The Special Tribunal has ruled that two personal protective equipment (PPE) contracts awarded by the Mpumalanga health department to Vitae Zoe to the combined value of R9.1m were unlawful and invalid.
These contracts were for the supply and delivery of 3,000 infrared thermometers in April 2020 and an additional 1,000 devices in May 2020. The tribunal set aside the contracts after an application made by the Special Investigating Unit (SIU).
The tribunal, in its order dated May 5, also directed Vita Zoe to submit audited financial statements for the 2020/2021 financial year to the SIU and the tribunal registrar within 30 days of the order to determine payments received by Vitae Zoe under the two contracts.
Vitae Zoe had to propose a repayment plan within 15 days of a formal demand by the SIU.
“The SIU has received Vitae Zoe’s financial statement and is determining the amount Vitae Zoe must repay,” SIU spokesperson Kaizer Kganyago said.
The tribunal also ordered the company to cover the legal costs of the application.
“This judgment marks a crucial step in addressing corruption and ensuring accountability in PPE procurement during the Covid-19 pandemic, as well as in recovering the losses the state has suffered,” he said.
President Cyril Ramaphosa directed the SIU, under Proclamation R23 of 2020, to investigate allegations of corruption, maladministration, malpractice and payments made by state institutions concerning PPE procurement and the conduct of state employees.
The SIU is also empowered to institute civil action to address any wrongdoing uncovered during investigations related to corruption, fraud or maladministration.
TimesLIVE
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