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The
Corporatisation of Health and Aged Care in
Australia
This page is the root page
for the Australian section. It was completely rewritten in
2006 and now provides a broad overview of the
corporatisation of health and aged care in Australia. There
are links to pages which address different sections of the
health system in Australia.
(Created
June 2004. Completely rewritten Sept 2006 last entry
8/08)
Australia
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Warnings and Policy
Statements
I travelled to
the USA in 1993 to obtain documents about National
Medical Enterprises (now called Tenet healthcare).
These documents provided a profound insight into
how the market operated in health care. I soon
realised that the problems were not isolated to
this company but were systemic to the corporate
marketplace. I have tried to make this point and
warn Australia of the dangers since then. Others
have also done so. Governments have had an
ideological health care agenda which has caused
them to disregarded all warnings.
Extracts
from "Remission Impossible" : Ron Williams (1992)
Ron Williams studied the US Medical System and
then politics and economic thinking in Australia.
He was among the first to understand the overall
threat. His dire warnings about the pending US
corporatisation of our health system fell on deaf
ears and his book was hardly read.
|
The
Hon Michael Wooldridge : Speech to the Australian
Medical Association - May
1996
Although the labour government had moved
strongly towards privatisation in the early 1990s
it was Dr. Michael Wooldrige, minister for health,
in the Coalition government elected in 1996 who
staked his future on the commodification and
competitive corporatisation of health care. His
aggressive responses to criticism and his
willingness to scheme were his undoing and led to
his ultimate resignation. This is his speech to the
Australian Medical Association explaining his
policies.
Dr.
Weedon welcomes Dr. Wooldridge - May
1996
Dr. Weedon, president of the Australian AMA
made his dissenting views very clear when he
introduced Dr. Wooldridge prior to his policy
speech. This is his introduction.
|
Corporatisation in
Australia
Over the years I
have written a number of reviews looking broadly at
different aspects of the corporatisation of health
care in Australia. Some have been put on this web
site. As they were written at different times and
for different purposes there is some
overlap.
Corporate
Medicine in Australia
I wrote this review in late 1997. It analyses
the application of economic rationalist ideas to
health care comparing what had happened in the USA
with what was happening in Australia. Because
values, trust and integrity are more critical in
health and aged care than any other sector of
society health is at the eye of a wider social
battle between community values and economic
ideology. Like it or not those who work in health
care have been drafted into this war. Their future
depends on it and so perhaps does the prospect of a
society in which economic self-interest is
harnessed by the values and norms of a civil
society of reflective interacting
individuals.
The
Dominance of the US market and US marketplace
Ideas
This page was written some time in early 2000
after the chairman of Australia's National
Competition Council (NCC), Graeme Samuel's speech
to the world bank calling for urgent global health
care reform using economic levers. This page
discredits the claims that we are different to the
USA and that these things could not happen
here.
THE
GREAT DIVIDE IN PERCEPTIONS about the CORPORATE
MARKETPLACE
This page looks at market failure in the USA.
It examnes the great divide between the perceptions
of market advocates when contrasted with the way
health professionals, patients and most citizens
perceive and experence the market system in health
care. It goes on to list the red flags which should
alert citizens and regulators in Australia to the
possibility of dysfunction. I wrote this page in
2004 when Primary Health induced the University of
Wollongong to take a page off the web
site.
Privatisation
and the public hospital
system
This page written in 2002 to analyse the
privatisation of public hospitals and colocation
traced the application of market theory and
corporatisation leading up to these processes.
See same page under the privatisation section
below.
Regulation
in Australia
This page also written in early 2000 examines
the way in which regulations, which protect
citizens from unsuitable, even criminal corporate
health care corporations, have been undermined in
the corporate interest in Australia. It tells the
story of multiple regulatory failures and the
unsuccessful struggle to get regulators to
regulate.
The
Corporatisation of Health Care in
Australia
This page written later in 2000 describes the
Australian government's multiple attempts to
introduce a corporate health care market into
Australia. The strategies used and the depths to
which they sank to accomplish this are
described.
DEFICIENCIES
IN FIRB
A
criticism of the deficiencies and loopholes in the
FIRB process written early 1998 after the
deficiencies had been exploited to bring Sun
Healthcare into Australia. The problems created for
state regulators and the refusal of federal
governments to do anything about it are
reviewed.
WELCOMING
MULTINATIONALS IN AUSTRALIA : Some
considerations
This late 2000 page examines some issues
surrounding overseas ownership of health care in
Australia and some of the social processes and
problems. It needs some editing!
Politics,
Markets, Health and
Democracy
This 2004 web page explores the links and
relationships between political ideology,
politicians, the marketplace, ideas about
democracy, and health care. It describes and
contrasts the role of these factors in the USA and
in
Australia.
The Scan
Scam
This is summarised on the Scan
Scam page.
There is more detail on the Mayne page dealing with
conflicts
of interest.
Radiology was one of the areas of medical practice
turned into a corporate business by government
policy. Doctors were turned into businessmen acting
for their companies, yet the minister of health,
Dr. Wooldridge treated them like disinterested
doctors who would put responsibility to the
community first - something he had destroyed. The
scandal involved Dr. Wooldridge, Mayne Nickless'
Barry Catchlove (the chairman of the HIC), and the
radiologists in the purchase of costly scanners. It
cost Catchlove his post and Wooldridge his
political credibility. The doctors whom they blamed
were largely exonerated.
See also --
The web pages "Corporate Medicine: I told
you so" and "Corporate Medicine - Hospital
licences" in the section about Columbia/HCA
below. They deal with the control of US style
corporate practices in Australia.
Funding
and Rationing in
Australia
This page written in early 2000 is a flight of
fancy. It looks at Australia's funding system and
for the purpose of the argument accepts that in
spite of our claimed wealth the rationing of
expensive care is inevitable. It considers the
likely consequences of "rationing for corporate
profit" then creates an idealised future where
citizens decide on health care funding and where
scarce resources are stretched fairly for maximum
benefit rather than shareholders
wallets.
The
Market, Contracts and the
Bush
When Graham Samuel, chairman of our National
Competition Council (NCC), in a speech
to the world bank
early in 2000 urgently pressed the bank and
developing nations to adopt a complex competitive
market based health care model I was apoplectic and
gave birth to a litter
of criticisms most
of which appeared on this web site. A large part of
my working life in medicine had been spent in
Africa. To highlight the absurdity of this for
Australian readers I looked at the potential for
such a competitive corporate marketplace for the
dispersed bush residents of Australia and for its
Aboriginal communities. Even Australia's most
extreme economic ideologists had not suggested
anything so
ridiculous for them!
Published
Papers
Building
on Values: The Future of Health Care in
Canada
(pdf file)
This paper by Wendy Armstrong (from Canada) and
myself examines the report of the Romanow Royal
Commission into health care in Canada and draws
implications for Australia. It was published in the
March 2003 edition of
the
Health
Issues Journal.
A pdf
version
of th paper is here.
Hazards
in the Corporatisation of Health
Care
(pdf file)
A paper of mine "Hazards in the Corporatisation
of Health Care" was published in the Autumn
2004 edition of "New Doctor" <http://www.drs.org.au/>..
It is about corporate medicine in Australia and the
Citigroup led purchase of Mayne
hospitals.
Belief
Versus Reality in Reforming Health
Care
(pdf file)
A paper "Belief Versus Reality in Reforming
Health Care"contrasting for-profit with
not-for-profit health care and the implications for
Australia was published in the August 2005 edition
of "Health
Issues".
Unpublished
Australia's
Experience with Health Reform : Are there lessons
for Canadians?
(pdf file)
In 2004 I was asked to speak to an invited group at
a meeting organised by the Consumers' Association
of Canada (Alberta Chapter) and the Seniors' Action
and Liaison Team (SALT). I prepared this as a
background paper. The tittle was not really
appropriate as the thrust of my argument was as
much on the USA as on Australia. What I was trying
to do was to link the dysfunction in health care to
the prevailing ideology in the western world today
and to suggest that health care was where the first
steps could be taken towards a more balanced
society.
|
THE CORPORATE
INVASION OF AUSTRALIAN HEALTH
CARE BY MULTINATIONALS FROM THE USA AND
ELSEWHERE
That Ron Williams
dire predictions have not come true may be largely
due to the megacorps serious misconduct in the USA.
Australian authorities and their political masters
were repeatedly embarrassed when concerned citizens
drew the major breeches of Australia's probity
requirements to their attention and publicised
corporate misconduct in Australia.
Links to the many pages describing their US conduct
are given on the US
section
of the site map. I give here only links to the
central pages of the companies attempting to enter
Australia, and to those sections dealing
specifically with their time in
Australia.
Tenet
Healthcare & National Medical
Enterprises
I first became aware of corporate misconduct
when I started making inquiries about National
Medical Enterprises' (NME but later renamed Tenet
Healthcare) operations in Singapore where I had an
unpleasant experience. I decided to take action.
When NME entered Australia in December 1991 it was
in the midst of a US scandal . It departed
Australia in 1996 under a cloud after paying about
$1 billion in fraud settlements in the
USA.
- Australia's
Response to
Tenet/NME
- the story in Australia, told in a paper I
published in 1996
- Australia
- a lack of frankness and
candour
- in a submission I made to Tenet's ethics
committee
- The
Senate Statement
- a
statement made in the Australian senate
describing Tenet/NME's departure and my role in
this
- Tenet/NME
dispute -
a summary of my dispute with NME and subsequent
actions
- Taking
on National Medical Enterprises
(NME)
- A more detailed account of my battle with
Tenet/NME written primarily for those interested
in whistle blowing and its perils.
- The
Yeldham scandal
- the
story of the judge who was at risk of improper
influence in 1993 when he assessed NME's
compliance with NSW probity regulations. He
overruled state authorities and allowed NME to
operate in NSW. When he was exposed in 1996 he
committed suicide.
- REWARDS
OF DEVIANCE : What will
Happen?
- Extract from my 1993 submission to Justice
Yeldom in which I predict that because of the
market and political pressures approval would be
given in spite of NME's conduct.
- Vista
Healthcare
- In 1997 some of Tenet/NME's international
staff set up the international health care
advisory group Vista Healthcare in Singapore.
They advised other health care companies wishing
to expand internationally. They quite possibly
used their experience of our system to advise
others who entered Australia. (e.g.. Sun
Healthcare). Unbeknown to me they bought a
hospital in Australia. They were acquired by
BUPA.
- Personal
Experiences
1988-92
and Unnecessary
Cardiac Procedures in
2002 -
My early impressions of NME's Singapore hospital
and the later allegations of unnecessary cardiac
procedures in a California hospital in the
second US scandal. The senior hospital
administrator in Singapore became CEO of the
Australian company in 1991. In 2002 he
held
a senior position in
California
where unnecessary surgery allegedly occurred.
His documents were subpoenaed by a senate
committee of inquiry. Might this have happened
in Australia if Tenet Healthcare had
stayed?
Generale
de Sante Internationale
(GSI)
GSI, the largest European hospital owner was
one of the bidders for Tenet's Australian hospitals
in 1995. I played a role with others in unearthing
problems in their UK operations and publicising
them. They dropped out of the bidding
Parkway
Holdings, a Singapore and Malaysian group also
bid for Tenet's hospitals, and was later tipped as
a purchaser of Mayne Nickless. The Tan family
businesses and other Malaysian groups had an
interest in Alpha Healthcare and also in Gribble's
Pathology.
Columbia/HCA
(now renamed HCA)
In February 1997 Columbia/HCA, the largest hospital
megacorp in the world announced plans to invest $1
billion in Australia. A scandal was breaking in the
USA at the time. Together with others I gathered
information and lodged objections with the Foreign
Investment and Review Board (FIRB). When the FBI
raided its hospitals in March 1997Columbia/HCA
withdrew from Australia. This was the first step in
the US $1.7 fraud scandal which engulfed the
company. Pages describing this can be accessed from
the US
part of the site
map.
"Implications of the entry of Columbia/HCA into
Australia", the document describing their conduct
at that time and attacking their entry into
Australia was completed in March 1997 only the day
before Columbia withdrew from Australia. Pages from
it can still be accessed from Columbia/HCA's
central page but it is dated. One section of this
Corporate
Medicine in
Australia
comments on the situation here in 1997 and a page
entitled Mayne
Nickless in
Australia
describes Mayne's similar business
practices.
- Corporate
Medicine - I told you
so --
By July 1997 there was much more information and
the company admitted to the business practices
and the internal pressures which led to the
fraud. I used this information to boost my
credibility in Australia, to draw parallels with
Australian business and reaffirm the points I
had been making.
- Corporate
Medicine - Hospital
licenses
-- In August 1997 Queensland was revising its
hospital licensing regulations. I took the
opportunity presented by Columbia/HCA's
admissions to reinforce my 1996 objections to
Mayne Nickless business practices by urging that
these practices be prohibited in the new
hospital regulations. I did not anticipate
success!
Managed care -
Aetna, was involved in some activity in New
Zealand. The Australian AMA were energetically
battling managed care in Australia and had the
matter in hand. I did not get too involved in the
internal politics. Kaiser was snooping around South
Australia. There is some information about Aetna
and Kaiser on the managed
care pages
I wrote in 2003. There is more about Kaiser on the
1997 "I
told you so"
page above and on a 1997 page
of press clippings.
AXA
This French multinational insurer took control of
Mutual health insurers in the southern states and
privatised them. It joined with Mayne and the
minister for health in attempting to introduce
managed care style contracts in Australia.
Hospitals succombed but doctors refused. Its
Austraiian health insurance operations were later
acquired by BUPA
Sun
Healthcare
Sun Healthcare was a US aged care and step down
care giant which had enjoyed meteoric growth in the
USA. When it entered Australia in 1997 there were
already serious concerns about fraud and about
standards of care in its facilities. It bought into
Alpha Healthcare in Australia and also a bought a
number of hospitals from Moran Healthcare. The
deceptive manner in which it was brought into
Australia, and Dr. Wooldridge's role were of
particular interest. Once again I collected
information, lodged objections and pressed the
issues. The main pages relevant to Australia can be
accessed from Alpha Healthcare below. Sun sold its
Australian holdings after it entered bankruptcy in
the USA in 1999 - and in Australia.
Political
Blindness
When Sun Healthcare entered Australia in 1997 I
wrote a short piece pointing out that in each
instance politicians had been supplied with vast
amounts of information about multinationals
entering Australia. No one could claim ignorance,
yet despite repeated embarrassment they continued
to bring in US multinationals.
Laboratory
Companies -
SmithKline Beecham operated laboratories in the USA
and Australia. In 1999 it sold all its laboratories
to Quest Diagnostics. Quest was the laboratory arm
of Corning which had recently been spun off as a
separate company. Both SmithKline and Corning were
central culprits in the fraud exposed by operation
labscam in the 1990s. Hundreds of millions of
dollars in fines were paid. An objection to Quest's
entry to run laboratories in Australia was
ignored.
HEALTHSOUTH
entered Australia in 1997. It had enjoyed
unprecedented success and dominated rehabilitation
in the USA. It appeared to have an unblemished
track record. Success in the competitive health
care corporate marketplace is simply not achieved
in this way. I was suspicious but could do nothing.
In 2003 it was revealed that its success was built
on a US $4 billion fraud which commenced soon after
it was founded in 1986. The Australian subsidiary
participated in one part of this fraud. Australian
authorities have been kept fully informed since the
scandal broke over a year ago but have taken no
action to constrain the company or to warm the
public.
Pharmacology
giants -
Most of the multinational pharmaceutical giants
operate in Australia. Many have been
involved
in extensive fraud
in the USA and internationally. In the pursuit of
profits the industry has adopted a number of
socially and humanitarian distasteful
business practices.
In Australia they have made every effort to
undermine
the successful PBS
system
and to push drug prices up using international
trade agreements.
Vista
Healthcare and its National Medical Enterprises
(NME) Heritage
Vista
Healthcare was formed in Singapore in 1996 by Chase
Manhattan bank and the core of Tenet/NME's
international division. It expanded rapidly across
Asia. These people who had been pressured out of
Australia in 1995, because of their conduct, very
quietly bought back into Australian hospitals in
1999. BUPA bought Vista in
2001.(written
in 2000 updated 2005)
Citigroup
After Sun Healthcare and the scan scam Dr.
Wooldridge departed and there was a period of
embarrassed freedom from healthcare multinationals.
However when Mayne Nickless' hospitals were in
trouble they sold internationally again in
preference to a local consortium. Mayne hospitals
were sold in 2003 to a group of venture capitalists
led by CVC Asia Pacific. That this was a part of
Citigroup was concealed from doctors and the
Australian public but not internationally. A
correspondent informed me. Citigroup was at the
time embroiled as a central culprit in the massive
Wall Street fraud scandals. Citigroup's US
misconduct can be accessed from the
US
section of the site
map.
(written 2004)
- Mayne
Health becomes Affinity
Health
- This page describes the purchase
of Mayne hospitals to form Affinity Health, the
nature of venture capitalism, management
buyouts, and the possible implications for
health care in these hospitals.
- The
Companies Buying Mayne
Health
- This
page describes the way in which the Australian
press connived in hiding CVC Asia Pacific's
relationship to Citigroup and also Citigroup's
conduct from the market, the public and the
medical profession. It goes on to examine each
of the companies involved in the buyout and
their links to larger groups. Only Citigroup
have any experience in health care and that is
extensive and profitable in the USA.
An article
"Hazards in the Corporatisation of Health
Care" which I wrote was published in New
Doctor in March 2004 <available at
http://www.drs.org.au/>.
It summarises Australia's disturbing record with
multinationals and describes the Citigroup
purchase.
TRADE
AGREEMENTS AND AUSTRALIA
It is clear that governments have adopted a policy
of to corporatise health in Australia but have not
had the political courage to express this publicly.
US groups supported by their government have sought
to include
health in world trade
agreements
and also in 2004 in bilateral trade agreements
between Australia and the USA. In October 1999 the
Australkain
Doctor's Fund
and the National
Association of Practising Psychiatrists
responded
to pressures on the WTO process with press
releases
"NO
NEED FOR AUSTRALIA TO JOIN INTERNATIONAL AGREEMENT
ON HEALTH CARE
SERVICES"
and
"What International Health Care Agreement Will
Do For Sufferers Of Mental Illness".
|
Australian Hospital
Companies
Enthusiasm for
market medicine gripped Australia in the 1980's but
there were early failures, followed by recovery in
the early 1990s. Most of the 1990s were a difficult
period. The market expected to reap large profits
as a consequence of the strong support given to
private insurance and privatised care by the
coalition of liberal and national when it was
elected in 1996. This did not eventuate until 2000
and during the 1990s only some companies made
money.
Australian
Hospital
Companies
This web page discusses the background and
the factors influencing the development of
the competitive corporate hospital market
in Australia. It briefly describes the
story of the majority of companies that
have operated hospitals for profit in
Australia and links to pages decribing
each in greater detail.
It examines the
consequence of progressive consolidation
of the market until only two large and
very powerful corporations remained
(Written
10/2005)
Australian
Hospital
Companies
|
For the
larger companies Mayne Health, Alpha
Healthcare, Healthscope, and Ramsay Health
Care see separate panels lower
down.
The
American Influence : HCA and
AMI
The two US hospital multinationals,
HCA and AMI operated in Australia between
1978 and 1991. While neither was
successful they had a profound influence
on political and business thinking. They
laid the foundations for the
corporatisation of health care in
Australia.
(Written
10/2005 Last entry
)
Ian
McGoldrick & Companies : Consolidated
Health Care (CHC), Health and Life Care
(HLC), Superclinics, Supercare, &
more
Following a string of failed surgical
proceedures in the 1980s controversial Dr
Ian McGoldrick was barred from practising
medicine although this did not stop him
from doing so. He was associated with two
hospital companies during the 1980's that
were each briefly the largest in
Australia. He contributed to the demise of
both and was involved in a string of other
questionable corporate endeavours.
Everything he touched turned to tears for
those his charisma won over.
(Written 10/2005 Last entry
)
Markalnga
Trust & Australian Medical Enterprises
(AME)
Markalinga Trust was founded by a
group of investors and listed on the
market in 1985. It overspent and was in
trouble by 1991. The fraud plagued US
company, National Medical Enterprises
(NME), bought a controlling holding and it
became Australian Medical Enterprises
(AME). As the scandal in the USA unfolded
NME's probity was challenged by concerned
citizens. NME was forced out of Australia
in 1996 after a complex saga in which
authorities were repeatedly
embarrassed.
(Written 10/2005 Last entry
)
James
Hardie & Health Care
Corporation
James Hardie the large Australian
multinational at the centre of the
Asbestosis scandal became enthusiastic
about profits from health in the 1980s
investing in American Medical
International, founding Health Care
Corporation (HCC) and investing in health
in the USA. It did not prosper and
struggled to get out of health care
selling HCC into Alpha Healthcare and then
struggling to get out of Alpha without
losing too much money.
(Written 10/2005 Last entry
)
Australian
Hospital
Care
This page describes the steady rise of
Australian Hospital Care (AHC) between
1979 and 1998 to become the second largest
for profit hospital owner in Australia.
Eighteen months after a very successful
float in 1996 market pressures imposed
their rigour on a company that believed
the illusions of the ideology but did not
understand its nature. Losses and
miscalculations left it in a parlous
state. It quickly succumbed to a takeover
in 2000.
(Written 6/2005 Last entry
9/2005)
Moran
Health Care :
Hospitals
Moran Health Care is currently a
private for profit operator of nursing
homes. It has also invested
enthusiastically in hospitals and was a
strong advocate for private care with
political connections. Doug Moran is best
known for his failed Taj Mahal style
medical parks targeting wealthy
foreigners, but he had many other business
interests in Australia and
internationally.
(Written 10/2005 Last entry
10/2007)
Two
other pages "The Nursing Home
Empire" and "The Moran Family
Story" are listed under the
aged
care
section
below
Benchmark
Group
This page examines Benchmark, a
private for profit hospital company owned
and run by one man. It wanted to list on
the stock market but never did electing
instead to sell itself in 2004. It is an
Australian example of a subgroup in the
for profit system. Unlike publicly listed
companies hospitals in this category
sometimes work well but they are also at
greater risk of abuse.
(Written 5/2005 Last entry
10/2005)
Nova
Health
This page examines the upbeat claims made
by this company Nova Health when it
floated in 2002. The page documents its
collapse, resuscitation and finally
takeover by Healthscope in 2005.
(Written 5/2005 Last entry
)
Insurers
Owning
Hospitals
During the 1980s and 1990s many
medical insurers owned and operated
hospitals. When a managed care system
based on competition between hospitals for
contracts with insurers was introduced
this created an impossible conflict of
interest. By the end of the 1990s they had
all sold their hospitals.
(Written 10/2005 Last entry
)
Hospitals
of Australia
HOA)
Hospitals of Australia Trust was
floated in 1986 and Mayne Nickless bought
a 29% interest. Mayne increased its
interest, took over management and in 1992
bought out other share holders forming
HCoA. HOA had prospered and grown
(Written 10/2005 Last entry
)
Affinity
Health
When a group of venture capitalists
led by CVC Asia Pacific, part of the fraud
prone Citigroup, purchased Mayne's
hospitals these were renamed Affinity
Health. Eighteen months later the bulk of
the hospitals were sold to Ramsay Health
Care. Affinity kept 20 hospitals and still
runs them in
2005.
(Written 1/2004 Last entry
8/2005)
OTHER
SMALL HOSPITAL
GROUPS
A number of smaller groups have
operated over the years and this page
looks at some of them. Only one or two
still operate and the most successful is a
doctor led group called Independent
Private Hospitals of Australia.
Tom
Wenkart and Macquarie
Health
Tom
Wenkart, a colleague of Goldridge and the
infamous Edelsten founded Macquarie
Health, a complex set of companies built
around a large pathology business but
including hospitals, medical clinics and a
medical technology business. Like the
other two doctors he indulged in
unacceptable practices, ran into trouble
with the tax office and became
bankrupt..
For the
larger companies Mayne Health, Alpha
Healthcare, Healthscope, and Ramsay Health
Care see below
|
Mayne
Nickless
Access
Page
and
its subsidiary Health Care of Australia
(HCoA) which became Mayne
Health
Until 2003 Mayne was by
far the largest corporate owner of
hospitals in Australia.
It
has been iat the centre of almost every
health care controversy in Australia with
the possible exception of the attempt to
Americanise our healtrh system. Its
conduct illustrates corporate behaviour -
particularly behaviour under
pressure.
This
page provides links to the Mayne pages. It
summarises the Mayne story describing how
this wealthy trucking giant switched to
hospitals when exposure of its unsavoury
collusive practices and trucking fraud
rendered trucking no longer
profitable.
The
story is told of its struggle to make a
profit from hospitals and the ultimate
revolt of doctors against its
practices.
It
eventually sold its hospitals to a
consortium led by a Citigroup subsidiary
and turned itself into a mainly
pharmaceutical company.
It
continued to perform poorly and in
November 2005 broke up into a local
company Simbion and an international
company Mayne Pharma.
Citigroup
is a US multinational financial
conglomerate with a dreadful track record
for deceiving its customers.
(Written
1997 Last entry 11/2005)
M
a
y
n
e
H
e
a
l
t
h
|
Mayne
Nickless 1886 to 1994 - The Early
years
Mayne's story prior to the
plea to collusive practices and
fraud in 1994. The development of
a culture of ruthlessness, fraud
and dishonesty and the origin of
its approach to health care.
(Written
Nov 2001 Last entry Aug
2004)
|
The
Collusion and Price Fixing
Scandal
Mayne's behaviour leading up
to the 1994 prosecution for
collusive practices in trucking,
its guilty plea, its fine, and
its aggressive
response.
(Written
Nov 2001 Last entry Mar
2002)
|
The
Dalziel and Catchlove Years 1995
to
2000
The decision to sell off
trucking and other businesses and
switch to health care as the
company's main business and
theatre for growth. The promise
of profits which never
materialised culminating in
Catchlove and Dalziel's
departures in 2000
(Written
Nov 2001 Last entry Aug
2004)
- Dalziel
and Catchlove - References
December 1995 to August
2000-
references and
extracts
- Mayne
Nickless in Australia -
Part of the March 1997
criticism of Columbia/HCA's
entry to Australia where I
briefly review Mayne's
conduct. (Web page now
removed)
- Governmant
Appointments and Conflicts of
interest
-
Conflicts of interest
involving Mayne staff.
Catchlove's relationship with
Dr. Wooldridge, his
appointment to chair the HIC
and the involvement of both in
the scan scam which finally
discredited Wooldridge and
ended his political career.
(Written
Jan 2002 Last entry Mar
2002)
- Colocations
and Privatisations in
Australian
States
-
Mayne was one of the strongest
advocates and supporters of
privatisation of public
hospitals and of the
colocation on public hospital
campuses. It was involved in
NSW, in West Australia, in
Queensland, and in
Tasmania
- Mayne
Nickless press reports
-
In 1998 Mayne working with the
multinational insurer AXA and
Dr. Wooldridge attempted to
entice doctors into managed
care contracts which would
have given them a hold over
doctors. Doctors refused and
so were able to walk away when
Smedley later cut back on
care. I circulated a series of
articles in order to help
dissuade doctors.
(Written
1998 Last entry Oct
1998)
|
Peter
Smedley - The new Doctor on the
Block
An analysis of Smedley, the
corporate Mr. Fixit, and his
business practices - what he
brought to Mayne when he came
from Colonial to replace Dalziel
in 2000.
(Written
Nov 2001 Last entry Aug
2004)
|
The
Smedley years June 2000 to Dec
2001
The page describes the hope
and surge in share prices as
Smedley embarked on a program of
marketplace restructuring, cost
cutting, and rapid expansion by
takeovers of hospital and drug
companies. Doctors in contrast
felt that care was being
compromised and walked away from
the hospitals causing financial
collapse and Smedley's demise in
2002.
(Written
Nov 2001 Last entry Aug
2004)
|
The
Mayne Health Care
Story
The page describes Mayne's
foray into hospitals, its
relationship with doctors and the
issue of patient care versus
profit.
(Written
Mar 2002 Last entry Aug
2004)
|
MAYNE
CRASHES : 2002 and
2003
This page describes how
Smedley's character and policies
brought Mayne to its knees and
the role which the medical
profession played in this. Mayne
has now been broken up and seems
to be continuing to fragment.
(Written
Aug 2004)
|
Mayne
Health becomes Affinity
Health
The purchase of Mayne
hospitals by a group of Venture
Capitalist led by CVC Asia
Pacific, a subsidiary of
Citigroup, in a management buyout
- an examination of this process
and its implications.
It records the sale of Affinity
hospitals in 2005
(Written
Jan 2004 Last entry Oct
2005)
Affinity
Health Hospital
Licenses
This web page documents
the difficulties Affinity
Health had in securing
licences for its hospitals in
NSW and the implications of
this for the takeover of the
nursing home operator DCA in
2006.
(Written
Sep 2006 Last entry Mar
2007)
|
The
Companies Buying Mayne
Health
An examination of what
happened when these venture
capitalists purchased Mayne
hospitals and the hiding of
information. A review of these
companies and their past
activities. .
(Written
Jan 2004 Last entry Aug
2004)
|
Mayne
Finally Breaks
Up
This web page documents
Mayne's inept management and
steady decline during 2004 and
2005, and its break up into local
and international companies in
November 2005. It also documents
the end of the tarnished Mayne
name as a local operator although
it still tarnishes the
international operation. This new
international drug company is
seen as a likely takeover target.
(Written
Nov 2005)
|
Mayne
Diagnostics and General
Practice
This web page briefly tells
the story of Mayne's radiology,
diagnostic laboratory and general
practice businesses which
generally underperformed
competitors.
(Written
Nov 2005)
|
Efforts
to Restrict Mayne
Nickless
A brief description of my own
attempts over the years to curb
Mayne Nickless and its practices.
The two older pages below have
been removed from the web site.
Email me if you want a copy.
(Written
Mar 2002 Last entry Oct
2005)
- Submission
Mayne Nickless 1996 : The Use
of Incentive Bonuses in
Medicine - When Mayne
Nickless adopted aggressive
business practices and large
incentives to managers I
lodged objections to hospital
licenses in all states on the
basis that these practices
were inappropriate (lacked
probity) in health care. I
showed how they had been
largely responsible for the
problems in the USA..
- DOCUMENTS
IN SUPPORT of submission
against incentives in health
care - A brief summary of
the many documents submitted
in support of my
contention.
|
|
ALPHA
HEALTHCARE Overview and
Analysis
This page gives an
outline of Alpha and Sun Healthcare's
activities in Australia. Alpha was a
company with a prime interest in profit.
It turned to health care in 1988 after
failing for 20 years in other areas. Sun
Healthcare used Alpha as its joint venture
vehicle to enter Australia.
The page also
gives my comments and assessment of what
happened to Alpha. I speculate about what
may or may not have been happening behind
the scenes and what the involvement of
politicians was in bringing Sun into
Australia.
(Written
9/2002 Last entry )
|
ALPHA
HEALTHCARE'S STORY : Significant
Events
This is a detailed itemised
account of Alpha's history
starting in 1969 and ending in
2001
|
Alpha
Healthcare : References and
extracts
This page gives sources for
information about Alpha with some
extracts.
|
ALpha
Shareholders'
Battle
(2001 to 2004)
This page written in 2001
gives an account of Alpha's
shareholders battle to get
authorities to address their
perception that they had been
unfairly treated. It returns in
2005 and reviews possible
misconceptions and the ultimate
failure of their efforts. It
looks for lessons in their
experience.
|
A
DISSENTING VIEW OF HEALTH AND
AGED CARE CORPORATISATION :
CONFRONTING SUN HEALTHCARE IN
AUSTRALIA
1997-2001
-
see the material on combatting
corporate health care
below.
|
Sun
Healthcare : Access to web
pages
Pages describing Sun's conduct in
the USA link from this page or
can be accessed from the map
section dealing with
aged
care in the
USA.
|
Sun
Healthcare enters Australia
::
Overview
A summary and overview to the
following pages written soon
after Sun Healthcare entered
Australia and after I received
FOI documents.
|
|
Healthscope
This web page gives a brief overview of
Healthscopes near collapse and its
recovery to become a very successful
growth company. It examines the costs to
others of its policies and practices. It
provides links to pages which explore its
story and the consequences more
closely.
(Written 6/2005 Last entry
)
Healthscope
Healthscope
|
THE
HEALTHSCOPE STORY : The Road to Market
Wisdom
This web page documents Healthscope's
naive beliefs when it entered the
marketplace in 1994. It records its near
collapse and then its reinvigoration as a
ruthless and very successful profit
focussed entity with an obsession about
growth.
(Written 5/2005 Last entry
9/2006)
People
and
Culture
This page complements the other
Healthscope pages by giving more
information about corporate thinking,
management, and relationships with
doctors, nurses, politicians and
others.
South
Australia Privatisation : The Modbury
Privatisation
This web page examines the
Privatisation of Modbury Public Hospital
in Adelaide, South Australia. The contract
to run the hospital was awarded to
Healthscope. It was a financial disaster.
Healthscope's attempts to restructure and
cut costs are examined and the
consequences for services and care are
explored.
Mosman
Hospital Purchase : The market at
work
This page documents the unsuccessful
attempt by the Mosman Community and its
doctors to stop Healthscope from removing
surgical services from what had been their
community hospital for 70
years.
The
Mersey Hospital
Story
This page examines the background to
the Mersey public hospital and the Burnie
public hospital privatisations in
Tasmania. It then explores what happened
in the community and the hospital when
Healthscope, a company with a very strong
commercial focus bought the contract to
run the loss making Mersey public
hospital.
Tasmania
: Privatisations and
Co-locations
This page examines the privatisation
of public hospitals and the co-location of
private hospitals on public campuses in
Tasmania by Mayne Health, Australian
Hospital Care and Healthscope.
Healthscope
and Consolidation : The
PACMAN
This web page looks at the background
to the PACMAN label and then tells the
story of Healthscope's PACMAN approach to
not-for-profit hospitals. It uses the
management contract Healthscope reached
with the struggling not-for-profit
Adelaide Community Healthcare Alliance
(ACHA) to illustrate the similarity with
PACMEN in the USA.
The
Western Community
Hospital
This page examines the struggle of the
local community to save their community
hospital when the Adelaide Community
Healthcare Alliance's (ACHA) bankers
wanted to close it, and Healthscope did
not want to manage it. It highlights the
contrasting culture of the not-for-profit
community service and the for-profit
service as illustrated by
Healthscope.
The
Battle with BUPA
(Insurer)
Healthscope had been gearing up to use
its leverage to confront the insurers. In
2003 it challenged BUPA. In the bitter
conflict which followed the patients were
pressured and their interests compromised
as they were used to pressure the
opposition. Healthscope got a bloody nose
and everyone paid a price. This page
describes what happened.
|
Ramsay
Health Care
Main Page
The
page gives an overview of the rise of the
company from one hospital in 1964 to
Australia's largest and totally dominant
hospital owner in 2005. It links to pages
which explore facets of the company's
history and its business strategies in
greater depth.
(Written
8/2005 Last entry )
Ramsay
Health
Care
|
Ramsay
Healthcare : Early
Years
This
page describes Ramsay Health Care's story
from its origin in 1964, through its first
temporary listing on the share market in
the 1987, to the collapse of its founder
Paul Ramsay's entire global empire in 1989
and then its recovery during the early
1990s.
Paul
Ramsay : International
Projects
This
page describes Paul Ramsay's international
operations concentrating on his health
care operations in psychiatry, managed
care, and disturbed adolescents in the
USA. It looks at reports suggesting
overcharging of Medicaid and of a grand
jury investigation into the mistreatment
and sexual exploitation of adolescent
girls under Ramsay's care.
Ramsay
Health Care : The Privatisation Years
(1994 to
1999)
This
page describes Ramsay Health Care's
enthusiasm for and financial success in
the privatisation of veteran's affairs
hospitals, its caution in the
privatisation of public hospitals, and its
strategy for colocated
hospitals.
Ramsay
Health Care : Survival and Growth (1994 to
2005)
This
page describes Ramsay's strategy for
survival through the difficult 1990s and
then its rapid growth and expansion after
government used taxpayers money to
subsidise the private health care
system.
Ramsay
Buys Affinity Health to Become a Giant
(2005)
This
page describes Ramsay's failure to buy
Mayne's hospitals in 2003, and their
successful bid for the same hospitals from
Affinity Health in 2005. This makes Ramsay
dominant in the hospital
marketplace.
Ramsay's
Hard
Edge
Behind
the benign public face and good relations
with staff is a hard headed business
organisation. It has to be to survive.
This page examines that hard
edge.
Ramsay
Health Care : The
People
Paul
Ramsay is an enigmatic controlling figure
who keeps out of the public eye. Patrick
Grier is his front man in Ramsay Health
Care. The operation of the business and
its culture are a product of these two
men. This web page looks at what we know
about them.
Ramsay
Health Care : Business Policies and
Practices
Ramsay
Health Care's business practices and
policies are radically different to the
economic rationalist recipe for success
and are frequently contrasted with Mayne
Health. They have been spectacularly
successful for the company and have not
resulted in any of the controversial
failures of the corporate marketplace.
This page examines them.
|
|
|
The
Privatisation of Australia's
Hospitals
This page gives a short overview of
the contents of the two main pages about
the privatisation of Australia's public
hospital system and colocation of private
hospitals. It links to them.
Privatisation
Privatisation
|
Privatisation
and the public hospital
system
During the first half of the 1990's
strongly right wing coalition governments
controlled Australian states and a federal
labour government was compliant with state
economic policies. Ideology resulted in
the enthusiastic privatisation of public
hospitals across Australia. Private
hospitals were colocated on public
hospital campuses.
By the
second half of the 1990's privatisation of
public hospitals had proved a failure and
colocated hospitals were not profitable.
Political power both federally and in the
states had been reversed. State labour
governments abandoned these policies. The
federal government directed its efforts to
tempting and coercing citizens out of the
public system into private hospitals,
working closely with the corporate for
profit sector in this. This page describes
and analyses these
developments.
|
Colocations
and Privatisations in Australian
States
This outlines the problems which
occurred with privatisation in each in
each Australian state, linking to pages
studying each state in more
detail.
- New
South
Wales
- Describes the controversies,
conflicts and ongoing crises in
Australia's first privatisation, the
Port Macquarie Public Hospital (Mayne
Health).
- Victoria
-
Privatisation was adopted most
enthusiastically by the coalition
government in Victoria. It went from
disaster to disillusion to abandonment.
The page describes the political
background and the story.
- The
La Trobe
Privatisation
-- The first contact in Victoria
went to Australian Hospital Care
(AHC - since acquired by Mayne) for
the La Trobe hospital. It ended in a
mess and the government had to take
it back.
- The
Mildura public hospital
--
A probity review raised concerns
about the contractor, Alpha
Healthcare's major shareholder, the
US company Sun Healthcare. The deal
collapsed. and was awarded to Ramsay
Healthcare.
- The
Austin and Repatriation
Privatisation
-- This teaching hospital
privatisation was the biggest in
Victoria. It ran into intense
opposition following the La Trobe
debacle. The labour government
abandoned the project in
1999.
- The
Berwick
Privatisation
-- another privatisation which was
abandoned
- The
Knox
Privatisation
-- another planned privatisation
abandoned
- South
Australia
--This
web page examines the Privatisation of
Modbury Public Hospital in Adelaide,
South Australia. The contract to run
the hospital was awarded to
Healthscope. It was a financial
disaster. Healthscope's attempts to
restructure and cut costs are examined
and the consequences for services and
care are explored.
- West
Australia
-- The privatisation of Joondalup
public hospital by Mayne Health was
once again dogged by controversy and
allegations.
- Queensland
-- The National party government and
the press showed enthusiasm for
privatisation and for Mayne Health.
Opposition was mounted and the failures
of the for corporate system were
canvassed to selection committees.
Mayne ultimately shared the
privatisations with not for profit
groups.
- Tasmania
--This
page examines the privatisation of
public hospitals and the co-location of
private hospitals on public campuses in
Tasmania by Mayne Health, Australian
Hospital Care and Healthscope.
- The
Mersey Hospital
Story
-- This page examines the
background to the Mersey public
hospital and the Burnie public
hospital privatisations in Tasmania.
It then explores what happened in
the community and the hospital when
Healthscope, a company with a very
strong commercial focus bought the
contract to run the loss making
Mersey public hospital.
|
Renal
Dialysis in the USA and Australia :
Overview
This web page summarises the conduct of
the global and local corporations
providing kidney dialysis in the fraud
prone US system. Many have reached large
criminal and/or civil fraud settlements
with government. Fresenius paid the
largest US settlement in this sector and
Gambro Healthcare (now Diaverum) was a
recurrent offender. Three of these
companies have recently started providing
dialysis services in Australia. They have
been welcomed and supported by politicians
who have contracted the care of public
patients to them. All Australian state
health licensing regulations have probity
clauses restricting the sort of
organisationa that can operate in this
country. Questions are raised about the
granting of licenses to these companies.
(Written
8/08 Last entry)
|
The
links to web pages and description of the
activities of the companies in the USA are
on the US site map.
Australia
Welcomes Dialysis
Multinationals
Dialysis
provided for the benefit of shareholders
is a recent development in Australia. It
has been associated with a move from
hospital to community setting. The same
companies that have paid massive fraud
settlements and whose care has been
inferior to not for profit entities in the
USA have been welcomed here. They have
been given licenses by state authorities
and contracted to care for public
patients. Australian legislation requires
that the providers of these services be
"fit and proper" persons. Companies
reaching criminal settlements could not
possibly qualify. They should not be
operating here. This information is and
has been readily available on the most
basic of internet searches. It is not
possible for politicians and government
officials to be ignorant of this unless it
was a deliberate decision not to look. In
spite of their international track record
available indicators suggest that these
companies have performed well here and
have been good corporate citizens. There
is no data on the quality of care provided
in Australia.
(Written
8/08 Last entry)
|
|
Corporatisation
of Diagnostic Services :: Pathology
and Radiology
This web
page is the introductory overview of the
corporatisation of diagnostic services in
Australia. Part 1 explores the history,
the processes, the forces at work, and the
problems that developed during the
corporatisation of patholgy and radiology
between 1980 and 2006. It looks for signs
of practices simlar to those in the USA.
Part 2 lists the main companies that have
supplied these services during this period
and summarises the history of each one.
Links are provided to other pages which
examine the conduct of these companies in
much greater
detail
(Written
2/06 Last entry)
|
Diagnostic Services ::
Pathology and Radiology
Sonic
Healthcare (and its general
practice partners Foundation Healthcare,
LifeCare and IPN)
This web page examines the meteoric
growth of Sonic Healthcare to dominate
diagnostic services in Australia and then
expand into New Zealand, Asia, Europe, and
America. It supplied dagnostic laboratory
and radiology services. It examines its
relationship with general practice
corporations and its difficulties in this.
The grouping above ultimately became a
whlly owned subsidiary of Sonic
Healthcare. The page looks for any sign of
dysfunctional behaviour and questions some
of Sonic's practices.
(Written
6/02 Last entry 1/06)
SONIC
HEALTHCARE :
Chronological
Account and
References
This page gives a year by year
outline of Sonic's progress and a list
of references.
(Written
6/02 Last entry 1/06)
Mayne
Diagnostics and General
Practice
This web page briefly tells the story
of Mayne's radiology, diagnostic
laboratory and general practice businesses
which generally underperformed
competitors. (Written
11/05 Last entry 1/06)
It
is one of many pages exploring
Mayne
Health's
record
GRIBBLES
GROUP
This web page examines the history of
the Gribbles Group, primarily a second
tier provider of laboratory services from
1936. It traces its growth during the late
1980s, the 1990s and early 2000s, it
records its global expansion, and finally
examines its collapse and sale in 2004.
During that period the company and its
controversial CEO aggressively fought a
continuous running legal battle with the
tax office, with the health regulators who
accused it of illegal and unethical
practices, and with financiers and those
who were owed money. There were complex
corporate arrangements, and financial
dealings which skated the edges of legal
conduct and required regulatory
investigation or ended in court.
(Written
1/06 Last entry)
Healthscope's
purchase of Gribbles
Group
This links to an account of Healthscope's
purchase of the almost bankrupt Gribbles
Pathology on the much longer
Healthscope
Story
page. (Written
5/05 Last entry 1/06)
Tom
Wenkart and Macquarie
Health
Tom Wenkart, a colleague of Goldridge
and the infamous Edelsten founded
Macquarie Health, a complex set of
companies built around a large pathology
business but including hospitals, medical
clinics and a medical technology business.
Like the other two doctors he indulged in
controversial practices, ran into trouble
with the tax office and became bankrupt.
(Written
11/05 Last entry)
Medical
Imaging Australia
(MIA)
This page documents the formation of
MIA in 2000 by a group of radiologists,
its rapid growth, its global expansion,
its financal difficulties and it takeover
by DCA's I-Med in 2004. Primarily an
imaging enterprise it dabbled in pathology
and got burnt.
(Written
1/06 Last entry)
DCA
Group :
Nursing
Homes and
Radiology
This web page explore the dramatic
growth of DCA Group in the ownership of
Nursing Homes and of Radiology practices.
The web page reviews DCA's growth and
policies in the light of the US experience
of similar growth companies with similar
policies in health and aged care. A 2006
profit downgrade and adverse findings at a
nursing home were an indication that some
problems were developing. In September
2006 DCA sold itself to a group of
Citigroup Venture Capitalists.
(Written
1/06 Last entry Sep 2006)
General
Practice groups
A number of pathology companies owned or
formed relationships with general practice
companies (see above). In addition to this
many general practice corporations also
owned some pathology and radiology
practices to capitalise on the referral of
their GPs. By far the most successful of
these is Primary Health which has
4% of the pathology marketplace. Others
with pathology or radiology holdings were
Endeavour Healthcare,
Revesco/MCS/Gribbles and a new
unlisted group NMIG. Information
and links are in the General Practice
section below.
|
|
The
Corporatisation of General
Practice
This page examines the vulnerability
of General Practitioners and describes the
processes driving the corporatisation of
General Practice. It comments on each
participant in this marketplace and then
links to pages examining them.
It documents the
decline of corporate involvement between
2002 and 2004 then its resurgence with a
new aggressiveness in 2007 and
2008.
|
The
Wild West colonises General
Practice
At least
five of the large companies involved in GP
corporatisations were products of West
Australian entrepreneurs. This is a state
which at the time was not renowned for
integrity in corporate affairs or
government.
- Foundation
Healthcare
Foundation, once called Formulab is a
company with a history of deception. It
switched to health care and floated in
2000. It fanned the illusion of
profitable returns from corporatised
General Practice buying up practices at
inflated rates. The page tracks its
course through this bubble to its
merger with LifeCare which was in even
more trouble. The new company called
Independent Practitioner Network (IPN)
did not prosper. After a hostile
takeover attempt Sonic protected its
referral base by buying all of
Foundation.
- Lifecare
LifeCare was Boyd's venture into
various mainstream and not so
mainstream "therapies", into sports
medicine and into dentistry. It failed
to prosper and in June 2002 it merged
with Foundation Healthcare.
- Sonic
Healthcare (and its partners
Foundation Healthcare and
LifeCare)
This large pathology and radiology
company had a close relationship with
Foundation Healthcare aand LifeCare
which merged to form Independent
Practitioner Network (IPN). Sonic
ultimately purchased all of IPN. Many
facets of this relationship, the
battles and the final takeover are
described and analysed on the Sonic web
page.
- Endeavour
Healthcare
This is another company which
emerged with a lot of fanfare and
powerful backers like Kerry Packer.
When the promise was not met there were
corporate resignations. It was finally
sold to IPN and Sonic
Healthcare.
- National
Medical and Imaging Group
(NMIG)
This is a group formed by some of those
from Endeavour Healthcare after is was
sold. They rcently bought the MCS
business (see below) from Gribbles.
They are not a listed company and I
have no more information.
- The
Revesco Story - From Kiwi
Gold to Revesco to
Medical Care Services (MCS) to
Gribbles
This was another company which
moved from unsuccessful gold mining to
health in Western Australia. Among the
first into General Practice it soon
diverted to a major focus on pathology.
Gribbles, the pathology company listed
on the sharemarket by doing a reverse
takeover. This did not prosper and was
eventually sold to the new group
NIMG
- Primary
Health Care : 1st Page 1996 to
2004
This is a GP company established in
the Eastern states in the early 1990s.
It corporatised in 1998 and expanded.
It is the only GP company which had
prospered and it has done so
spectacularly. In its early years it
raised the ire of the HIC and of some
doctors.
In 2004 Primary objected to the
university about my web page written in
June 2002, presumably because of my
choice of words. The university removed
the web page written in 2002 from their
server without ever offering me an
explanation. I explain on this web page
why in 2002 I felt so strongly about
Primary's business practices and the
press reports describing them. I
rewrote the web page wording it more
appropriately. Primary is still growing
and is very profitable.
- Primary
Healthcare : 2nd Page 2005 to 2009 :
Update June
2009
This
web page reassesses Primary Health Care
5 years after I last did so. It has
continued to be very successful. It has
grown rapidly by acquisitions in health
technology and a risky takeover of a
larger competitor as well as by
expansion of its existing businesses.
On the one hand its policy is congruent
with government policies and it is
widely admired in the marketplace. On
the other it continues to have an
uneasy relationship with establishment
doctors and some competitors.
The page suggests that underlying the
marketplace battles and victories there
is a deeper and more profound cultural
conflict. This web page examines
Primary's success on the marketplace
battlefield within a cultural context.
This context is underpinned by what we
know about the behaviour in other
corporate endeavours where similar
cultural conflicts lay behind growth
strategies and takeover battles. The
possible consequences for community and
care, as revealed by these previous
experiences in the USA and Australia
fuel my anxiety. There is however no
evidence at this time that Primary has
done anything illegal or wrong. It is
revealed as a superb strategist and a
logical proponent of the culture it
embraces. Others including myself are
critical of this culture in health
care.
- Superclinics
and
Supercare
Two very controversial doctors,
Geoffrey Edelsten and Ian McGoldrick,
were among the first into
entrepreneural medicine in the late
1970s and the 1980s. Among their many
projects was the early intoduction of
entreprenueral market practices into
general practice. This link is to the
section of the larger McGoldrick
web
page
exaimining this.
As
indicated a number of the large
diversified groups did have general
practice subsidiaries. These were Sonic
Healthcare, Mayne Health (now
Symbion Health), Macquarie
Health and Gribbles Group.
Information and links are given in the
diagnostic services section
above.
|
|
Markets
and the Aging
Bonanza
This web
page examines the way in which the aging
population, and particularly the potential
of the baby boomers, to be exploited for
profit has influenced the marketplace and
government.
It looks at the
way the provision of care of the aged has
been shifted by government policy from a
community humanitarian service to an
aggressive and competitive
marketplace.
It documents the
intrusion of private for profit entities,
of market listed companies and of the
banks and financial institutions into the
sector. It summarises the impact of these
changes on retirement villages, nursing
homes, home care, and the various sections
of health care.
This is the
central page in the tree of pages
addressing aged care in Australia. There
are links to pages which explore these
issues and the sectors of the aged care
industry in greater and greater depth.
(Written
9/06 Last entry)
Markets
and the Aging Bonanza
Markets
and the Aging Bonanza
Markets
and the Aging Bonanza
Markets
and the Aging Bonanza
Markets
and the Aging Bonanza
Markets
and the Aging Bonanza
|
From
Humanitarian Service to Corporate
Profitability : The story of the
corporatisation of health and aged care in
Australia
This page explores the changes to
welfare funding and institutions as the
welfare sector changed from a cooperative
humanitarian service to a competitive
corporate marketplace. It examines the
impact of this change on the professions
and the community oganisations that
already provided services in this sector.
It expresses personal opinions and a point
of view. (Written
9/06 Last entry 10/07)
The
Not-for Profit
Dilemma
The difficulties experienced by
humanitarian institutions, the
personal dilemmas, and the process
of adaptation are discussed and then
illustrated by an article from The
Age. (Written
3/06 Last entry 10/07)
BUPA
: The British United Provident
Association
A case study of a "successful"
not for profit - For more see below
under unlisted companies
The
Aging Bonanza : Business View in
Australia
This
page examines the way in which the
business community has targeted the aging
population as a source of profit. The
enthusiasm for the upcoming retirement of
the baby boomers is described. The breadth
of services targeted is documented.
Payment systems, values, regulatory
failure and probity are discussed.
(Written
9/06 Last entry)
BPRIVATE
EQUITY : Banks and Trusts and Financiers
invest in Australian Aged
Care
Behind the market enthusiasm lie the
bankers and financiers who accumulate the
funds and invest or lend money to business
projects. This enthusiasm is reflected in
the surging purchases of aged care
operations by the Private Equity arms of
these financial institutions. This page
examines how they have set up investment
vehicles for aged care. These protect
their investments from risk by forming
property trusts and then leasing the
facilities to closely associated capital
light operators. National and
international investments are described.
Also cashing in on the expanding sector
are the construction companies.
(Written
9/06 Last entry 9/08)
Macquarie
Bank and Retirement Care Australia
which
became Regis in
2007
Australia's Macquarie bank has
become an aggressive player in the
health care marketplace. Its private
equity subsidiary Macquarie Capital
Alliance Group Ltd (MCAG) has targeted
aged care in Australia, New Zealand and
Canada buying up retirement villages
and nursing home companies. Its vehicle
in Australia has been Retirement Care
Australia (RCA). A review of available
reports provides interesting pointers
to the way private equity thinks and
operates. Why it is dysfunctional for
the system and for care is readily
apparent. Macquarie suffered in the
economic downturn of 2007-8. It
responded by trying to sell some
facilities, merging with another large
group, spreading the risk through a new
investment vehicle and delisting MCAG
from the share market.
(Written
9/08 Last entry)
MFS
(now renamed Octaviar) and Domain Aged
Care
MFS (now renamed Octaviar) is a private
equity group that has had a major
interest in aged care where it did not
do well. It has partnered with a number
of other groups in owning retirement
villages. A
business dispute resulted in the
callous attampt to have nearly 400
elderly pensioner residents evicted
from their homes.
Its
nursing home vehicle has been Domain
Aged Care. It got badly caught in the
economic downturn in 2008 and sold
Domain to AMP's Principal Health Care.
An examination of the staffing
policies, track record for care, and
statements made by Domain as well as
the attitudes of Principal Healthcare
give a useful insight into the way
private equity thinks and
operates.(Written
9/08 Last entry)
Retirement
Villages
This page traces the history
of retirement villages as the
focus shifts away from serving
the needy to meeting the luxuries
demanded by the wealthy. Services
provided by the community are
being replaced by commercial
packages from the marketplace.
Links are provided to pages
describing the companies
involved. (Written
9/06 Last entry)
Retirement
Villages
|
Aevum
: From Friendly Society to Share
Market
The 36 year old Hibernian
Friendly Society demutualised and
then listed on the share market.
It operates retirement villages
and nursing homes and is
expanding
rapidly.
(Written
9/06 Last entry)
Forrester
Kurts Properties (FKP) and
Australian Retirement
Homes
A Queensland construction
company that moved into
retirement villages. It expanded
in Australia and joined with
Macquarie Bank to expand into New
Zealand.
(Written
9/06 Last entry)
Community
Life
Another company which
believed it could make money by
offering basic services to the
poorer section of the community.
(Written
9/06 Last entry 10/07)
Craigcare
An established Western
Australian retirement company
recently acquired by more
commercial interests and
expanding into nursing homes.
This expansion was accompanied by
multiple accreditation failures
in nursing homes in 2006.
(Written
9/06 Last entry Dec
2006)
Gandel
Retirement Enterprises
This is another construction
company which owns and operates
nursing homes. It too had adverse
publicity about the contracts it
entered into with residents.
(Written
9/06 Last entry)
Milstern
Health
Care
(see under nursing homes
below)
A nursing home company which
also operated retirement
villages
Mirvac
-
Fini
A West Australian family
construction business which moved
into retirement villages. It has
recently been acquired by Mirvac
a large construction company in
eastern states. There was an
outcry about the contracts
residents in retirement homes had
signed.
(Written
9/06 Last entry)
Moran
Health
Care
(see under nursing homes
below)
A nursing home company which
also owned some retirement
villages
Primelife
One of the largest retirement
groups in Australia this company
was established by a
controversial past bankrupt who,
litigated aggressively, entered
into illegal agreements,
consorted with and paid criminals
for protection, and tapped the
telephones of staff.
(Written
9/06 Last entry)
Retirement
By
Design
Owned by DCA whose primary
businesses are nursing homes and
radiology.
(Written
9/06 Last entry)
Retirement
Services
Australia
This is another construction
company with an interest in
retirement villages and the
luxury market. It was acquired by
Macquarie Bank.
(Written
9/06 Last entry)
St
Ives
A West Australian private
company which has targeted the
wealthy and pioneered the
building of a retirement village
on a university campus.
(Written
9/06 Last entry)
Tricare
: Nursing Homes and Retirement
Villages
This is a Queensland nursing
home and retirement village
operator which has developed
relationships with banks in order
to expand rapidly. There have
been two disturbing but unproven
allegations about its services.
(Written
9/06 Last entry 1/07)
Village
Life
A company which thought it
could make money out of those who
lived on government pensions.
This was more idealistic hope
than practical common sense. It
did not work.
(Written
9/06 Last entry 9/08)
See
also part owner MFS
page
(under nursing homes) for the
2007 eviction scandal in Village
Life villages
Zig
Inge
This is another operator of
luxury retirement villages. It
has linked with Macquarie bank to
expand its operations.
(Written
9/06 Last entry)
|
NURSING
HOMES INTRODUCTORY
PAGE
This page summarises the
history of nursing home
corporatisation in Australia and
compares it with what happened in
the USA. It gives an overview of
the story of nursing home care in
Australia as well as the role of
government and the accreditation
and complaints mechanism. It
looks at the predicament of
nurses, of residents and
relatives, as well as the
ambiguous position of not for
profit charitable organisations
in this marketplace. It examines
the different sorts of operators
in the for profit sector. Each
sector links to pages which
expand and amplify the sections
on this
page.
(Written
9/06 Last entry 7/10)
NURSING
HOMES
NURSING
HOMES
NURSING
HOMES
NURSING
HOMES
NURSING
HOMES
NURSING
HOMES
|
Government
and Nursing Homes :
Australia
It is the Australian
government which has turned aged
care from a caring professional
activity into a profit focussed
and competition driven market in
which the culture of care in
nursing homes is replaced by one
of apathy and disinterest. The
story of aged care in Australia
is best examined by following
government policy and practice
over the years. This web page
gives an overview of what has
happened. It links to web pages
which explore successive periods
and the behaviour of the aged
care ministers responsible.
(Written
9/06 Last entry)
From
socialist Labour to free
market Coalition : Doug Moran
- Judi Moylan - Warwick Smith
: 1985 to
1998
The web pages describes
the situation that existed
under a federal labour
government and the radical
changes made after the
election of the market
focussed coalition government
in 1996. It documents the
community's rejection of what
they saw as the most offensive
parts of those policies. The
government adopted a watered
down system but did not
abandon its policies and
ultimate objectives.
(Written
9/06 Last entry)
Correspondence
about Aged Care
1998/9
This web page contains a
selection of my correspondence
with federal and state
authorities at the beginning
of 1999 before the major
problems in aged care in
Australia were recognised. The
thrust of the material was an
objection to the US company
Sun Healthcare entering the
Australian aged care
marketplace. Sun Healthcare
was soon in trouble and never
did so.
The
interest in this material is
in looking back to see the
comments about the system made
by the minister's departments
and my concerns about the
practices and policies being
introduced into Australia 7
years ago. The failures were
predictable, they were
predicted and authorities were
warned. After multiple
scandals they are still in
denial.
(Written
9/06 Last entry
3/07)
Bronwyn
Bishop and the Riverside
Scandal : 1998 to
2001
This web page documents
the first series of scandals
which exposed the barrenness
of the governments policies
and the ineptitude of its
ministers. Following the
crisis created by the
Riverside scandal there were
ongoing instances where
appalling conditions in
nursing homes were exposed.
None of this had any impact on
government policy and they did
little more than tinker with
the system. The stage was set
for continued deterioration
and the truly confronting
scandal in 2006.
(Written
9/06 Last entry)
The
Julie Bishop years : 2002 to
2005
This web page documents
the steady deterioration of
the system during these years
as the government continued
its drive to corporatise and
marketwise the system. There
was less publicity but a
senate inquiry in 2005 clearly
identified the many failures
in the system. It had little
impact and was ignored until a
truly damaging scandal broke
in 2006.
(Written
9/06 Last entry)
The
Rape and Sexual Abuse Scandal
: Santo Santoro :
2006
By 2006 morale in nursing
homes had reached an all time
low. Neglect, elder abuse and
apathetic staff were
prevalent. When government
claimed that the rape of
multiple patients in a nursing
home was an isolated event in
a well functioning system the
floodgates opened. The
government was forced not only
to act but to act more
effectively. The measures set
in place are likely to
restrain and contain the worst
excesses. They do not address
the key issues in policy
responsible for what happened.
Government used its response
as an opportunity to promote
its ideology in the nursing
home context. This page charts
these events.
(Written
9/06 Last entry)
The
Accreditation and Complaint
Processes : Australian Nursing
Homes
The industry friendly
accreditation and complaint
handling agencies set up by the
government in 1997 have failed.
This is illustrated by the
ongoing problems in care, the
recurrent scandals and the
increasing seriousness of the
problems encountered. This page
examines these processes, the
reasons why they failed and why
the measures to make them
effective have not worked and are
unlikely to work in the future.
(Written
9/06 Last entry)
Nurses
in the aged care
system
This web page examines the
importance of staffing levels,
staffing skills and staff morale,
and their interdependency. It
explores the impact of funding
restrictions, profit priorities
and market myths on altruism and
staff motivation with an ultimate
impact on the care given. It
looks at the role of the nursing
unions and at the importance of
whistle blowing by nurses.
(Written
9/06 Last entry)
People
farming
This satirical piece,
written by a nurse working
with the elderly in nursing
homes satirises the way
residents are cared for by
describing it as a lucrative
battery farming enterprise.
(Written
9/06 Last entry)
Nursing
home residents and their
relatives
This page examines the plight
of nursing home residents and
their families in Australia. It
gives a few examples of their
difficulties. It does not offer
specific help to those with
problems. For more information
and links to resources you should
try the Aged Care Crisis web
page. They have had direct
experience of the system.
(Written
9/06 Last entry)
FOR
PROFIT NURSING HOME
COMPANIES
In Australia commercial
groups comprise only about 25% of
the aged care marketplace. There
is one large market listed
company, a few larger private
companies and multiple small
commercial operators. The banks
own large numbers of nursing
homes. With government driving
the sector in this direction
marketplace thinking has come to
dominate the ethos and manner of
operation of the entire sector.
This web page summarises this
situation, looks at patterns of
dysfunction, and links to pages
describing a selection of these
companies.
(Written
9/06 Last entry3/07)
Listed
Companies
Milstern
Health Care : Yagoona, Ritz
and other Nursing
Homes,
Founded by a very
successful self made
businesswoman, this company
was listed for a few years.
Allegations were madeabout its
nursing homes and it was
claimed that staff levels were
cut to boost profits. Claims
were made that it was treated
leniently and there were
allegations about the
relationship with the aged
care minister and political
donations. All of these were
denied by the minister and the
owner. Retirement Villages and
other businesses run by the
owners are also examined.
(Written
9/06 Last entry 7/10)
DCA
Group
:
Nursing
Homes and
Radiology
This web page explore the
dramatic growth of DCA Group
in the ownership of Nursing
Homes and of Radiology
practices. The web page
reviews DCA's growth and
policies in the light of the
US experience of similar
growth companies with similar
policies in health and aged
care. A 2006 profit downgrade
and adverse findings at a
nursing home were an
indication that some problems
were developing. In September
2006 DCA sold itself to a
group of Citigroup Venture
Capitalists.
(Written
1/06 Last entry
3/07)
Amity
at Caulfield :
Accreditation Agency
Assessment
An adverse
accreditation agency review
of one of DCA's nursing
home is worrying if it is a
predictor of things to
come. The company rushed to
fix the problems which the
press did not report.
(Written
9/06 Last entry)
Affinity
Health Hospital
Licenses
This web page documents
the difficulties Affinity
Health had in securing
licences for its hospitals
in NSW and the implications
of this for the takeover of
the nursing home operator
DCA in 2006.
(Written
9/06 Last entry
3/07)
Citigroup
Buys
DCA
This web page examines
the 2006/7 purchase of DCA
by CVC Asia Pacific and CVC
Capital Partners, both part
of Citigroup. It examines
objections lodged and their
failure in the light of
what is known about
Citigroup and its previous
investment in Australian
health care as well as
earlier correspondence with
the federal department of
aging. Two linked pages
contain selected
correspondence.
(Written
3/07 Last entry
10/07)
Ramsay
Health
Care
(see hospitals)
A hospital company which
entered aged care then
departed
Aevum
(see retirement
homes)
A listed company running
retirement villages and
nursing homes
BPRIVATE
EQUITY : Banks and Trusts and
Financiers invest in
Australian Aged
Care
A new development in the
drive for profits. See details
further above.
Unlisted
Companies
THE
BIGGER PRIVATE
COMPANIES
BUPA
: The British United Provident
Association
This web page examines the
culture and practices of
United Kingdom based not for
profit BUPA. It focuses on the
dilemma which BUPA faces
operating very successfully in
a marketplace context. It
looks at the extent to which
it has betrayed its mission in
order to achieve marketplace
goals and the implication this
has for its suitability as a
provider of nursing home care
in
Australia.(Written
10/07 Last entry)
Will
BUPA seek approved provider
status
The British not for
profit group BUPA has
purchased Australia and New
Zealand's largest for
profit nursing home
company. This web page
tracks the efforts made to
show that promises made by
ministers have not been met
and that BUPA did not have
to front up and seek
approved provider status.
Any criminal or dangerously
aggressive commercially
focused entity can still
buy nursing homes without
scrutiny.
The page documents the new
labor governments refusal
to meet their predecessors
undertakings. It
records their continued
reliance on regulatory
vigour and oversight to
control the consequences.
These measures have already
been unsuccessful.
Suggestions are made as to
how the community might do
something about the
problem. (Written
10/07 Last entry
11/08)
Healthscope
: The Battle with
BUPA
see under
Healthscope
Moran
Health Care : The Nursing Home
Empire
Australia's largest
nursing home company was
founded by Doug Moran in the
1950's. Over the years Moran
exerted a profound influence
on government policy. Nursing
homes were the core of his
empire. The company ran into
trouble because of a failed
international investment and
bitter family feuds. Moran is
now 81 and the family is
fragmented. What is the
company's future?.
(Written
9/06 Last entry
10/07)
The
Moran Family
Story
This page examines Doug
Moran's character, his
philanthropy, his political
influence and the tragic
public family feud which
engulfed the Morans.
(Written
9/06 Last entry Oct
2007)
Moran
Health Care
Hospitals
-- see hospital section
above
Tricare
: Nursing Homes and Retirement
Villages
see above under retirement
villages
Regis
Group Pty
Ltd
One of the largest of the
private companies. It tried to
sell itself to DCA but the
deal fell through. In 2008 it
merged with Macquarie's
Retirement Care Australia
converting from private
ownership to private equity
ownership.
(Written
9/06 Last entry
9/08)
Macquarie
Bank and Retirement Care
Australia
which
became Regis in
2007
See details under private
equity section
earlier
MFS
(now renamed Octaviar) and
Domain Aged
Care
See details under private
equity section
earlier
Blackstone's
attempted takeover of Japara Aged
Car : The
Approved Provider Process :: This
web page examines the attempted
takeover in 2011 of Japara, an Australian
aged care provider, by Blackstone
a large US private equity group
about which there was some concern.
The deficiencies in the approved
provider process were confirmed
and it was discovered that the entire
process was "in confidence" so
that no one would know about the
application and supply information
SMALLER
PRIVATE COMPANIES IN
VICTORIA
Illawong
Retirement Equity Pty Ltd :
The Riverside
Scandal
The government's nursing
home policies imploded with
the Riverside nursing home
scandal. Examination of this
scandal gives a fascinating
insight into the market, into
Australian regulations, into
government processes and into
the way ideology, social
processes and the people
involved in them inexorably
progressed what happened into
a tragedy for all parties.
(Written
9/06 Last entry)
Saitta
Pty Ltd and Neviskia Pty Ltd :
Kenilworth and Belvedere Park
Nursing
Homes
These two related
companies operated by someone
with a criminal history owned
two homes which were a
continuing problem. It gives a
fascinating insight into the
type of people who enter the
sector and the failures of the
regulatory system.
(Written
9/06 Last entry Oct
2007)
CIS
Holdings : Templestowe Private
Nursing
Home
This is another instance
where the department tolerated
appalling standards in a
Victorian nursing home over
many months before it forced
the company to sell to someone
else.
(Written
9/06 Last entry)
Eildon
Nursing
Home
This small group had its
home rated as the worst of the
worst when it failed 39 of the
44 accreditation standards
(Written
9/06 Last entry)
McKenzie
Aged Care Group : Armitage
Manor and
others
A Victorian family company
which operated a nursing home
where understaffing and
appalling standards of care
were found. This did not
prevent it from being granted
more nursing home licenses.
(Written
9/06 Last entry)
Supported
Residential Services (SRS) and
Marnotta Pty Ltd : Tangerine
Lodge, Ripplebrook Village and
Rosedale
Manor
Two related Victorian
companies. There were serious
problems in three of their
four nursing homes. Both
companies entered bankruptcy.
(Written
9/06 Last entry)
Enhance
Aged Care : Chelsea Private
Nursing
Home
This is another company
with faceless owners which had
major problems in a nursing
home and hostel on the same
campus. It sold to DCA.
(Written
9/06 Last entry)
Peel
Street Management Services Pty
Ltd : Mews Aged Care
Facility
A leading member of the
aged care community was a
director of a company which
was sanctioned in 2004. The
release of details about this
were delayed.
(Written
9/06 Last entry)
Muskjest
Pty Ltd : Emerald Glades
Nursing
Home
The situation in the home
owned by this group was so bad
that staff complained. It was
assessed and sanctioned.
(Written
9/06 Last entry)
Easyplan,
Lasalto Pty Ltd and Lestlin
Nominees Pty
Ltd
Three small Victorian
companies that have had
trouble with their nursing
homes.
(Written
9/06 Last entry)
Ellis
Residential Care and Ellfam
Nominees : Paynesville Aged
Care Facility and
George Vowell
Centre
These two related
Victorian family companies
have sold some homes to Ramsay
and would have sold more.
There have been disputes with
staff and problems in two
homes. One became a national
scandal in 2006 when four 90
year olds were sexually abused
and raped.
(Written
9/06 Last entry)
Dampier
Bay Pty Ltd : St Lawrence
Nursing
Home
This web page describes a
company which was allowed into
aged care even though the new
owner of a nursing home had no
experience and no training. It
failed accreditation and went
bankrupt. Elderly patients
whose home this had been for
up to 20 years were ejected
and had to relocate,
(Written
9/06 Last entry)
Hastings
Regional Nursing Home Pty
Ltd
This web page looks at the
different understandings of
care, the economic pressures,
the problems for nurses and
whistleblowers, as well as the
impact of nursing home size on
the service in the home. It is
illustrated by looking at this
small Victorian family owned
nursing home which closed in
2006.
(Written
9/06 Last entry)
Navatha
Nominees and Locksley Manor
Pty Ltd : Blackburn Aged Care
Facility
A functioning community of
carers and elderly, one 111
years old, was broken up and
scattered when a bitter
dispute between the owner and
the manager of this nursing
home ended with the home being
closed. Government saw this as
a commercial dispute, which
gave it precedence over
community. It refused to
intervene to protect the
residents and staff.
(Written
9/06 Last entry)
SMALLER
PRIVATE COMPANIES IN OTHER
STATES
Aegis
Aged Care Group (see
for
profit nursing home company
page)
A large West Australian
company with a good track
record.
(Written
9/06 Last entry)
Craigcare
(see also retirement
villages above)
An established Western
Australian retirement company
recently acquired by more
commercial interests and
expanding into nursing homes.
This expansion was accompanied
by multiple accreditation
failures in nursing homes in
2006.
(Written
9/06 Last entry Dec
2006)
Kennedy
Health Care Group (see
for
profit nursing home company
page)
An established NSW family
owned company with a good
track record.
Thompson
Health Care(see
for
profit nursing home company
page)
Another moderate sized family
business in NSW where there
were no adverse
reports
Alchera
Park Nursing
Home
A Queensland nursing home
which had serious problems and
where regulators were tardy.
(Written
9/06 Last entry)
Trans
Dominion Holdings and Farad
Nominees : Sir Thomas Mitchell
Nursing
Home
These were the owners of a
nursing home in NSW which had
problems in 2001 and again in
2002
(Written
9/06 Last entry)
Gonzales
Nominees Pty Ltd : Albury and
District Private Nursing
Home
This company owned a home
in Albany which was a chronic
offender. It is another
example where managers from
the accreditation agency
overturned assessors advice
that accreditation be
withdrawn.
(Written
9/06 Last entry)
Bresant
Pty Ltd : St Catherine's
Nursing
Home
The owner of a South
Australian nursing home was a
local doctor. The home had
major problems in 2004 and
2005
(Written
9/06 Last entry Oct
2007)
Tolega
Pty Ltd and Karoona Pty Ltd :
Barton Vale and St David's
Nursing
Homes
A South Australian nursing
home was purchased by someone
who had been a director of a
previously sanctioned home. It
was soon in serious trouble.
The
accreditation agency overruled
their own staff's advice that
the home be closed. There was
concern that previous audits
may have missed serious
problems.
(Written
9/06 Last entry)
Peninsula
Care Pty
Ltd
This web page describes
the conviction of two hospital
owners for Medicare fraud in
their nursing homes. In spite
of this they continued to own
the company and the agency
simply allowed their children
to be directors.
(Written
9/06 Last entry)
From
humanitarianism to markets : Not
for profit nursing
homes
This web page looks at the
not for profit sector in nursing
homes. It comments on the shift
from a caring humanitarian system
towards an impersonal service
focused on economics. It gives
some examples of failures in care
by not for profit entities.
(Written
9/06 Last entry Oct
2007)
AGED RELATED INQUIRIES 1997-2010
OH
NO ! - NOT ANOTHER AGED CARE INQUIRY
: BUT
THIS TIME IT MIGHT REALLY MATTER
This
page examines some of the many
inquiries and reviews relevant to
the aged
care sector conducted during the
14 years between 1997 and 2010.
That there is still widespread concern
about the operation of the sector
is clear. In 2010 the Procutivity
Commission has been asked to come
up with a blueprint for reform.
They
have asked for oour views and we
have until 30 July 2010 to tell them.
Updated with links
to submissions, links to the Final Report
and a Critique of that
Report (Written 6/10 Last entry 10/11)
- REPORT
ON FUNDING OF AGED CARE INSTITUTIONS
: Senate
Community Affairs Committee JUNE
1997
This
was the labor controlled senate's
critical review of the 1997 aged
care bill which turned aged care
into a competitive market and
opened it tomultinationals. Many
of their
fears are now seen to have been
well founded (Written
6/10)
- Senate
Inquiry Into Nursing : Senate
Community Affairs References Committee June
2002
The
shortage of nurses has been a major
problem since 1997. This was the
broadest of the multipl reviews into this
problem. (Written
6/10)
- Managing
Residential Aged Care Accreditation :
The Aged Care Standards and Accreditation
Agency Ltd
The Auditor-General Audit Report No.42 2002-03 Performance Audit. This
was the first and I think the
only audit of the aged care accreditation
agency. Although the criticisms
were mild it must be seen in the context
of the agency's undertakings
and its subsequent performance. (Written
6/10)
- REVIEW
OF PRICING ARRANGEMENTS IN RESIDENTIAL
AGED CARE : The
Productivity Commission WP Hogan 2004
This is the massive review of the economic
performance of the aged care sector performed by the Productivity Commission
in 2004. It had a profound impact on policy. How valid was it and was the data
it used sound? (Written
6/10)
- FUTURE
AGEING : Inquiry
into long-term strategies to address
the ageing
of the Australian population over the next
40 years. March
2005 Canberra. This
was a widely focused generally positive
government
initiated inquiry into aged care. It does
not make many criticisms and is generally
positive. Some useful points are made. (Written
6/10)
- Quality
and equity in aged care : The
senate Community Affairs References
Committee
June 2005
This
was a report from the opposition
controlled senate. Critics of the
system were given an opportunity
to tell the parliament what was
really happening out there. The
accreditation and complaints systems
were heavily criticised. (Written
6/10)
- Aged
Care Amendment (Security and Protection)
Bill 2007 [Provisions] : The
Senate Standing Committee on Community
Affairs March
2007
This
was a review of the bill to increase
oversight of the aged care sector
following the rape scandal in 2006 (Written
6/10)
- Private
equity investment in Australia : The
Senate Standing Committee on Economics
August 2007
Private
equity investment was sweeping across
the world. Health and aged care were
targets. Submissions warning of the consequences
were ignored (Written
6/10)
- Evaluation
of the impact of accreditation October
2007
This
was not an evaluation of the accreditation
agency but an inquiry into whether
accreditation actually improves the
quality of care and quality of life.
It tells us a lot about the accreditation
process and what the agency does
not do (Written
6/10)
- Aged
Care Amendment (2008 Measures No.
2) Bill 2008 [Provisions] : The
Senate Standing Committee on Community
Affairs November
2008
This
was the senate review of the aged
care amendment bill 2008. I felt
it fell well short of what was required
and made a submission. I lodged a
test case afterwards (Written
6/10)
- Residential
and Community Aged Care in Australia : The
Senate Standing Committee on Finance
and Public Administration April
2009
This
report examining the costs of aged
care degerated into an argument between
providers who cried poor and claimed
there was a crisis in aged care on
the one hand, and the department who
claimed that funding was adequate.
What was revealed was a lack of data. (Written
6/10)
- Review
of the Aged Care Complaints Investigation
Scheme : Assoc
Prof Merrilyn Walton October 2009
This
2009 review was very critical of
complaint handling by the Department
of Health
and Ageing. It recommended that
complaints be handled by an independent
body. (Written
6/10)
- Review
of the residential aged care accreditation
process for
residential aged care homes : Department
of Health and Ageing (DOHA) Report
due end June 2010 (Written
6/10)
- Contribution
of the Not-for-Profit Sector : Productivity
Commission Research Report January
2010
This
is an extensive review of the
role played by not-for-profit
endeavours
in Australia and the difficulties
they face. The aged care sector
is dominated by not-for-profit
providers
but differs in that they must
compete with for-profit businesses.
This
makes it more difficult for them. (Written
6/10)
- Conclusion:
A time to change all this : What
the reviews reveal about the 1997-2010
era
This
page looks at the issues that
concern many of us in the light
of what has
happened in the past and what
is revealed in the reports of
some of
the many inquiries, audits and
commissioned research projects
since 1997. It
suggests that we make our views
known to the productivity commission
inquiry
so that they have no doubt about
our discomfort at what is happening. (Written
6/10)
- SUBMISSIONS
TO THE PRODUCTIVITY COMMISSION
: FINAL
REPORT AND CRITIQUE : An
outline of the submissions in which I was
involved
with links to them. A link to the
Final Report. Links to a critique
of the final report (pdf) as well
as a pdf document setting out the
basis for this critique. (Written
10/11)
|
Home
care in
Australia
This web page examines
developments in home care
globally, in the USA and in
Australia. It documents the
arrival of the largest global
home care corporation in the
world, the US based Home Instead
Senior Care in Australia. It
describes the criticisms of this
and attempts to force authorities
to confront them
(Written
9/06 Last entry)
|
Letter
to Foreign Investment Review
Board : 30 May
2006
The giant home care corporation
"Home Instead Senior Care" was
welcomed into Australia by our
politicians. I lodged an
objection with the Foreign
Investment and Review Board. I
sent copies to politicians.
(Written
9/06 Last entry)
Letter
from my local member of
parliament
(pdf file)
My loca; MP responded supporting
the entry of this company into
aged care.
(Written
9/06 Last entry)
Letter
to local Member of
Parliament 13 June,
2006
My response to a letter from my
local MP supporting Home Instead
Senior Care
(Written
9/06 Last entry)
Objection
to approved provider
status
:
Home
Instead Senior
Care
I lodged an objection to the
granting of approved provider
status for Home Instead Senior
Care on the basis that the
introduction of a large market
focused, franchising US
multinational into this
vulnerable sector was undesirable
(Written
9/06 Last entry)
|
Health
Care
The
Breadth of Health Care
Corporatisation
This web page contains a selection of
press extracts revealing the approach to
and the breadth of recent corporatisation
of health care in
Australia.
(Written
9/06 Last entry)
Australian
Hospital Companies
--
see major sections above
The
Privatisation of Australia's
Hospitals--
see major sections above
Corporatisation
of Diagnostic Services :: Pathology and
Radiology--
see major sections above
The
Corporatisation of General
Practice--
see major sections above
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|
CRITICISM
OF GRAEME SAMUEL'S SPEECH to the World Bank in
February 2000
When in spite of the revelations from the USA
Graham Samuel, chairman of the National Competition
Council (NCC), in a speech to the World Bank urged
the urgent adoption of a complex market model
essentially little different to the USA system I
was incredulous. I wrote a long criticism, some
sections of which appear on these web pages. Samuel
was made chairman of the NCC by the coalition
government and his views very probably are those of
this party's think tanks. They subsequently
appointed him chair of the ACCC, a body which
regulates every sector of Australlian life to
ensure that competitive market practices are
adopted. The government have never however had the
courage to publicly suggest such a system of health
care to Australians. Efforts to move in this
direction had been strongly resisted. The web
pages criticising Samuel's model are listed on the
Map
of the International Web
pages.
The
Queensland Hospital Scandals : Dr
Death
This web page gives a brief understanding of
the complex, very public and politically charged
scandal which engulfed the Queensland public
hospital system in 2005.
|
DISSENT
COMBATING
GLOBAL HEALTH CARE CORPORATIONS AND CORPORATISATION
IN AUSTRALIA
A number of pages
on this web site describe my efforts to keep global
megacorps out of Australian health care and to
challenge the concept of corporate health care in
Australia. These are best accessed from
the
Initial Map
where all the pages are described. Here I list only
the main pages.
Over a period of
years I flooded politicians, regulatory
authorities, citizens groups and medical
associations with documents and arguments. Many of
the letters and reviews I wrote and used to press
the issue make the arguments against corporate care
and I have included a number of these on the web
site. They were written for different people at
different times so there is overlap.
- PERSONAL
STORY
This page summarises my activities in
confronting issues and corporations. It links to
pages where more information can be found about
these companies and where efforts to expose
corporate medicine and confront those who
advocate it are described.
- Hansard
Statement Australian
Senate
A statement in the Australian Senate in 1995
describing my efforts to expel Tenet
Healthcare
from Australia and the defamation actions they
took against me.
A
DISSENTING VIEW OF HEALTH AND AGED CARE
CORPORATISATION : CONFRONTING SUN HEALTHCARE IN
AUSTRALIA
1997-2001
This page examines the ideological conflict in
health care. It describes the efforts I made,
during the years following Columbia/HCA's abrupt
departure in March 1997, to confront the conflicts
in health care and to force authorities to confront
Sun's conduct and contain it. The battle to
introduce managed care was in progress and I
believed that US managed care corporations would be
brought in. The inappropriateness of market
ideological solutions for health care was
repeatedly emphasised. A selection of the letters
and documents I wrote during this period can be
accessed from links on this page or from
the
Initial
Web Pages Map.
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|