Govt fails to pay Psmas contributions

GOVERNMENT is not remitting civil servants contributions to Premier Service Medical Aid Society (Psmas) putting its workers and private subscribers at risk.

Finance minister Patrick Chinamasa made the revelation in the National Assembly on Wednesday saying they were reluctant to pay a “corrupt administration”.

This came after Gutu South MP Paul Chimedza had made the inquiry on when the government will be able to pay the money they owe to Psmas.

“I would like to find out from the minister of Finance Chinamasa when the debt to ...Psmas will be paid up.
?“We understand that now there is a new CEO at Psmas but government from 2014 and before owes Psmas $94 million.

“From 2015 to date, contribution for employees amounting to $15 million is owed and owed employee contribution is $60 million. So the bulk debt that government owes Psmas is $169 million.”
?Chinamasa said he is aware that government owes Psmas employee contributions but not aware of the exact amount.

“So, I cannot confirm or deny whether government owes the $169 million. As to when it will be paid, we have now started meeting the contributions from March and I think that these payments will be sustained.
?“…we definitely owe Psmas money in terms of arrear contributions.

“I am not in a position to give the august House the exact figure but on our part, we were reluctant to pay to a corrupt administration because it was like putting money into a bottomless pit.

“So we insisted that they should restructure the management, which I believe there has been a very good attempt to do.

“So, from March we started making payments to Psmas but with respect to arrears, we are going to enter into arrangements to pay them over time.” —Farayi Machamire

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