A South African company’s contract to build and ship COVID-19 hospitals to Zambia has been terminated by THE Ministry of Health (MoH).
The termination is in accordance with the general terms of the contract, according to a letter from the MoH Permanent Secretary for Technical Services, Professor Lackson Kasonka, issued to the chairman of TFM Holding (PTY) Limited, South Africa.
“Be advised that on June 24,2022, the Ministry of Health issued to yourselves a notice for intention to terminate the contract,the letter of which your office through your lawyer acknowledged to have received.
Be further advised that the contract signed between yourself and the Ministry executed on May 4 for the construction and equipping of 7NO by 150 beds capacity COVID-19 hospitals in Zambia is herewith terminated with effect from June 24, 2022 which means that any dues for any action by your company are effective on the part of the Ministry for liability,” he said.
According to Professor Kasonka, the contract’s termination complies with its general provisions, particularly GCC 56.4, which specifies that it may be cancelled for convenience.
After being accused of seeking a bribe in the form of facilitation fees and a car last month, Minister of Health Sylvia Masebo asked the South African Company to remove a letter.
