Medical equipment to be used at the Paola medical hub has been sitting unused since February 2023, a statement issued by equipment suppliers Technoline on Wednesday revealed.

Technoline said it stored the equipment at the request of the Department of Health after department representatives inspected it.

“The equipment has now been delivered on-site in Paola, and currently Technoline Limited is in the stage of awaiting instructions from the client to continue installation, commissioning and affect end-user training where necessary,” the company said on Wednesday.

Originally scheduled to open in 2021, the Vincent Moran Paola Medical Centre remains closed to this day, with the government and contractors now locked in an arbitration battle over the project contract.

The government says the consortium engaged to build, finish and equip the hub missed a series of deadlines and failed to provide compliance certificates necessary for the centre to begin operating.

It has now taken over the centre as it seeks to engage new contractors to wrap up works and allow the centre to begin operating.

The original consortium, made up of Ergon Projects Limited and Technoline, tried but failed to block the government from taking over the premises.

In its statement on Wednesday, Technoline said that it was a minority partner in the consortium, with a 10% stake and no controlling power.

“All decisions with respect to this project being taken by the lead partner, which is Ergon Projects Ltd,” the company said.

It noted that it won a tender to supply medical equipment for the centre after its bid was the cheapest among those that fulfilled all technical and administrative requirements.

Technoline – which is currently in administration as a result of criminal proceedings it faces in an unrelated case concerning the deal to privatise three state hospitals - also sought to dispel rumours that it is in financial trouble.

The company can receive funds, pay creditors and staff and recruit new employees, it said, and is also focused on fighting criminal charges while safeguarding the livelihoods of the “more than 50 families that depend on it”.

“Contrary to rumours and malicious communications being spread, Technoline Limited has not been, including since May 2024, in any way restricted or hindered in its trading activities,” the company said.