STA, 2 May 2020 - Following a series of accusations about alleged dodgy procedures in the procurement of personal protective equipment and ventilators, company Geneplanet, Slovenia's key provider of ventilators during the coronavirus epidemic, proposed to the government on Saturday to mutually agree to terminate the relevant contracts.
Related: New Details in Slovenia’s Coronavirus Equipment Scandal
The company wants to protect its reputation, according to its director Marko Bitenc, who suggested the termination of the cooperation in a letter addressed to Toni Rumpf, the acting director of the Agency for Commodity Reserves.
Bitenc explained that the company's "appearance in this negative context without any reasonable grounds is harmful to its international reputation and good repute", adding that the company had been operating in line with law and regulations.
Geneplanet proposes terminating a part of the contract that pertains to ventilators and protective masks which have not yet been delivered, as well as repurchasing ventilators that have already been supplied at the delivery price.
The company has so far delivered 110 of the 220 ordered ventilators from a Chinese supplier and must deliver the remainder by 15 May according to the contract signed with the agency.
The Tarča current affairs show, which broke the story of alleged political pressure in the procurement procedures more than a week ago, said on Thursday the contract had been botched since the ventilators were unsuitable for Covid-19 patients.
One of the three members of an informal medical group that had evaluated offers for ventilators, internal medicine specialist Rihard Knafelj, told Tarča that his group had assessed 90 offers and the one offered by Geneplanet had been assessed as the least appropriate of the 13 that were deemed acceptable. The government was acquainted with the assessment.
Economy Minister Zdravko Počivalšek, who was recorded prodding the agency into signing the contract with Geneplanet as soon as possible, denied accusations, adding that the government received another expert opinion and stressing that the ventilators supplied by Geneplanet were one of the few available at the time.
Bitenc also told Tarča that the ventilators were adequate for treating Covid-19 patients and denied that the company was in any way prioritised in the procedures of selecting providers.
The deputy head of the agency Ivan Gale claims that Počivalšek has personally intervened in favour of the ventilator contract with Geneplanet worth EUR 8 million.
The company was one of only two providers to receive 100% advance payment. It was also the only ventilator provider with a bank guarantee covering only 50% of the transaction, said Tarča reporters, adding that Geneplanet ventilators were also the most expensive.
On Monday, Geneplanet will present all the paper trail regarding its contracts with the agency and clarify any open issues relating to the quality and suitability of its ventilators, added the company today.
Responding to the company's proposal, Počivalšek said that the Health Ministry had been urged to issue an opinion on whether Slovenia needs the ventilators. He also described the accusations as public lynching.
Even though the minister's response implies that the government will deliberate over the option of terminating the contract, the agency told public broadcaster TV Slovenija that Geneplanet's argument for the termination did not warrant such a step. The agency thus still expects the remainder of the ventilators to be delivered by 15 May.
