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Local – Billions of rand intended for healthcare services at Tembisa Hospital were looted through a web of fraudulent contracts, according to explosive findings by the Special Investigating Unit (SIU).
The revelations, which expose the theft of more than R2 billion, have reignited public anger over systemic corruption in the health sector and raised fresh questions about the state’s ability to hold perpetrators accountable.
Civil society organisations say the scandal has betrayed the country’s most vulnerable patients, who depend on public healthcare.
Among the strongest critics is the Organisation Undoing Tax Abuse (OUTA), whose Chief Executive Officer, Wayne Duvenage, argued that the case highlights a culture of impunity that has become entrenched in South Africa.
SIU Head Advocate Andy Mothibi confirmed that investigators had uncovered extensive irregularities in procurement processes, involving 207 service providers and more than 4,500 purchase orders.
He said the fraud revealed a level of manipulation that was unprecedented in a public health facility.
“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,” Mothibi said.
The report went further, tracing the scheme to three organised syndicates: the Maumela group, linked to businessman Hangwani Morgan Maumela; the Mazibuko group, tied to Rudolph Mazibuko; and an as-yet unnamed “X” syndicate still under review.
Investigators said these networks laundered hundreds of millions through inflated tenders, shell companies and manipulated three-quote processes.
More than R800 million in assets and properties has already been tied to the groups, which the SIU described as deeply entrenched within hospital management structures.
Responding to the findings in an interview with the SABC, Duvenage stated that corruption at Tembisa Hospital had been flagged years earlier. Still, little had been done to address it.
He linked the scandal directly to the 2021 assassination of whistleblower Babita Deokaran, who exposed suspicious payments at the facility.
“We are shocked, and at the same time, we’re not shocked because we’ve just become used to this. It’s been… four years ago when Babita Deokaran was assassinated after exposing a lot of what was taking place then.”
He added that the drawn-out nature of the investigation has only compounded the damage.
According to Duvenage, lengthy timelines enable criminals to conceal their assets and evade justice, while the public continues to lose faith in the system.
“Now the SIU is coming out with its interim report… four years later, and we told this is just the interim report, the final report will be ready in two years’ time, and that’s really what worries us because… justice delayed is justice denied.”
SIU Identifies Officials and Service Providers
The SIU has named at least 15 officials from the Gauteng Department of Health and Tembisa Hospital suspected of collusion, money laundering and fraud.
Investigators believe that number will increase as the probe continues, with disciplinary referrals already underway.
Duvenage, however, insisted that suspending a handful of individuals was not enough. He said the real test would be whether senior political figures or well-connected individuals higher up the chain would face consequences.
“What we do want to see is who are those people higher up the chain? Are they politically connected? … we know that there are a few that have been suspended, this is just not good enough.”
He further warned that the government’s failure to protect whistleblowers and its slow response to corruption sends the wrong message to those exploiting public funds.
“We have a president who’s asleep at the wheel and not saying Not on my watch. We need to tackle corruption and do something serious about it.”
Health Minister Dr Aaron Motsoaledi acknowledged that the corruption could not have taken place without collusion from senior officials.
He called for urgent action and stressed that whistleblowers must be protected if similar scandals are to be prevented in future.
