"Safes filled with cash" at hospital accused of making millions on heroin sales

Much of the Slotervaart Hospital's business was done "off the books", with nothing written down. The hospital is accused of making millions of euros in profits by producing and distributing heroin and concealing the revenues. A subsidiary of the Amsterdam hospital has been producing and distributing heroin for the Ministry of Public Health for years. The heroin is intended for drug addicts, who have it administered by aid workers. Up until 2013, the subsidiary made more than 30 percent profit on the product. Of the 3 million euros the subsidiary got as compensation from the Ministry every year, more than a million was profit. And this went straight to the hospital. In 2013 the rates of heroin were reduced by 22 percent, but even after that the subsidiary made 1 million euro in profit a year. These profits were never mentioned in the hospital's financial statements. This is revealed in a book about the hospital and its chairman titled De Kraak van het Slotervaartziekenhuis - end de avonturen van Aysel Erbudak, by journalists Bas Soetenhorst and Jeroen Wester, Het Parool reports. The book is being released on Friday. The Slotervaart hospital denies that the profits from the heroin production and distribution were glossed over, and stressed that the money was used to benefit research and healthcare. The hospital stated to the newspaper that "strict confidentiality rests" on the contract between the Ministry and the hospital subsidiary and the profits were not explicitly mentioned in the hospital's statements for that reason. According to the hospital. Aysel Erbudak and her business partner John Schram - a wealthy land developer - bought the Slotervaart hospital in 2006 and Erbudak became the chairman. According to the book, the two's modus operandi consists of short lines and as little as possible in writing. Erbudak does not draw a salary from the hospital, but lives on the hospital's credit card. She regularly takes money from the hospital's safes - which are "filled with cash" from, among other things, parking fees and cash from uninsured patients- and rarely writes receipts for cash taken. The tax authorities are also investigating undocumented loans made by the duo, one of 90 thousand euros and one of 30 thousand euros to a mayor in Turkey. Early in 2013 health insurer Achmea, the municipality of Amsterdam, the works cuncil and fellow directors demanded Erbudak's departure and she resigned. According to the newspaper, the mix of private and business turned out to be costly - Erbudak has to repay the hospital 4.2 million euros. She was declared bankrupt and the tax investigation service FIOD is investigating various transactions she did as chairman. She is also suspected of "a triad of criminal offenses".