Omacx Healthcare cleared of allegations; ready to bounce back with profits

18 June 2015 05:29 am - 0 - {{hitsCtrl.values.hits}}

A A A

By Chandeepa Wettasinghe
Omacx Healthcare (Pvt) Ltd, a leading pharmaceutical company in Sri Lanka set the record straight regarding the allegation levelled against the company in 2013 which was found to be baseless by the Health Ministry, as it has been holding back the company’s profitability.

Formed in 2012, the company was temporarily suspended in 2013 due to allegations that it had pilfered 4 vials of the Oncaspar drug Omacx Healthcare had sold to the Maharagama National Cancer Institute, and resold them to the Medicine Supplies Division of the Ministry of Health.

“This was a conspiracy by the competition due to the price gap. They were selling a vial of the drug for Rs.325,500 and when we came to the picture in 2012, were able to sell it for Rs 227,000 to the government in a tender process,” Omacx Healthcare Marketing Director Nuwan Fonseka said at a press conference. He added that Omacx had only maintained a 9-10 percent profit margin on the drug which is used in chemotherapy for children suffering from leukaemia.
He noted that there was only one competitor importing the drug in 2013, and the said competitor had imported hundreds of vials of the drug.

“Since they were unable to sell for the higher price, and they couldn’t lower the price without losing face, the stocks expired, and they faced millions in losses,” Fonseka added.

He claimed that this competitor had been using specific unsuspecting media outlets to spread false information saying that Omacx had been blacklisted, and forwarded the news clippings to foreign principals of Omacx, causing them to lose faith in the company.

“This mudslinging is not yet over. We still see newspaper articles showing up every couple of weeks,” Omacx Healthcare Consultant Miran Fernando said.
Fonseka expressed that Omacx finally had to speak up in order to continue its operations in a stable manner.

“There was a 3 member panel appointed by the courts which found the charges baseless, and President Maithripala Sirisena, the then Health Minister, accepted them as baseless. But we wanted to win in the court of public opinion as well,” he added.

Omacx Healthcare CEO Mevan Wijesinghe said the company in addition to the legal fees, had lost millions of rupees in revenue, and incurred losses for the past 2 years due to the smear campaigns.

“But, we’re slowly becoming profitable again with the import of 2 new groundbreaking drugs. One is from Havana, Cuba for diabetic foot ulcers,” he said.

Order Gifts and Flowers to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Grocery, Kids Toys, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,Astrology, Courier/Delivery, Medicine Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka

Comments - 0

Add comment
Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.

Omacx Healthcare cleared of allegations; ready to bounce back with profits

Comments - 0

Add comment

RECOMMENDED

UDA owned land in Thalawathugoda; UDA Minister Prasanna Ranatunga under the spotlight for forceful occupation of reserved land

Loss-making SMIB faces political pressure in recovering loans

Baltimore Bridge Collapse: MV Dali, SL authorities anchored in mystery?

Has Sri Lanka become a potential hub for the illegal wildlife trade?

Spotlight on Moragahakanda Development Project Moragolla villagers lose livelihoods and down to one meal a day

Ambitious Sri Lankan jobseekers ‘trafficked into Ukraine war zones’

Western purple-faced langurs see blue!

Most Viewed in News

Belgian traveller scammed in Kalutara

Former MP Palitha Thewarapperuma dies from electrocution

April 15 declared a government holiday

SL on alert on possible genocide allegations by Canada

Complaint lodged over Piumi Hansamali's possession of Gota’s Range Rover

Sri Lankan among NASA’s new crew for next simulated Mars journey

MIRROR CRICKET

Chamari Athapaththu sets big goal for T20 World Cup

How does CSK get best out of Pathirana?

Mendis, Mathews move up in ICC Test Rankings

Chamodi, Dewmi spins Sri Lanka U19 Women to big win

TODAY'S HEADLINES

Debt Restructuring Talks: Bondholders Fear Regime Change Impact

Don’t be deceived by NPP and Cardinal Ranjith: UNP

Emirates halts check-in for connections, UL cancels flights to Dubai

Plans afoot to obtain “Blue Flag Beaches” certification for SL beaches

Hardik fined Rs 12 lakh for violating IPL code of conduct after win over Punjab Kings

Chamari Athapaththu sets big goal for T20 World Cup

How does CSK get best out of Pathirana?

Mendis, Mathews move up in ICC Test Rankings