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The NHLS has suspended high-ranking members for alleged bribery.
- The NHLS suspended its chief of supply chain management, other supply chain personnel, and its chief financial officer.
- This followed a forensic investigation that found that there was prima facie evidence of misconduct by certain individuals.
- The alleged misconduct is related to the emergency purchase of PPE.
The National Health Laboratory Service (NHLS) suspended its chief supply chain management and chief financial officer after a report revealed alleged misconduct in the procurement of personal protective equipment (PPE).
However, it has ensured that this will not affect its services as the largest diagnostic pathology service in South Africa, which supports national and provincial health departments.
Professor Eric Buch, chairman of the NHLS board, said they took steps to procure goods and services for the Covid-19 pandemic in early 2020.
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The NHLS said it had to act without delay in order to obtain the equipment and reagents needed to perform the tests, and also the PPE necessary to allow its staff to do so safely.
“The NHLS board, in a meeting, provided management with the guidelines and authorization to conduct the emergency procurement necessary for Covid-19 testing. Management was requested to inform the board about the emergency procurement and He did it routinely. “
Buch said that following an internal audit of the procurement of services and equipment, including PPE for Covid-19, PriceWaterhouseCoopers (PWC) was appointed to conduct a forensic investigation.
The NHLS also received requests from the Hawks regarding information on companies and individual transactions, involving the acquisition of PPE between March and April of this year.
Investigation
As a result, PWC’s scope of work was expanded to conduct a forensic investigation into the transactions between the NHLS and the six particular companies identified by the Hawks.
“The board extended the instruction to PWC to include an investigation of all NHLS individuals involved in the PPE acquisition,” Buch said.
While PWC’s investigation found that the board and CEO had met their legal and fiduciary obligations, it identified that there had been prima facie evidence of misconduct by the head of supply chain management, others in the supply chain, and the chief financial officer.
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“The officials involved were suspended, pending disciplinary investigations,” added Buch.
“In the interest of expediting justice, the board further resolved to share the PWC report and associated legal opinion with the DPCI [Hawks] and the Special Investigation Unit (SIU) “.
PWC’s report is not available, and Buch said it will remain confidential as long as related disciplinary and legal processes take their course.
“The board will continue to ensure that measures are in place to prevent corruption and act decisively if corrupt activities occur.”
“The board will also want to assure the public that this situation will not affect the services provided by the NHLS, and steps have been put in place to ensure that the NHLS continues to provide high-quality services to the people of South Africa.”
