A statement signed by Egrita Ndala ACB Senior Public Relations Officer states that the ACB through its investigations has established that the financiers of the project, have their own procurement procedures which made the Ministry to specify preferred brands for some of the equipment needed at the hospital.

Ndala says the ACB and the Competition and Fair Trading Commission have therefore, on an exceptional basis allowed the process to continue following the exceptional legitimate reasons given in the project.

She however indicates that this does not suggest that the ACB has cleared the contract of any potential corruption allegations and it reserves its right to institute a full investigation should information suggesting otherwise subsequently come to its attention.

The ACB and the Competition and Fair Trading Commission had issued a restriction notice on the contract following the manner in which the tender advertisement was made.

The advertisement had made specific references to a brand of medical equipment rather than generic specification which would have encouraged participation from a wider base of suppliers.

Construction works are therefore expected to resume at the hospital following the lift of the restriction. Phalombe District Hospital is being constructed with resources financed under a Loan from the Arab Bank for Economic Development in Africa (BADEA) and the Saudi Fund.