Special Tribunal dismisses pro secures application with costs in Covid-19 related contract matter
The Special Tribunal has dismissed the exception application raised by Pro Secure (Pty) Ltd regarding the supply of personal protective equipment (PPE) to the Limpopo Department of Health in response to the COVID-19 pandemic. The decision, handed down on 24 July 2024, rejected Pro Secure's exception with costs, including those for two counsels. This ruling supports the SIU's stanceon the irregular procurement of PPE by the Limpopo Department of Health during the pandemic.
The order follows an investigation by the Special Investigating Unit (SIU) into the affairs of the Limpopo Department of Health. Pro Secure raised several exceptions to the SIU's particulars of claim, challenging the SIU's legal standing (locus standi), the non-joinder of the relevant department, review jurisdiction, and issues related to the timing of the judicial review under the Promotion of Administrative Justice Act (PAJA).
The SIU’s investigation uncovered irregularities in the appointment of service providers such as Pro Secure (Pty) Ltd, Clinipro (Pty) Ltd, and Ndia Business Trading (Pty) Ltd for the supply and delivery of PPE, resulting in approximately R182 million in irregular and/or fruitless and wasteful expenditure by the Department.
The SIU instituted civil proceedings against former Limpopo Health Head of Department Dr. Thokozani Florence Mhlongo and Pro Secure (Pty) Ltd, alleging various irregularities and contraventions in the awarding of a tender. The SIU has successfully interdicted the pension payout of Dr. Mhlongo following her resignation amid disciplinary action.
President Cyril Ramaphosa directed the SIU, under Proclamation R23 of 2020, to investigate allegations of corruption, maladministration, malpractice, and payments made by state institutions related to 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 in its name to address any wrongdoing uncovered during investigations related to acts of 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
