The application by the Council for Medical Schemes (CMS) to place the Netcare Medical Scheme under curatorship lacks any justification.
Craig Taylor, principal officer of the Netcare Medical Scheme, confirms the scheme is steadfast in opposing the proposed curatorship, currently at the early application stage in the high court. “The application relates to a technical issue going back to 2022, which the scheme remedied at the time. We believe that the application for curatorship has no basis and remain confident that we will be able to show the court that our governance processes have been, and remain sound and adhere to regulatory standards,” Craig Taylor, principal officer of the Netcare Medical Scheme, said.
"It is inconceivable that a well-run, financially sound medical scheme, demonstrating ongoing sustainable growth and a robust track record, could be considered for curatorship. A duly elected Board of Trustees oversees the scheme’s affairs. We are confident that the scheme has taken all necessary steps and has acted with honesty to protect the interests of our members,” Taylor adds.
On 8 March 2024, the court ordered the CMS to provide the scheme with the legal opinion that forms the foundation of its curatorship application. The scheme has studied the opinion and disagrees with it. Notably, a recent ruling by the CMS Appeal Board supports the scheme's legal interpretation, contradicting the CMS stance.
“It is important to note that curatorships are granted only when serious financial or governance concerns exist. In this context, Netcare Medical Scheme’s track record shows that the circumstances do not warrant such a drastic regulatory intervention, which would not align with the best interests of the scheme or the members we serve.”
Ends
Issued by: MNA on behalf of Netcare Medical Scheme
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