Medical Stores from one of our selected supplier MD Pharmaceuticals.”

Julia Castillo, Commissioner
“Mr. Usher do you have the date for this?”

Carlton Usher,
“That occurred during June to July of 2008.”

Julia Castillo,
“The type of items?”

Carlton Usher,
“The type of items were basically syringes and gloves and other items which I can’t really recall but there were various types of syringes and various types of gloves that were requested for purchase. I at the point in time when these goods came in, I held the entire shipment of goods at the KHMH being that they were purchased for and on behalf of KHMH and the fact that they had duty exemption.”

When she faced the commission, KHMH accountant Chevan Fairweather said she knew nothing about the $1 million grant from Venezuela. It was gifted to the hospital for rehabilitation but was used to buy medical supplies.

Chevan Fairweather, Accountant – KHMH
“I was given a directive for us to pay $70,000 towards an invoice from Best Medical Supplies 09-07 dated the 8th of the second 2007. That amounted to….the invoice was for $120,000 and I was given a directive for us to prepare the payment of $70,000.”

Orvin Nicholas,
“Do you know what was the purpose of the Venezuelan grant?”

Chevan Fairweather,
“Sir I didn’t even know it was Venezuelan grant until after I think it last year, if it is not late last year it was early this year, that a representative from Venezuela came and I was asked to put together the payments that were made out of the monies that we had received. We had received $300,000 as far as I could recollect for the rehabilitation of medical equipments and $700,000 for the purchase of medical equipments.”

Orvin Nicholas,
“So you say you are aware of this after the fact?”

Chevan Fairweather,
“Yes sir. I know of the monies because I am the person who would receive the checks from Treasuries, deposit it to the cashier, and I would keep the voucher copy that I would usually file them off. So I knew of the monies but for the purpose I don’t know what that was for.”

Tomorrow morning former Chief Executive Officer at the Karl Heusner Memorial Hospital Alvaro Rosado will testify.