In Netherlands high profit in 85 healthcare companies

At least 85 healthcare institutions achieved suspiciously high profits in 2018, which are many times higher than usual in the sector. This is evident from the annual report investigation of data journalism platform Pointer in collaboration with Reporter Radio and Follow The Money.

In June this year, the platform revealed similar findings for 2017. This study, which will be broadcast on NPO 2 tonight at 21.10, builds on this.

Fraudulent business operations
This concerns companies in health care, care for the disabled and home care. The 85 companies achieved profit percentages of 10 to 50 percent for two consecutive years, where 3 percent is common.

In some cases, that profit comes from fraudulent business operations. Companies declare undelivered care and the profit from the care sector is channeled through financial arrangements, such as dividend payments for executives, Pointer concludes.

The number of companies with questionable profits may be even higher. Some of the healthcare companies have not yet provided the annual statement.

These are absurd profit percentages.

Hugo de Jonge, Minister of Health
Healthcare companies may make a profit, but the Ministry of Health has previously referred to extreme profits as socially undesirable. In June, parliamentary questions were asked, the municipality of Maastricht reclaimed millions in health care subsidies and two insurers stopped making payments to a health care company from Rotterdam that would have deployed unqualified staff.

Minister Hugo de Jonge of Health, Welfare and Sport (VWS) calls the profits absurd. Profit is not bad, but these percentages are incorrect, he argues.

“The rates do not leave room at all for you to be able to deliver good care and retain so much,” he says. “If you see those kinds of signals, and certainly several years in a row, then there is probably something wrong. Money for care is meant for care and should only be spent on care. Care is serving and not earning.”