The Special Tribunal has ruled that two personal protective equipment (PPE) contracts awarded by the Mpumalanga Department of Health to Vitae Zoe (Pty) Ltd, to the combined value of R9 120 000.00, were unlawful and invalid. These contracts were for the supply and delivery of 3,000 infrared non-contact digital body temperature devices, as well as an additional 1,000 devices. The Tribunal set aside the contracts following an application made by the Special Investigating Unit (SIU).
Furthermore, the Tribunal ordered it to implement financial accountability measures for Vitae Zoe, requiring it to submit audited financial statements for the 2020/2021 financial year to the SIU and the Tribunal Registrar. Additionally, Vitae Zoe (Pty) Ltd must propose a repayment plan within 15 days of a formal demand by the SIU; failing to do so, further legal action may be pursued. The SIU has received Vitae Zoe’s financial statement and is currently determining the amount Vitae Zoe must repay. 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.
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 in the High Court or a Special Tribunal to address any wrongdoing uncovered during investigations related to corruption, fraud, or maladministration. In line with the Special Investigating Units and Special Tribunals Act 74 of 1996, the SIU refers any evidence of criminal conduct it uncovers to the National Prosecuting Authority for further action.
Enquiries:
Kaizer Kganyago
Spokesperson: Special Investigating Unit
Cell: 082 306 8888
E-mail: KKganyago@siu.org.za
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