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Mashudu Netsianda, Senior Court Reporter
THE Premier Services Medical Aid Society (PSMAS) is locked in a fresh legal wrangle with a Bulawayo optical company over a debt of more than $179,000 emanating from unsettled claims from its subscribers.
In papers filed at the Bulawayo High Court on Monday, Optical Centre is the plaintiff while PSMAS was cited as the defendant.
Optical Centre through its lawyers, V J Mpofu and Associates, is demanding the sum of $179, 270 from PSMAS for medical services rendered to the health insurer’s members between October 2012 and September 2015.
“From October 2012 to September 2015 the plaintiff provided optical services to PSMAS members after entering into an agreement with the defendant that they would pay for those services.
“In pursuant of the pact, Optical Centre rendered services to the defendant’s insured members and submitted claims for settlement by PSMAS,” said Optical Centre’s lawyers.
According to the summons, PSMAS has continuously failed or neglected to settle the debt despite demand.
Optical Centre seeks an order that compels the troubled health insurer to pay the debt with interest at the prescribed rate running from the date of judgment to the date of full and final payment. The optical company also wants PSMAS to pay the cost of the suit.
PSMAS has 10 days to file a notice to defend the summons.
Health service providers have since December last year been filing applications at the High Court separately against PSMAS.
Last week the Bulawayo High Court ordered the health insurer to pay a Gweru-based eye specialist and his company more than $32, 000 in claims from its members.
The ruling by Justice Nokuthula Moyo followed an application for default judgment by Dr Narendrakumar Somabhai Patel, director of NV Patel Optical Company.
PSMAS a few months ago instructed medical service providers to demand cash upfront from its members intending to receive treatment, saying the move was aimed at preventing its debt to health service providers from ballooning and to avoid further litigation.
More than 30 health service providers have been instructed not to accept the society’s medical aid packages and members who seek their services will have to apply for reimbursement from the society’s offices.
PSMAS’s problems have been largely blamed on the mega salaries which were being awarded to ousted chief executive Cuthbert Dube and other managers.
Dube was taking home more than $500,000 in salary and allowances each month, at a time the medical aid society was failing to pay health service providers.
The medical aid society said stopping the service providers from treating patients on its medical aid was part of its strategy to avoid further litigation at a time it was facing liquidity challenges.
Online Reporter