appeal by liquidators of the defunct Omnihealth medical
schemes.
On 30 January 2007, the Registrar obtained an order in the
Pretoria High Court compelling the Omnihealth liquidators to
pay the R33 million of medical savings accounts back to
Omnihealth members. Since then, they have made attempts to
have the ruling reversed, first by lodging a leave to appeal
with Transvaal Provincial High Court, then with Bloemfontein
Supreme Court of Appeal. Both appeals were dismissed with
costs.
In the decision handed down on the 30 January, Judge J du
Plessis found in favor of the Registrar and maintained that
Omnihealth's rules, which serve as an agreement between the
member and the scheme, stated that the balances in the PMSA
shall at all times remain the property of the member. These
moneys should either paid to the next scheme that also has
the PMSA or paid in cash back to the members
The learned judge made the following order:
- That the credit balances in the Omni health personal
medical savings accounts constitute trust money per
provisions of Protection of the Funds Act (Financial
Institutions Act, Act 28 of 2001);
- The liquidators of Omni health should pay to KwaZulu Natal
Medical Scheme such portion of PMSA funds, including
interest that has accrued, to Omni health members who joined
KZN Medical Scheme;
- The liquidators should pay such portion and interest to
former members of Omnihealth who did not become members of
KZN Medical Scheme. These payments have to be effected
within 60 days of the issuing of the order; and
- The liquidators were also ordered to pay the Registrar's
costs, which shall include costs of two counsels.
Commenting on the Supreme Court of Appeal decision,
Registrar of Medical Schemes, T. Patrick Masobe, called on
the liquidators to stop being equivocal and pay the money to
the former Omni-health members immediately. Masobe said that
the former Omni-health members should have been refunded
their medical savings accounts balances many months ago;
there should be no further delays.
"The legal challenge by the liquidators was incongruous with
their responsibility towards the former members of
Omnihealth. This Supreme Court decision is now the end of
the line; they now have to do the right thing and pay out
these money without any further delays," says Masobe.
To view this Press Release: Click Here
Previous Related Publications:
Registrar Of Medical Schemes Wins Back R33 Million for
Members of Omnihealth |
day workshop on 15
June 2007 on the 'Guidelines for the Identification of
Beneficiaries with REF Risk Factors in Accordance with the
REF Entry and Verification Criteria'. The workshop will
focus on three areas, including the current contents of the
guidelines, how to implement these guidelines at an
operational - technical level, and a discussion around
possible changes to the guidelines that will become
operative in 2008.
To effect the above:
- Please submit comments on the existing guidelines
(Version 2.1) and suggestions that could be considered for
incorporation in the next Version of the guidelines by 18
May 2007.
- Please RSVP to Lerato Kgori per
l.kgori@medicalschemes.com
by 18 May 2007. It might be necessary to limit the number of
people that could be accommodated
Based on the response a venue will be finalised and a final
programme distributed
To view this Invitation Click Here
Previous Related Publications:
Completion of REF Study 2005, Implications for REF
Definitions and Dates for REF Grid Submission in 2007
Publication of the Report on Quarter 4 - 2005 to Quarter 2 -
2006 Shadow REF Submissions
Guidelines for the Identification of Beneficiaries with REF
Risk Factors in Accordance with the REF Entry and
Verification Criteria: Version 2.1
Know Your Rights: Prescribed Minimum Benefits Summary
Document Published:
The The Prescribed Minimum Benefits Summary document has
been published on the CMS website for both consumers and
providers. The summary includes Diagnosis and Treatment
Pairs (DTP) and CDL Codes.
To view this Publication: Click Here
OTHER RECENT CMS PUBLICATIONS
|