The Devolution of a Humanitarian Institution: Politics Breeds Corruption

Published: 25 June 2023

Holy Family Hospital

In a distressing turn of events, the Holy Family Red Crescent Medical College Hospital in Dhaka, Bangladesh, has fallen victim to political interference and corruption, tarnishing its mission to serve humanity. Once dedicated to providing affordable medical support to those in need while upholding the values of neutrality, freedom, volunteerism, unity, and universality, the hospital now suffers from mismanagement, irregularities, and pervasive abuse of power.

The Transparency International Bangladesh (TIB) has conducted an in-depth investigation into the governance status of the institution, uncovering disconcerting reports. Formerly renowned, the hospital now struggles with financial burdens, staff retention issues, and outdated medical services. TIB's findings have exposed weak legal and policy frameworks within the organization, allowing political figures to assume influential positions such as chairpersons, vice-chairpersons, treasurers, and managing committee members of the Bangladesh Red Crescent Society (BDRCS).

The absence of a well-defined organogram has resulted in the concentration of power in the hands of the chairperson, granting them sole authority over management, hiring decisions, development plans, and financial expenditures. This has created an environment ripe for irregularities and corruption. Disturbingly, there have been alarming allegations of bribery in the recruitment of doctors and medical professionals. Political considerations have led to an excessive number of administrative staff being hired, while the hospital grapples with a shortage of essential medical personnel such as doctors, nurses, and waste handlers.

Furthermore, patients have voiced their grievances, accusing doctors of coercing them into visiting private chambers, enabling them to pocket consultation fees without benefiting the hospital. There are also reports of patients being pressured to obtain pathological reports from external sources, resulting in higher commissions for technicians and medical professionals. The hospital's board has additionally violated procurement rules at their discretion and failed to establish a roadmap for the organization's financial stability. Shockingly, the hospital's own dialysis machines have been neglected to allow an arbitrarily selected third party, JMI Hospital Requisite Manufacturing Ltd., to profit from operating their own machines.

As a non-profit organization reliant on government donations, grants, and service income, the hospital's lack of proper financial records has eroded trust among stakeholders. Corruption and irregularities have severely damaged the hospital's reputation, leading to a significant decline in earnings.

Expressing deep disappointment, Dr. Iftekharuzzaman, TIB's Executive Director, highlighted the normalization of opacity and unaccountability within the institution. The arbitrary use of the chairperson's absolute powers has undermined the hospital's day-to-day operations, resulting in biased hiring practices, promotions based on personal choices, and financial decisions influenced by political considerations. The hospital's ability to compete with other institutions is at stake, and it is gradually succumbing to weakness. Dr. Iftekharuzzaman emphasized the urgent need to decentralize the power structure and restructure the management with a strong foundation of good governance principles, aligning the hospital's practices with the core values of the global Red Cross/Red Crescent movement. The local administration, stakeholders, and Red Crescent/Cross societies must acknowledge their accountability in this situation.

To address the challenges faced by the hospital, TIB has provided a comprehensive set of 14-point recommendations. These include implementing a structured organogram, amending the Bangladesh Red Crescent Society Order, 1973 (President's Order No.26, 1973) to curtail the chairperson's absolute powers, and ensuring expenditures are made based on unanimous board decisions.

For access to the full research report and TIB's recommendations, please click here