1. In early 2020, the National Health Laboratory Service (NHLS) started to take steps in anticipation of the emerging Covid-19 pandemic. Because of its role as the national pathology service provider, it would be at the forefront of testing in the public sector and this would require massive effort and resources. Without testing South Africa would not be able to control the pandemic.

2. It was anticipated that the pandemic would put extreme pressure on both the availability and pricing of all items needed to perform testing. The NHLS had to act without delay to be able to obtain the equipment and reagents needed to conduct tests and also the PPE necessary to allow its staff to do so safely.

3. Therefore, the Board of the NHLS at a meeting provided management with guidelines and the authorization to conduct emergency procurement needed for Covid-19 testing. Management was requested to report to the Board on the emergency procurement and did so routinely.

4. The NHLS conducted an internal audit of the NHLS’ procurement of services and equipment (including PPE) for the Covid-19 emergency during the first half of 2020. Subsequently, PriceWaterhouseCoopers Inc (PWC) was appointed to conduct a forensic investigation into the emergency procurement.

Full Statement Attached

Issued by The National Health Laboratory Service