SIU Launches Investigation into Vaccine Research Procurement Contracts

Key Takeaways:

• The Special Investigating Unit (SIU) is launching a probe into allegations of serious maladministration and improper or unlawful conduct in relation to four vaccine research procurement contracts.
• The investigation will examine contracts for the development of a National Vaccine Manufacturing Strategy, finalisation of an overarching vaccine development and manufacturing strategy, and projects related to a Virus-Like Particles (VLP) platform.
• The SIU will also investigate allegations of irregular, improper or unlawful conduct by officials or employees of the institutions, as well as relevant suppliers or service providers.
• The investigation period covers allegations lodged between 1 January 2021 and 19 December 2025.
• The SIU has also announced an amendment to Proclamation R.2 of 2020, which expands the scope of the investigation into South African Airways (SAA) to include South African Airways Technical.

Introduction to the Investigation
The Special Investigating Unit (SIU) has launched a probe into allegations of serious maladministration and improper or unlawful conduct in relation to four vaccine research procurement contracts. The projects under investigation involved funding agreements for vaccine research and development entered into by or on behalf of the Department of Science, Technology and Innovation, the Technology Innovation Agency, the University of KwaZulu-Natal, and the Council for Scientific and Industrial Research (CSIR). The SIU announced on 19 December that President Cyril Ramaphosa had signed proclamation 304 of 2025, mandating the unit to look into the procurement of or contracting for goods, works or services for these projects.

Vaccine Research Contracts
The National Vaccine Innovation and Manufacturing Strategy has been developed by the Department of Science, Technology and Innovation with the aim of consolidating national efforts in vaccine development, translational research, and manufacturing. Local vaccine manufacturing capacity emerged as a national priority in the wake of the Covid-19 pandemic, when South African and many other African countries found themselves dependent on international pharmaceutical companies for much-needed vaccine products. The SIU’s investigation will determine whether the vaccine research contracts and related payments were conducted in a manner that was "not fair, competitive, transparent, equitable or cost-effective". The investigation will also examine potential violations of applicable legislation, manuals, guidelines, practice notes, circulars, or instructions issued by the National Treasury, as well as the internal policies and procedures of the institutions.

Scope of the Investigation
The investigation is related to allegations lodged between 1 January 2021 and 19 December 2025, according to Kaizer Kganyago, spokesperson for the SIU. Its scope includes any "irregular, unlawful or improper conduct" by officials or employees of the institutions, as well as relevant suppliers or service providers. The SIU will also examine contracts for the development of a National Vaccine Manufacturing Strategy, finalisation of an overarching vaccine development and manufacturing strategy, and projects related to a Virus-Like Particles (VLP) platform. Daily Maverick approached the SIU about the investigation period, as well as the timing of the probe’s launch, but a response had not been received by the time of publishing.

South African Airways Investigation
The SIU has also announced an amendment to Proclamation R.2 of 2020, which initially authorised the unit to investigate allegations of serious maladministration, improper or unlawful conduct, and financial losses related to South African Airways (SAA). The amendment expands the scope to include South African Airways Technical as part of the institutions under investigation. The scope of the procurement activities under investigation has been updated and broadened, and the amended schedule now provides more detail on maintenance, repair, and operations services. Specifically, it adds the investigation into the supply of transportation services for cabin crew members at various outstations. South African Airways Technical provides aircraft maintenance services to a number of commercial airlines in the domestic, regional, and international markets.

Conclusion and Next Steps
The SIU’s mandate has been "strengthened", allowing it to thoroughly investigate any undisclosed or unauthorised interests that board members, vendors, employees, officials, or agents of SAA and South African Airways Technical may have had with bidders, suppliers, contractors, investors, or shareholders. The amendment authorises the unit to investigate a wider range of people and entities in relation to the allegations of irregular, improper or unlawful conduct. SAA has faced allegations of systemic corruption and mismanagement for more than a decade, and the state has spent more than R50-billion on bailouts for the airline since 2008. The amended proclamation extends the period under SIU investigation to cover 1 January 2002 to 19 December 2025. The investigation is expected to provide more clarity on the allegations and help to prevent similar incidents in the future.