Nine of [b]Bestmed[/b] medical scheme’s trustees have been removed from office for alleged lack of fitness and propriety, the [b]Council for Medical Schemes[/b] has announced. According to [s]Business Report[/s], council spokesperson Clayton Swart said their immediate removal followed a routine inspection by the council. The inspection uncovered a number of alleged illegal transactions.
The council is empowered in terms of the [b]Medical Schemes Act[/b] to remove a board of trustees member if they had sufficient reason to believe the person concerned is not fit and proper to hold office.
The trustees had been given ample time and extensions to respond to the council’s concerns raised in a report handed to them in March 2013, Swart said. ‘The council has found that the contravention of the rules and the relevant laws constitute sufficient reason to believe that the trustees are not fit and proper persons to hold the office as a trustee.’
The trustees launched an urgent application in the [b]High Court[/b] in [b]Pretoria[/b], in which they referred to an appeal to the council’s appeal board, to suspend the order. ‘The council intends to oppose the application,’ Swart said.
Bestmed is an open medical scheme with around 172,984 beneficiaries. ‘The claims-paying ability of the scheme remains unaffected,’ said Swart. ‘The removal of trustees from office stems only from concerns over their ability to govern and is not a reflection of the financial stability of the scheme.’Full report in Business Report