This is according to SIU Head Advocate Andy Mothibi after the unit obtained a preservation order of some R900 million worth of assets linked to an alleged criminal syndicate that operated at the hospital.

The syndicate – together with two others – allegedly siphoned off some R2 billion that was earmarked for the improvement of healthcare services at the hospital in a complex web of fraud and corruption.

“The orders are a critical step in our commitment to claw back every cent that was stolen from the public purse, specifically Tembisa Hospital.

“This is not merely a preservation but a proactive, intensive effort to trace, secure, and ultimately recover assets that we allege are the proceeds of corruption. We will not allow individuals to hide behind complex corporate and trust structures,” Mothibi said.

Executing the order

Last week, the SIU secured assets valued at approximately R133.5 million belonging to one of the alleged masterminds of the Tembisa Hospital looting, Hangwani Maumela.

Items secured at a Sandhurst home and Emalahleni dealership include:
• A property in Sandhurst: estimated value R70 million
• Three Lamborghinis: estimated value R25 million
• Household contents: estimated value R3 million
• Security in respect of the Household contents: estimated value R500 000
• Two Aston Martin luxury cars
• One Ferrari luxury car
• One Rolls-Royce luxury car

“The Mpumalanga dealership, on a completely without prejudice basis, gave the SIU surety of two immovable properties, without any bonds outstanding on them, valued at approximately R35 million in exchange for the curator, in the interim, not removing the luxury cars from the dealership after the luxury cars have been attached by the curator.

“The preserved assets will remain under the control of the Curator appointed by the Special Tribunal until the final determination of up to 41 main civil recovery proceedings to be instituted, the first of which the SIU is mandated to institute within 60 court days. Once civil proceedings are concluded, the assets will be forfeited to the State,” the SIU explained.

The post SIU determined to ‘claw back every cent’ taken at Tembisa Hospital appeared first on ProtectionWeb.

These developments are stark evidence of how corruption continues to infect the state at every level, OUTA said. The Sibiya raid forms part of an investigation linked to the Madlanga Commission of Inquiry into criminality, political interference, and corruption in the criminal justice system. This commission, established following testimony by KwaZulu-Natal Police Commissioner Lieutenant-General Nhlanhla Mkhwanazi, is probing allegations that criminal syndicates have infiltrated the South African Police Service (SAPS), the National Prosecuting Authority (NPA), intelligence structures, and elements of the judiciary. These claims cut to the heart of South Africa’s law enforcement crisis, OUTA said. “When the police themselves are compromised, accountability becomes impossible.”

Separately, the SIU’s raids on Maumela’s properties, including his luxury Sandton mansion and a car dealership in Mpumalanga, mark what OUTA said is a major step in the investigation into the looting of Tembisa Hospital. The scandal, first exposed by murdered whistleblower Babita Deokaran, revealed how politically connected businesspeople siphoned more than R2 billion through irregular tenders, while the hospital itself struggled with medicine shortages and failing infrastructure.

“Together, these cases tell a single story,” said OUTA CEO Wayne Duvenage. “The rot is not confined to one department or one corrupt official. It runs from the procurement systems in many government departments and state entities that enrich undeserved companies and politically connected individuals, to the police structures that are supposed to hold them accountable. Until these networks are dismantled and the rule of law is allowed to flow unhindered, leading to prosecutions, South Africa remains trapped in a cycle of exposure without consequence.”

OUTA calls for urgent action to strengthen and capacitate the SIU, NPA, the Hawks, and the South African Revenue Service (SARS), ensuring they have both independence and capacity to pursue complex corruption cases to completion.

“Raids and asset seizures are a start. These specific matters currently unfolding are many years overdue and there, are there are thousands more to get to. To do so, South Africans deserve and need justice that goes beyond confiscations of a few high-profile cases. We need sustainable justice that is effective and restores public trust, protects whistleblowers, and proves that accountability is not selective,” OUTA concluded.

The post Sibiya and Tembisa Hospital tender mogul raids welcomed appeared first on ProtectionWeb.

“This staggering sum, intended for the provision of healthcare to the most vulnerable, was instead ruthlessly siphoned off through a complex web of fraud and corruption, representing an egregious betrayal of the nation’s trust,” Head of the SIU, Advocate Andy Mothibi said on Monday 29 September.

Addressing the media at the hospital where an interim report on the investigation on corruption at the facility was released, Mothibi said as complex as the probe had been, they had been able to uncover irregularities, fraudulent activities and corrupt activities by officials and service providers.

In September 2022, the Office of the Premier referred matters to the SIU to be investigated. The unit has since then analysed at least 2 207 procurement bundles.

“Key officials from the Gauteng Department of Health (GDOH) and Tembisa Hospital are accused of benefiting from corrupt payments that facilitated the irregular appointment of service providers, involving money laundering and fraud through fronting and the use of false Supply Chain Management documentation,” Mothibi said.

The investigation currently involves 207 service providers which traded with the Tembisa Hospital under 4 501 purchase orders (PO). Each PO is linked to a purported three-quote procurement process purportedly involving three competing bidders.

“These numbers are constantly updated as new companies are identified through ongoing investigations and the flow of funds involving irregularly appointed service providers at the Tembisa Hospital,” Mothibi said.

The syndicates are the Maumela syndicate, Mazibuko syndicate and the X syndicate.

The Maumela syndicate is linked to Hangwani Morgan Maumela; the Mazibuko syndicate is linked to Rudolph Mazibuko while investigations are continuing into the X syndicate.

The SIU is reviewing 1728 bundles worth R816 560 710 related to the Maumela syndicate and has completed 924 analyses, uncovering significant irregularities.

The SIU has also traced 41 suppliers or service providers linked to Maumela; three of the companies that were awarded contracts to the value of R13 538 292 in this syndicate are linked to Vusimuzi Matlala.

With regard to the Mazibuko syndicate, the SIU reviewed 651 bundles valued at R283 504 291, with 392 completed analyses revealing assets worth R42 646 502, including multiple properties in the Western Cape and Gauteng.

With regard to X syndicate, the SIU is currently assessing 1237 procurement bundles, valued at R596 424 356.

Apart from these syndicates, the SIU also uncovered other syndicates which have looted millions at the hospital.

Mothibi said the SIU’s evidence has revealed that the total value of corrupt payments linked to officials and employees of GDOH and Tembisa Hospital is R122 228 000.

“The SIU has identified at least 15 current and former officials involved in activities such as corruption, money laundering, collusion and bid rigging with improperly appointed service providers at Tembisa Hospital.

“These individuals abused their positions throughout the procurement process to benefit these providers and enrich themselves. The number of identified officials is expected to rise as the investigation continues. The officials range from entry-level clerks to management-level officials,” he said.

The SIU has prepared 116 disciplinary referrals against 13 officials, of which 108 were delivered to the GDOH relating to maladministration, as well as the irregular appointment of service providers at the hospital.

Health Minister, Dr Aaron Motsoaledi, said the corruption could not have taken place if it was not for the assistance of corrupt officials both at the hospital and Gauteng Health Department.

He said while investigations are continuing, there was a need to look at the officials at the department. “Whistle blowers must be protected and those involved in corruption must be removed from society,” he said.

The post SIU uncovers syndicates which allegedly looted R2 billion at Tembisa hospital appeared first on ProtectionWeb.