The private hospital group [DATA NTC:Netcare Limited] filed an application interdicting the Commission’s decision to appoint financial services firm KPMG as technical advisor in its private healthcare inquiry due to a conflict of interests.
The court supported the Commission’s decision and stated that all parties in the country’s healthcare sector, including Netcare, must fully cooperate with the healthcare investigation rather than seek to derail it.
“In the light of this judgment, the Commission is now confident that the health inquiry will proceed in full swing,” said the Commission in a statement.
NETCARE DISAPPOINTED BY COURT RULING
Netcare has said that it is disappointed with the ruling by the Gauteng Division of the High Court regarding its case against KPMG.
“On a preliminary consideration of the decision, Netcare respectfully believes that the decision is premised on material errors of fact and law. Netcare is considering its options in light of today’s ruling which has significant implications for corporate South Africa,” said the private hospital group.
“Netcare is of the opinion that companies will need to give careful consideration to the way in which they engage professional services companies in light of the ruling.”
(READ MORE: Private healthcare investigated over rising prices)
The group also stated that KPMG failed to comply with its own assurances and has also violated the court order.
“Netcare reiterates that its court action was not about delaying the healthcare inquiry or withholding any information,” it said.
“Netcare is currently participating in the commission’s inquiry and has already made substantial submissions in response to various requests from the panel which is conducting the inquiry. Netcare will continue to engage with the panel as the inquiry unfolds and is participating fully in the process.”