July 23rd, 2014 (InsideCostaRica.com) Costa Rica’s public health and social security system, known as CCSS, has renewed two contracts worth $550,000 USD to a company that is currently being investigated for defrauding the same institution.
The then-managing director of the Calderón Guardia Hospital (who has himself since been suspended in an unrelated matter), first alerted authorities of a batch of 1,000 to 2,000 suspicious invoices totaling more than $2 million that were submitted to the hospital for payment by Synthes, the company involved, in 2011.
Last month, the Judicial Investigation Organization (OIJ) executed search warrants on both the hospital and Synthes’ offices, collecting records and evidence from both.
Reports indicate that hospital authorities may also be under investigation to determine if they were complicit, responsible for, or in any way involved in the alleged fraud.
According to CCSS logistics manager, Dinorah Garro, CCSS cannot assume that the company is guilty of wrongdoing as the investigation is ongoing.
“All contracts are renewable for three year periods,” Garro said.
Garro said that the company’s contracts would be renewed as no breach of contract has occurred.
Synthes produces a number of devices and instruments for treating spinal injuries and trauma, as well as orthopedic and surgical tools.