I assume that your client was notified of the medical by phone and accepted this appointment
Any appeal would have to be based on 'good cause', it is well work checking the Regs about this as the DWP never seem to actually apply them See SS(Incapacity of work regs) Reg 6, they also seldom look at goodcause and fail to follow their own process of issuing a BF22 See D&A Reg 19
Although they are technically correct that he can't be paid, he should put in a new claim, The DM will have to decide whether to accept this and it allows fresh appeal rights, coupled with reduced rate IS during the appeal period.
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