Surgeons accused of vested interests

By Catherine Masters

Public hospital surgeons critical of the awarding of a hip and knee surgery contract to a new private hospital are being accused of trying to preserve their own patch.

In the escalating row over the contract, a Health Funding Authority manager, Sue Keppel, has condemned what she calls the cartel-like reaction of South Auckland Health surgeons to the authority's awarding of an orthopaedic contract to Ascot Hospital in Ellerslie.

South Auckland Health's head of orthopaedics, Garnet Tregonning, said last week that it was experimental to award a contract to a hospital which was yet to open and was unproven.

Sue Keppel said South Auckland Health had pressured surgeons not to operate on the contract at Ascot and the specialists were concerned about maintaining vested-interest positions.

"I would have to say I have never seen such appalling cartel-like behaviour as I have seen that has surrounded this orthopaedic contract in the last few weeks...

"It's to do with attitudes and behaviours, it's certainly to do with money, it's certainly to do with maintaining the status quo."

Most surgeons worked in the private sector as well as the public sector, "so obviously anything that might impact on prices in the private sector - downward movement - potentially impacts on their income," she said.

Harley Gray, South Auckland Health chief medical officer, said surgeons were very angry about her comments and denied them.

The Ascot, meanwhile, is angry at slurs on its name and defends its quality to the hilt.

South Auckland Health performs most adult orthopaedic surgery in Auckland at Middlemore Hospital.

The row is over an extra 170 hip and knee replacements financed by the authority to reduce a lengthy operating list at Middlemore of patients in severe pain.

The contract went to the Ascot ahead of South Auckland Health - which also won some extra orthopaedic work - and other private and public hospitals.

Mr Tregonning said surgeons were concerned when they heard that South Auckland Health had not got the contract, "knowing that our costs are based on certain quality and if someone could undercut us they obviously must be either taking a big loss for a reason, or they are cutting corners."

He understood surgeons were concerned about undertaking the work at the new hospital until concerns were addressed.

Sue Keppel said the authority had no concerns about the Ascot, which was built to high standards.

Lester Levy, former chief executive of South Auckland Health and now a director of the Ascot, said staff were exceptional and there were no quality issues.