Italy’s hopes of producing its own COVID-19 vaccine have been thrown into doubt after the state audit court rejected a plan to pump public funds into local biotech company ReiThera, two sources close to the matter told Reuters on Friday.
A source at the audit court said it had ruled this week against a contract drawn up by state agency Invitalia to invest some 50 million euros ($60.62 million) as part of a deal with ReiThera to support its development of the new vaccine.
“The investment scheme is illegitimate, and therefore void,” the source said, without providing any details.
The court normally adjudicates on whether state agencies have followed correct procedures and not on the merits of a project.
The company’s vaccine has concluded stage-2 trials and the firm is in early talks with Brussels to supply the European Union. However, it needs public funding to start stage-3 trials.
Invitalia didn’t immediately reply to a Reuters request for comment. The state audit court declined to comment on the case.
