Submit list of HMOs owing FG N49m, Reps order OAUTH
The Public Accounts Committee of the House of Representatives has directed the Obafemi Awolowo University Teaching Hospital, Ile-Ife, to submit a comprehensive list of Health Maintenance Organisations indebted to the Federal Government to the tune of N49m from 2021 to 2025.
This resolution was taken on Tuesday during the committee’s review of the Auditor General’s 2021 report, which focused on the tertiary’s health institution failure to recover outstanding debts.
The report highlighted an unrecovered debt of N32m from 33 HMOs as of December 31, 2020.
It also revealed that despite these debts, the hospital continued to provide services to these organisations, many of which had substantial arrears.
Speaking at the hearing, the hospital’s Chief Medical Director, Professor John Okeniyi, explained the challenges the hospital faces in recovering debts from HMOs.
“It’s very difficult to refuse to treat Nigerians coming to our hospital, regardless of their inability to pay,” Okeniyi stated.
He lamented that the low coverage of Nigerians by the National Health Insurance Authority meant that many patients had to pay out of their pocket.
He added that those covered by NHIA often had to rely on HMOs, which are known for delays and underpayments.
Okeniyi also addressed specific issues with two HMOs covering Obafemi Awolowo University students.
“Students are expected to receive their tertiary care at our hospital, but when they come, we provide services, and the HMOs do not reimburse these fees,” he added.
Despite these challenges, Okeniyi revealed that the hospital had set up a task force, led by the hospital’s head of NHIA, Mr Lekan Orabiyi, to recover the debts.
On the progress made so far, Okeniyi said the hospital has successfully recovered N15.97m out of the N32 million in debts identified in the Auditor General’s 2021 report.
In response to a question raised by the Chairman of the Committee, Mr Bamidele Salam (Osun, PDP), on the total indebtedness of the HMOs to the Federal Government, Okeniyi confirmed that as of 2025, the total indebtedness had risen to N49m.
The committee, in a unanimous decision, directed the hospital to submit a list of the HMOs and the specific amounts they owe in the spirit of transparency.
