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HomeMedico-LegalZimbabwe pharma sued over cancellation of $60m COVID-19 tender

Zimbabwe pharma sued over cancellation of $60m COVID-19 tender

A controversial international pharmaceutical consultancy, linked to Zimbabwe's sacked former health minister, is suing Zimbabwe’s National Pharmaceutical Company over the cancellation of a US$60m contract it had been granted for the supply of COVID-19 medical supplies.

New Zimbabwe reports that the controversial company, Drax, is being represented by Samukange Hungwe Attorneys, who argue that the termination of the contract was unlawful. “Our client concluded a contract for the supply and delivery of medical supplies with yourselves on 11 December, 2019. Our client performed all its obligations in terms of the law,” the letter states.

The contract was abruptly cancelled last month after a national public outcry following corruption allegations surrounding it.Drax local representative Delish Nguwaya, former health minister Obadiah Moyo and three Natpharm senior executives were arrested and are answering to corruption charges relating to the contract.

Drax is threatening to approach the London Court of International Arbitration “on the basis that the purported cancellation is not only unlawful but was capriciously and unprocedurally done”.

[link url="https://allafrica.com/stories/202007140147.html"]Full New Zimbabwe report[/link]

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