HK hospitals suffering from bad debts, with more than half the culprits being non-residents

Hospitals suffering from bad debts
Hilary Wong
Friday, January 24, 2014
The Hospital Authority says it has incurred bad debts totaling HK$49 million, with more than half the culprits being non-residents.

It said in its annual report that absconding pregnant woman from the mainland alone were responsible for HK$10 million of this amount.

Secretary for Health Ko Wing-man said he is greatly concerned as the number of bad debts has increased sharply from the previous year.

“We took stringent measures to prevent bad debts, including deposits by non-local patients,” he said.

Ko admitted it will be hard to recover the money if the patients had left Hong Kong as this will require additional resources.

“The deposit system is used when patients are referred to a hospital,” he said.

“But if a pregnant women arrives at the accident and emergency ward we have to provide medical services on humanitarian grounds and charge the patient later.”

He said the government and the authority will work together on prevention measures and he asked the public to understand the difficulties encountered on this issue.

Meanwhile, Ko said there are two peak periods of seasonal influenza, at the end of a calendar year and again in spring.

He said the Centre for Health Protection has been monitoring the incidence rate of influenza by examining samples from clinics or hospitals and collecting information about the patients who had upper respiratory infection symptoms similar to influenza.

Ko said the number of influenza cases this year is higher than the previous two years. He said since the outbreak of H1N1 in 2009, it had became one of the main viruses found in seasonal flu, accounting for 40 percent of all tested samples.

“With the flu season peaking in March and April we need to prepare to face any pressure to the medical system.”

Ko said despite the low death rate, flu can cause complications. “We still need to carefully monitor the situation so no conclusion can be made now.”

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Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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