Tembisa Hospital Corruption Scandal: Billions Looted Through Dodgy Tenders EXPOSED
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15hours ago
SIU Exposes R2 Billion Corruption Scandal at Tembisa Hospital: Maumela Syndicate at the Centre
By NewsInSA
The SIU uncovers R2 billion looted at Tembisa Hospital through fraudulent syndicates. Maumela Syndicate linked to luxury assets and corrupt officials. Full details here.
R2 Billion Looted Through Corrupt Syndicates
The Special Investigating Unit (SIU) has laid bare a staggering R2 billion corruption scandal at Tembisa Hospital, exposing coordinated syndicates that looted public healthcare funds meant to serve vulnerable South Africans.
At the centre of the scandal is the Maumela Syndicate, linked to businessman Hangwani Morgan Maumela, who has been reported to have ties to President Cyril Ramaphosa through a past marriage. Ramaphosa has denied any personal or business connection to him.
The SIU’s investigation revealed how procurement fraud, fronting, falsified documentation, and irregular appointments of service providers became systemic at Tembisa Hospital, implicating senior officials in the Gauteng Department of Health (GDOH).
Maumela Syndicate Looted Over R816 Million
The Maumela Syndicate alone accounted for R816 million in fraudulent contracts, with 41 suppliers linked directly to Maumela. Notably, three companies tied to businessman Vusimuzi “Cat” Matlala received contracts worth R13.5 million.
Assets identified under the syndicate include luxury cars and properties worth over R520 million, including a R75 million Bantry Bay mansion and multiple homes in Gauteng. These assets have since been preserved by the NPA’s Asset Forfeiture Unit as part of recovery efforts.
SIU Head Advocate Andy Mothibi confirmed that investigations into the Maumela Syndicate have already analysed 924 procurement bundles worth R816 million, uncovering significant irregularities and evidence of money laundering.
Other Syndicates and Widespread Fraud
The SIU also uncovered several other syndicates involved in the looting:
- Mazibuko Syndicate: Tied to Rudolph Mazibuko, involving 651 procurement bundles worth R283 million, with assets valued at R42 million.
- Syndicate X: Currently under analysis, with 1,237 bundles valued at R596 million. Investigators uncovered irregular procurement and laundering through secondary conduit accounts, with linked assets worth R150 million.
- Smaller Syndicates (A–F): Additional irregular payments ranging from R3.3 million to R76 million.
In total, the SIU confirmed that at least R122 million in corrupt payments directly benefited officials and employees at Tembisa Hospital and the GDOH.
15 Officials Implicated, 116 Disciplinary Referrals
The investigation implicated 15 current and former officials in serious offences including bid rigging, collusion, fraud, and money laundering. Lower-level employees were also found to have manipulated the three-quote procurement system to bypass tender rules, causing substantial financial losses.
The SIU has since prepared 116 disciplinary referrals, of which 108 were submitted to the Gauteng Department of Health for action.
READ: Tembisa Hospital Corruption Scandal: Billions Looted Through Dodgy Tenders EXPOSED |
Legacy of Whistleblower Babita Deokaran
The probe is rooted in the courageous work of Babita Deokaran, the late chief director in the GDOH infrastructure unit, who flagged R850 million in suspicious payments in a report dated 26 July 2021.
Her findings highlighted ghost suppliers, inflated tenders, and PPE-related fraud during the COVID-19 pandemic. Tragically, Deokaran was assassinated on 15 August 2021, just 19 days after submitting her report.
While six men were convicted in April 2022 for her murder, the masterminds remain at large, with ongoing investigations marred by allegations of interference and institutional failures.
SIU Calls for Accountability
The SIU emphasized that dismantling corruption networks requires collaboration with the Presidency, the Health Ministry, and law enforcement agencies. Advocate Mothibi stressed that recovering assets and prosecuting implicated officials is essential to restoring public trust in South Africa’s healthcare system.
As investigations continue into Home Affairs, Medico-Legals, and other departments, the Tembisa Hospital scandal stands as one of the most significant corruption cases in the country’s healthcare history.
