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Tribunal orders repayment to State for R9m unlawful Covid-era PPE contracts


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Tribunal orders repayment to State for R9m unlawful Covid-era PPE contracts

Image of Kaizer Kganyago
SIU spokesperson Kaizer Kganyago

26th June 2025

By: Thabi Shomolekae
Creamer Media Senior Writer

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A Special Tribunal tasked with recovering funds lost through illegal activities has ordered company Vitae Zoe to propose a repayment plan for two personal protective equipment (PPE) contracts, worth R9 120 000, that were unlawfully awarded to the company during the Covid era by the Mpumalanga Department of Health.

The company must propose the repayment plan within 15 days of a formal demand by the Special Investigating Unit (SIU), or further legal action may be taken.

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The 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.

SIU spokesperson Kaizer Kganyago explained that the Tribunal further ordered Vitae Zoe to implement financial accountability measures, requiring it to submit audited financial statements for the 2020/21 financial year to the SIU and the Tribunal Registrar.

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The SIU has received Vitae Zoe’s financial statement and is currently determining the repayment amount.

The Tribunal also ordered the company to cover the legal costs of the application.

The Tribunal set aside the contracts following an application made by the SIU.

“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,” Kganyago 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 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,” said Kganyago.

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