“Sahpra directed the DOD in November 2021 to return the drug to Cuba, failing which the batches would be confiscated and destroyed. The SANDF reported to Sahpra that the unregistered or unauthorised medication in question was returned to Cuba on January 20 2022,” she said.
Gcaleka said an own-initiative investigation was launched on February 17 2021 and a complaint on the matter received on February 19 from DA MP Sarel Jacobus Marais.
According to Marais, the department had procured a Cuban Covid-19 treatment, Interferon-Alpha-2B Heberon worth in excess of R200m. However, the national department of health (DoH) had allegedly banned the drug from being used to treat Covid-19.
Marais alleged the department had already paid R35m for 130,000 doses of the drug and was to pay an additional R182m for a consignment which had already been delivered.
The DOD could not use the drug because it did not make the necessary application to Sahpra before going into procurement, he said.
Gcaleka said having thoroughly analysed the complaint, her office decided to focus the investigation on whether the department failed to follow a proper procurement process and, if so, whether such conduct constituted improper conduct in terms of the constitution and maladministration under the Public Protector Act.
To remedy the maladministration and improper conduct, the president and minister for defence must take cognisance of the findings of maladministration and improper conduct mentioned in this report, in line with the authority vested in the president in terms of section 202(2) of the constitution and in his capacity as the commander in chief of the SANDF.
“The secretary of defence must take note of these findings, and ensure that as the accounting officer contemplated in terms of section 8 (a) and (e) of the Defence Act and in line with powers vested on the accounting officer in terms of section 38 of the PFMA issues a directive that any future procurement for DOD is aligned with the requirements of the constitution, and all applicable provisions of the PFMA, the relevant Treasury regulations and DOD’s SCM policies,” she said.
Gcaleka said the secretary of defence must also ensure strict compliance with the provisions of the prescripts and enforce adherence to efficiently and effectively manage all the DOD revenue, expenditure, assets and liabilities.
In addition, the secretary of defence must within 60 calendar days from the date of the report, initiate an investigation in terms of section 10 of the Defence Act and take appropriate action in terms of section 8(g) of the Defence Act against the DOD officials involved in the irregular procurement of the Interferon-Alpha-2B Heberon drug from Cuba.
“The chief of defence must take cognisance of the findings of maladministration and improper conduct mentioned in this report and further render the necessary assistance to the secretary of defence to ensure effective implementation and fulfilment of the duties of the secretary of defence contemplated in terms of section 9 of the Defence Act.
“The chief of the SANDF must also adhere to all the delegated lawful instructions received from the secretary of defence in terms of section 10 of the Defence Act relating to disciplinary action or departmental investigations on this matter,” she said
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Public protector finds department of defence's procurement of unregistered Cuban Covid-19 drug was 'improper'
Image: 123RF/LEIGH ANNEF
The office of the public protector has found the department of defence's procurement of an unregistered Covid-19 drug worth R35m from Cuba constituted improper conduct and maladministration.
“The conduct of the DOD in procuring the drug from Cuba constitutes improper conduct as envisaged in section 182(1) of the constitution and maladministration as envisaged in section 6(4) (a) (i) and (ii) of the Public Protector Act,” said acting public protector Kholeka Gcaleka,
Releasing the report on Friday after a probe by her office, Gcaleka said: “The DOD procured the drug from the Cuban government based on a bilateral agreement signed on January 10 2012 concerning defence relationships established between the SA and Cuban governments.
“In procuring the drug, the DOD senior officials confirmed that they did not comply with any SA legal prescripts regulating the public procurement of goods and services other than to rely on the bilateral agreement. However, the DOD contravened the bilateral agreement which they claimed to have relied on to procure the drug because article 1 thereof clearly states that the bilateral agreement is subject to each country’s domestic laws and financial constraints,” she said.
She said the drug procured was not registered to treat Covid-19 in SA and the DOD senior officials proceeded to bring it into the country on April 27 2020 before applying to the SA Health Products Regulatory Authority (Sahpra) for registration.
Defence minister demands action over R30m wasted on Cuban drug
“Sahpra directed the DOD in November 2021 to return the drug to Cuba, failing which the batches would be confiscated and destroyed. The SANDF reported to Sahpra that the unregistered or unauthorised medication in question was returned to Cuba on January 20 2022,” she said.
Gcaleka said an own-initiative investigation was launched on February 17 2021 and a complaint on the matter received on February 19 from DA MP Sarel Jacobus Marais.
According to Marais, the department had procured a Cuban Covid-19 treatment, Interferon-Alpha-2B Heberon worth in excess of R200m. However, the national department of health (DoH) had allegedly banned the drug from being used to treat Covid-19.
Marais alleged the department had already paid R35m for 130,000 doses of the drug and was to pay an additional R182m for a consignment which had already been delivered.
The DOD could not use the drug because it did not make the necessary application to Sahpra before going into procurement, he said.
Gcaleka said having thoroughly analysed the complaint, her office decided to focus the investigation on whether the department failed to follow a proper procurement process and, if so, whether such conduct constituted improper conduct in terms of the constitution and maladministration under the Public Protector Act.
To remedy the maladministration and improper conduct, the president and minister for defence must take cognisance of the findings of maladministration and improper conduct mentioned in this report, in line with the authority vested in the president in terms of section 202(2) of the constitution and in his capacity as the commander in chief of the SANDF.
“The secretary of defence must take note of these findings, and ensure that as the accounting officer contemplated in terms of section 8 (a) and (e) of the Defence Act and in line with powers vested on the accounting officer in terms of section 38 of the PFMA issues a directive that any future procurement for DOD is aligned with the requirements of the constitution, and all applicable provisions of the PFMA, the relevant Treasury regulations and DOD’s SCM policies,” she said.
Gcaleka said the secretary of defence must also ensure strict compliance with the provisions of the prescripts and enforce adherence to efficiently and effectively manage all the DOD revenue, expenditure, assets and liabilities.
In addition, the secretary of defence must within 60 calendar days from the date of the report, initiate an investigation in terms of section 10 of the Defence Act and take appropriate action in terms of section 8(g) of the Defence Act against the DOD officials involved in the irregular procurement of the Interferon-Alpha-2B Heberon drug from Cuba.
“The chief of defence must take cognisance of the findings of maladministration and improper conduct mentioned in this report and further render the necessary assistance to the secretary of defence to ensure effective implementation and fulfilment of the duties of the secretary of defence contemplated in terms of section 9 of the Defence Act.
“The chief of the SANDF must also adhere to all the delegated lawful instructions received from the secretary of defence in terms of section 10 of the Defence Act relating to disciplinary action or departmental investigations on this matter,” she said
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