Bharat Biotech denies wrongdoing after row
HYDERABAD : After the Brazilian government on Wednesday announced temporary suspension of its 20 million dose Covid-19 vaccine contract with Bharat Biotech following allegations of irregularities in the deal, with the Indian drug maker insisting that it has not received any advance payments.
The city-based firm issued clarification on Wednesday saying it has not received any advance payments and that the company has followed a “similar approach” in Brazil towards contracts, regulatory approvals and supplies in several countries worldwide, where Covaxin is being supplied successfully.
Announcing the Brazil government’s decision, its Health Ministry said in a statement that “with the recommendation of the Office of the Comptroller General of the Union (CGU), the Ministry of Health temporarily suspended the contract for the purchase of Covid-19 vaccine from Covaxin this Tuesday (29).” “The measure does not affect the pace of the vaccination campaign to fight the pandemic in the country and follows compliance practices in public administration,” it said.
The contract was also evaluated by the Ministry of Health’s Integrity Directorate, which will carry out an administrative investigation.
The unit will act together with the “Controllership” in determining the terms of the contract, it further said. Responding, Bharat Biotech said the company has not received any advance payments nor has it supplied any vaccines to Brazil.
“As of 29th June 2021, Bharat Biotech has not received any advance payments nor supplied any vaccines to MOH Brazil.” “Bharat Biotech has followed a similar approach towards contracts, regulatory approvals and supplies in several countries worldwide, where Covaxin is being supplied successfully,” it said in a statement.
Precisa Medicamentos is Bharat Biotech’s partner in Brazil, providing assistance, guidance and support with regulatory submissions, licensure, distribution, insurance, conduct of phase III clinical trials, etc.
The Covaxin contract to Brazil landed in controversy after the South American country’s Attorney General reportedly launched a probe into the deal.
The minister of the CGU, Wagner Rosrio, explained that the suspension is a preventive measure. “We opened a preliminary investigation last week, that is, a specific audit in relation to the contract. The suspension time will only last for the period of calculation.
We put the reinforced team to be very quick in the process,” he said. The CGU said it began a preliminary investigation into possible irregularities in the contracting of Covaxin on June 24.