The Special Investigating Unit Tribunal has declared the scooter contract between the Eastern Cape Health Department and the company Fabkomp as invalid and unlawful.
SIU spokesperson, Kaizer Kganyago, said the Tribunal ruling was issued on Friday.
He told Algoa FM News that the first part of the SIU application to the Tribunal was to stop payment on the contract, to provide motorised scooters to the provincial Health Department.
He says it means that the contract between the Department and Fabkomp is no longer valid and the money that would have been paid out to the company is now safe in the coffers of the Department of Health.
Health Minister, Dr Zweli Mkhize, launched the Scooter Project in East London in June of 2020, as part of the armoury in the fight against Covid19.
He said the scooters, which are fitted with a special sidecar would provide health workers with a versatile form of transport for patients or to deliver medication to rural communities, however, just a month later he announced that the scooters did not meet the basic Emergency Medical Services regulations.
Minister Mkhize at the time said that the National Health Department had not been consulted on the specifications before the scooters were procured for a reported R10m.