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PPE Medpro Ruling Due in £122m Gown Case After Administration Move

With judgment due this morning on the £121.99m gown contract, the supplier’s insolvency clouds prospects of taxpayer recovery.

Overview

  • Mrs Justice Cockerill is scheduled to deliver her High Court decision at 10:30am on whether PPE Medpro breached its contract to supply 25 million surgical gowns.
  • The DHSC seeks repayment of £121,999,219.20 plus about £8.65 million in transport and storage costs, arguing many gowns were not sterile and failed compliance requirements.
  • PPE Medpro says any contamination occurred after delivery due to transportation and storage conditions and accuses the government of buyer’s remorse over surplus stock.
  • Company filings show a move toward administration; a Forvis Mazars spokesperson said two partners have been appointed joint administrators by a qualified floating charge holder.
  • Baroness Michelle Mone says the firm offered to replace the gowns or pay £23 million, claims the DHSC rejected those offers, and maintains she and Doug Barrowman are being scapegoated, while an NCA investigation and asset restraint orders remain in place.