Members of liquidated Commed to be absorbed by Bonitas medical scheme
Community Medical Scheme (Commed) is to be liquidated, and its 11,000 members moved over to Bonitas Medical Scheme, the Council for Medical Schemes (CMS) announced on Friday. Commed was placed under provisional curatorship on June 2 2017. At the time, the CMS said members could rest assured that the scheme was able to pay their claims. Reports subsequently compiled by the scheme’s provisional curator and its actuary indicated that the scheme was in fact insolvent, acting CMS registrar Sipho Kabane said on Monday. The High Court in Pretoria placed Commed under provisional curatorship in the wake of alleged governance failing after the CMS discovered alleged governance failings by its board. The apparent failures in fiduciary oversight include allowing a R1.1 million bonus to be paid to Commed’s principal officer that was outside the scope of her performance agreement, and permitting illegal advance payments to the scheme’s administrator, Allcare, to go ahead. The CMS emphasised that ...
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