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Vitals CEO Pocketed €5 Million Bonus The Same Year It Tumbled Out Of Hospital Concession

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The CEO of Vitals Global Healthcare, the controversial concessionaire of three Maltese hospitals, pocketed a €5 million bonus the same year the company tumbled out of its 30-year agreement.

Malta Today reports that in 2017 Ram Tumuluri took home €5 million in bonuses over and above his €1 million salary, as according to a clause stipulated in his contract.

VGH was forced to sell its 30-year concession to manage three state hospitals that same year just 21 months into its operation amid claims that it was merely financially unable to sustain the project.

It has been reported that VGH left a debt of €36 million in its wake.

The new concessionaire, Steward, has been trying to renegotiate its terms with the government.

It’s claimed that Steward is asking for the transition period from when they must take full control over the hospitals to 2023. Meanwhile, they are also looking to be paid  €4 million to cover salary differences between government and private staff in the hospitals.

The Healthcare provider is also looking to have a greater right to terminate the concession in the case of a national emergency, thereby transferring the debt to the government.

VGH was the infamous operator of three state hospitals. The deal itself has always been controversial, given claims that the signing of a memorandum of understanding occurred five months before Projects Malta even issued a public call for proposals.

PN Leader Adrian Delia published the evaluation report into the deal, which revealed that a person on the three-person panel to assess the agreement was a Nexia BT representative.

The accountancy firm opened up secret offshore companies for Konrad Mizzi and Keith Schembri; while they have also received millions in direct orders.

A magisterial inquiry into the deal is already underway, while Prime Minister Robert Abela has revealed that a committee has already been appointed to scrutinise the deal.

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