In preparation for a much worse scenario of the covid-19 epidemic, the Montenegrin health authorities have embarked on the urgent procurement of respirators, worth almost 1,5 million euros, since March. The Health Insurance Fund and hospitals hurriedly accepted procurements without a clearly defined due date, so some contracts instead contained the sentence "as soon as possible", and in some cases not even that. Some suppliers, even though several weeks have passed, have not yet delivered the goods, and some contracts have been canceled or modified. Due to ambiguities in the contract, they will not be liable for this.
The issue of respirators is extremely important for Montenegro, even though the first wave of the epidemic went relatively well. The estimates of the Crisis Medical Staff in Montenegro at the end of March were that, according to the most optimistic scenario, there would be 0,1 percent of the population or 630 patients, of which 32 would end up on ventilators. Other potential scenarios they had in mind spoke of numbers ten times higher, which the health system could not handle. Relevant scientists in the world predict that the world could soon be shaken by a new, significantly stronger wave, and that health authorities should prepare for it.
At the beginning of the crisis, Montenegro had 70 ventilators. With purchases and donations, there are currently around 160 of them. The delegation of the European Commission (EC) confirmed for the Center for Investigative Journalism of Montenegro (CIN-CG) that a larger amount of the EU donation of a hundred ventilators will soon arrive from China, "and the rest at the end of May or early June". The first delivery from this package, as the EC says, without specifying numbers, has already been delivered. Procurement on behalf of the EU is organized by UNDP, and air transport is a donation from the Kingdom of the Netherlands.
Since part of the respirators, contracted at the end of March as an emergency purchase, have not yet reached Montenegrin hospitals, and for some it is not even certain that they will arrive, it is not possible to say precisely how much the health system has been strengthened by these devices. Srđan Kusovac, a member of the National Coordination Body (NKT), did not answer CIN-CG's questions regarding the procurement of ventilators.
The procurement of the currently most sought-after goods on the market of medical devices is accompanied by problems and suspicious activities in other countries as well. The news recently announced that the Belgrade company "Sinofarm" is demanding through the court that the Montenegrin company "BTL Medical Montenegro" owned by Sanja Lekić return the sum of five million euros for undelivered goods. The total purchase was supposed to amount to 8,9 million euros, which was paid to the company "BTL Medical Montenegro" for the delivery of 400 respirators to the Serbian Health Fund.
Allegedly, "BTL Medical" claimed that it had all these ventilators in stock in China. However, this company did not deliver any artificial lungs for the needs of Serbia. "BTL Medical Montenegro" returned 3,9 million to the Belgrade company, and the remaining five million will be decided by the Commercial Court in Podgorica. The lawyers of the Belgrade-based "Sinofarm" requested urgent measures to block the account of the company's owner, Sanja Lekić, 15 days ago, but so far there has been no response.
"BTL Medical Montenegro" did not do business only with Serbia. This company also guaranteed the Clinical Center of Montenegro (KCCG) the delivery of 15 respirators from China in March. And that in just ten days, because she also allegedly had them in stock. Of the contracted 332 thousand euros, KCCG paid an advance of 150 thousand euros. The ordered ventilators of the brand "CWH-3010" from the Chinese manufacturer "Nanjing Chenwei Medical equipment" did not arrive. CIN-CG's unofficial information is that Lekić returned the advance to the Clinical Center, but this was not confirmed by KCCG, whose director Jevto Eraković did not answer the journalists' questions.
In a telephone conversation with the CIN-CG journalist, Lekić said that she had nothing to hide, that she had done everything, even in the business with the Serbian company, in accordance with the contract, and then she asked the journalist to send the questions, promising to answer in writing.
She did not answer questions sent on Monday, as well as multiple calls and messages to CIN-CG. On the alibaba.com website, the price of respirators ordered by KCCG through Lekićeva is from 6.057 to 6.523 euros per piece. So it turns out that the delivery took place so that only the advance would cover all procurement costs, including VAT.
Since the outbreak of the crisis, the National Coordinating Body for Infectious Diseases contracted the procurement of 31 respirators for a total of 595.000 euros, the KCCG 23 for around 535.000 euros, the Health Insurance Fund (FZO) ten for 240.000 euros. The hospital in Bar contracted the purchase of three ventilators, and the one in Kotor.
The Health Insurance Fund (FZO) conducted two emergency procurement procedures worth 240 thousand euros and concluded contracts on March 13 with "Farmont MP" from Danilovgrad and three days later with the company "Osmi red D" from Podgorica for the procurement of five ventilators for the needs of health institutions throughout Montenegro.
"Farmont" was supposed to deliver five respirators for around 107.000 euros within two working days of the conclusion of the contract. One "getting" respirator was supposed to end up in the hospitals in Bar and in Berane, and three in the Special Hospital for Lung Diseases in Brezovik. However, only two that were in stock in Zagreb were delivered. They did not arrive from the camp in Belgrade, because in the meantime someone else bought them, which served for a short exchange of political fire between Belgrade and Podgorica. With "Farmont", FZO reduced the amount by 60 in an annex to the contract at the end of April due to undelivered devices for Brezovik.
"Osmi red" was supposed to deliver five "Hamilton G5" respirators worth around 132.600 euros. Of these, one was delivered to KCCG and Bar Hospital on April 16. One is still intended for the Pljeval hospital, and two for the Beran hospital.
The director of the FZO Sead Čirgić said that they were supposed to be delivered within 28 days, but that he was informed "that due to the lack of raw materials that arose due to production problems in Europe and the world, and due to the pandemic, they will not be able to carry out delivery before July”.
As Čirgić told CIN-CG, the FZO will inform the Ministry of Health about "this circumstance", in order to take a position, "on which further steps in solving this situation will depend".
Angelina Vuković, meanwhile, announced for CIN-CG that the respirators will be delivered around May 20.
Previously, in mid-March, KCCG contracted the delivery of eight "Hamilton" ventilators for slightly more than 213.500 euros with "Osmi reded D".
"We delivered all the devices, successively as they arrived," explained to CIN-CG the executive director of "Osmog reda" Angelina Vuković, stating that two arrived on March 20, four on April 16, and the remaining two days later.
On March 25, "Osmi red D" signed a contract with the General Hospital in Bar for the delivery of three "Hamilton" respirators for 73.410 euros, but the deadline for delivery has not been defined.
"The supplier undertakes to make the agreed delivery in the shortest possible time. "Due to the current epidemiological situation and the deficit of the equipment in question on the market, the contract cannot specify the final deadline," states Article 4 of the contract. On the same day, the company signed a contract for the delivery of one respirator to the General Hospital in Kotor for 26.522 euros.
The supplier undertook to deliver, install and put into operation the contracted device within a "minimum of six weeks" from the date of conclusion of the contract. According to Vuković, they will be delivered to the Kotor hospital by the end of May, and to the Bar hospital by June 15.
"In none of the mentioned contracts, we did not commit to a deadline due to the current situation, which caused the uncertainty of both the production and the transportation of the devices themselves. Also, we did not oblige the user, nor did we ask for advance payments, nor did we receive them, and the user did not commit himself that if he acquires other devices, he must also buy ours," Vukovićeva told CIN-CG.
She also points out that none of the bidders responded to the invitation issued by the FZO at the beginning of March, mostly due to strict delivery deadlines, and, according to her knowledge, not even recently in the tender announced by UNDP did any of the major manufacturers offer a shorter delivery deadline for ventilators. of 60 days.
Before signing contracts with public institutions, this company received advances from donors, so on April 16, one "Hamilton G5" was delivered for the needs of KCCG and the hospital in Bar, and two days earlier two portable devices from the Swedish "Breast" arrived for Cetinje and one for the Kotor bonica.
"All these devices were delivered to users by donors. These are small and medium enterprises from the local community. We installed them and put them into operation," said Vuković. The National Coordinating Body for Infectious Diseases (NKT) decided to purchase 31 respirators from two companies from Podgorica, which, according to official documents, are worth about 595.000 euros.
According to the NKT document, about 538.000 euros were paid to "Glosari" for 28 respirators, and on the same day the remaining amount was paid to "Urion" for three more.
Since March, "Glosarij" has imported 35 respirators at purchase prices for less than 645.000 euros, two of which were donated to the health system by this company, and three by "Philip Morris Montenegro". All of them were delivered in three tranches: 19 ventilators on March 21, 11 six days later, and five devices on April 6.
"As the import was carried out according to the highest priority at the time when there was an expansion of covid-19 in Europe, when countries closed borders and limited the export of products to fight the virus, the biggest challenge was to find available devices and deliver them to Montenegro in the shortest possible time" , the executive director of "Glossary" Mirjana Mijušković told CIN-CG.
They too, he claims, had to pay an advance.
The representative of "Urion", Srđan Vuković, told CIN-CG that the procurement of respirators "was very difficult".
"Three ventilators manufactured by 'Utas' were imported from the Republic of Turkey and were sold at a purchase unit price of 15.400 euros, increased by 21 percent VAT and total transport costs in the amount of 505 euros," explained Vuković.
"Urion" delivered respirators to KCCG on March 23, and ten days later they donated another one from the German "Draeger Medical" worth almost 25.000 euros.
According to available information, Montenegro also received significant donations of respirators. A few days ago, 10 donated by the richest Chinese Jack Ma and his "Alibaba" Foundation arrived in Montenegro, and the Chinese hairs themselves previously sent two.
The Football Association of Montenegro donated seven respirators worth 150.000 euros in mid-March. Football representative Stefan Savić donated two ventilators, his colleague Luka Đorđević donated one, and the president of the basketball club "Mornar" Đorđije Pavićević donated two. The Metropolitanate of Montenegro and the Littoral donated two ventilators, the money for the ventilators was donated, among other things, by the Capital and the Croatian Civic Initiative. Two were donated by the Association of Banks, as well as by Erste Bank. "Hard Discount Laković" donated a respirator, as did "Voli" and "Mercator". One respirator each was donated by, among others, "Lovćen osiguranje" and "Genex".
Brčvak: They also cheated on the German market
The "Hemias" humanitarian fund, which was formed by the philanthropist from Bijelo Polje, Hajriz Brčvak, a successful businessman in Germany, has so far given away four respirators in donations worth around half a million euros, and he intended to do much more.
In an interview with CIN-CG, Brčvak says that they paid in China for another 24 devices, which could not be exported to Montenegro.
"According to the new decision of the Chinese government, from April 1, only 52 companies that are on the 'green list' can export respirators, and that company was not on it and could not deliver them. Instead of four devices, we received 2.000 tests for covid-19, and they returned the money for 20," said Brčvak.
He explained that the devices he intended to bring from China were not complete respirators, but they could perform all preventive actions except respiratory.
They were supposed to serve as a test, and if they proved to be good, to order another 20 pieces. Their price was 5.000 for two and 4.700 for two, and the other 20 for 3.700 euros. Brčvak had a negative experience with a German company from which he ordered 16 used respirators and paid an advance of 18.000 euros.
"It turned out that they wanted to deceive us. With the reaction of the competent institutions, we managed to return that money. Then we found two used fans in Hamburg and the price started at 8.000 per piece and was increasing daily. We managed to get them for 10.000 euros. We found the next two again on the second-hand respirator market and they were asking for 16.000 euros each. As we had experience with the first purchase, we got these two for 9.500 euros each," Brčvak said.
"Sinofarm": Commission higher than the price
For Serbia to buy 400 respirators through a small Montenegrin company in the midst of a pandemic sounds like a scenario for a business that must end up in court.
In mid-April, the Belgrade-based "Sinofarm" asked the Montenegrin Commercial Court to prohibit the Podgorica-based "BTL Medical Montenegro" from disposing of five million euros intended for 200 ventilators for the Serbian healthcare system, which the company owned by Sanja Lekić allegedly unlawfully retained.
"The Commercial Court has not yet made a decision on the proposal for determining a temporary measure - we expect it as soon as possible, because it is an urgent procedure. Also, BTL Medical did not propose any measure against our client, nor would there be any basis for such a thing," Marija Radulović, a representative of Sinofarma, Podgorica lawyer, told CIN-CG.
At the end of March, the Belgrade and Podgorica companies signed two contracts by which "BTL" undertook to deliver 400 Chinese respirators, which were allegedly ready in stock in that country.
The first related to the purchase of 200 "ACM 812A" respirators for five million euros, a day later and the second for 3,9 million euros for another 200 "shangrila 510s" machines. A few days later, "BTL" informed the Belgrade company that it could not deliver them on time, which is why "Sinofarm" terminated both contracts and demanded back the money they had paid in advance.
So far, they have received only 3,9 million, and "BTL" lawyer Goran Petrović told "Vijesti" that they did not agree to terminate the first contract, because it is being executed and that "Sinofarm" did not pay the funds on time.
"Sinofarm" claims that, in the meantime, they returned 8,9 million of their money to the Republic Health Insurance Fund of Serbia, stating that it was their omission and unforgivable commercial mistake that they signed the contract without the usual security, such as a bank guarantee.
"The need to react urgently, because human lives were at risk due to the spread of the pandemic, as well as the statements of the executive director of BTL, Olivera Đuranović, that under criminal and material responsibility they guarantee that respirators are in stock and that they can deliver them as early as March 28, were are the reason that 'Sinofarm' concluded the first contract with 'BTL' for five million euros on March 28, and already on March 30 he paid all 8,9 million euros in advance", explains Belgrade lawyer Mihajlo Matković for NIN, with whom CIN-CG collaborated on this topic.
The questions sent by email from "BTL" were not answered.
"Sinofarm" claims that after a subsequent check, they found that out of the five million they paid for 200 "ACM 812A" respirators, "the owner of BTL allegedly planned a commission of 1,1 million euros, while the boss of "Eksotrejda" from Rijeka Borna Cicero, whom Lekić subsequently involved in the business, in order to somehow procure the missing goods through him, kept as much as 1,8 million for himself".
According to claims from "Sinofarm", the company "Segment spec tehnoexport" from Cyprus was also involved in the business. Pointing out that they were contacted, Matković stated that the Cypriots are also preparing a lawsuit, because they allegedly procured respirators for "BTL", but did not receive the money, so it turns out that the company from Podgorica was only an intermediary in the business. "Sinofarm" also says that, thanks to long-term business relations with partners from China, they found out that 2,3 million dollars, or about 2,1 million euros, were paid to the respirator manufacturer.
On websites for this type of equipment, the price of the "shangrila 510S" set ranges from 4.166 to 7.406 euros, while the initial catalog price for the "ACM 812A" was around three thousand euros, but now, as the demand in the world grows, everything has increased several times.
From the proposal for the determination of a temporary measure to the Commercial Court, which CIN-CG had access to, it is stated that in the exchange of messages, "Sinofarm", when asked why respirators were being kept for them, received answers from "BTL" "because Dušan works with them 15 years and is a member of their party and has the ability to sell and organize and influence delivery".
CIN-CG, after Lekić's promise that she would answer everything, asked, among other things, how she comments on the accusations of "Sinofarm" about where the respirators are located, whether it is true that she took a commission of 1,1 million euros, as they claim from Belgrade, who is Dušan, through whom the job was contracted... but she, despite her promise, did not respond to that.
According to data from the Central Register of Business Entities (CRPS), "BTL Medical Montenegro" was founded eight years ago. Lekić is a co-owner of two more companies - "Alfa ton Lekić", which deals in the wholesale trade of perfumery and cosmetics, and the company "Savap", for the wholesale trade of pharmaceutical products.
According to the financial reports on the website of the Tax Administration, at the end of last year, "BTL Medical" had a profit of 12.775 euros, and "Alfa ton Lekić" 14.933 euros.
Nikola Sinobad, the owner of "Sinofarm", told NIN that Ivanko Nemčević connected him with Lekićeva, the owner of "BTL", who offered him 27 respirators on March 400. The text does not specify who it is, but the Agency for Business Registers mentions that name as a co-owner of the Belgrade-based "IDJ group", which deals with consulting services.
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