Health Minister Aaron Motsoaledi
Health Minister Aaron Motsoaledi has voiced strong dismay over individuals who would steal funds meant for vital medical services. His comments follow the release of a damning interim report by the Special Investigating Unit, which exposed widespread corruption and maladministration at Tembisa Hospital in Gauteng. The probe revealed that around R2 billion has been siphoned through tender irregularities and fraud, leaving patients without essential supplies while enriching a network of syndicates and officials. Motsoaledi described the acts as heartless, especially amid the ongoing crisis in public health where hospitals struggle with shortages and overcrowding.
The report, made public on Monday, 29 September 2025, highlights how the looting has worsened conditions for vulnerable communities reliant on state facilities. With three major syndicates identified and assets worth millions frozen, the findings have sparked calls for swift prosecutions and reforms to safeguard public funds. As the investigation continues toward a full conclusion by November 2027, many are questioning how such large-scale theft went unchecked for years. This article explores the SIU’s key revelations, the syndicates involved, the tragic role of whistleblower Babita Deokaran, Motsoaledi’s pointed reaction, and the path forward for accountability in healthcare.
SIU’s Shocking Findings: R2 Billion Vanished in Procurement Scams
The interim report lays bare a complex web of fraud that drained over R2.043 billion from Tembisa Hospital through 4,501 purchase orders linked to 207 service providers. This figure far exceeds the R850 million initially flagged in 2021, with the total potentially climbing to R3 billion as more connections emerge. Expenditure on medical supplies ballooned from R315 million in 2018/2019 to nearly R1 billion in 2021/2022, without a corresponding rise in patient needs or similar increases at nearby hospitals. After the probe gained traction and details went public, spending dropped sharply by 73% to R255 million in 2023/2024, proving the irregularities had been halted but not before causing immense harm.
The scams involved deliberate tactics like splitting large orders to avoid tenders, submitting fake quotes, and overpricing items far above market rates. In many cases, no goods or services ever reached the hospital; funds simply flowed to conduits and then to luxury purchases. This left patients facing shortages of basics like bandages, medicines, and equipment, exacerbating long waits and poor care in an already strained system. The report showed a comprehensive disregard for procurement rules, with CEOs approving non-compliant bids and no oversight on high volumes of purchase orders.
Financial trails revealed R122.23 million in direct corrupt payments to 15 current and former officials from the Gauteng Department of Health and the hospital itself. These bribes enabled the fraud, with lower-level staff inflicting the most damage by faking documents and ignoring protocols. The SIU has referred 116 cases for disciplinary action, 108 to the department for maladministration, and several to health regulators and prosecutors.
The Three Syndicates: Leaders, Tactics, and Seized Luxuries
At the heart of the scandal are three coordinated syndicates, plus smaller groups, that rigged the system for personal gain. The Maumela Syndicate, led by businessman Hangwani Morgan Maumela, tops the list with R816.56 million under scrutiny across 1,728 procurement bundles. Maumela, linked to controversial figures, controlled 41 suppliers that used front companies for laundering. Assets traced to him total R520 million, including a R75 million mansion in Bantry Bay, properties in Sandton, Hartbeespoort, Zimbali Estate, and Cape Town’s Twin Towers. His collection boasts multiple Lamborghinis (Urus, Huracan STO, Aventador SVJ, Ultimate Coupe), a Bentley Continental GT V8, an Isuzu D-Max, a trailer, and a Regency 250 LE boat—all now frozen by the National Prosecuting Authority’s Asset Forfeiture Unit.
The Mazibuko Syndicate, headed by Rudolf Mazibuko, siphoned R283.5 million through 651 bundles, with assets worth R42.65 million in homes across the Western Cape and Gauteng. Syndicate X, still being dissected, involves R596.42 million in 1,237 bundles, with R150 million hidden in secondary accounts. Smaller outfits added millions more, with links showing family ties, shared directors, and R1.11 million in kickbacks between “winners” and “losers” in rigged bids.
These groups bypassed fair processes with fake tax clearances, B-BBEE affidavits, and split orders under R500,000 to dodge oversight. Goods receipts were often sham, with no deliveries despite signed papers. The SIU stressed that none of these deals benefited the hospital, vanishing into opulent lifestyles while patients suffered.
Babita Deokaran’s Brave Stand and Tragic End
The probe’s roots trace back to Gauteng Health senior official Babita Deokaran, who flagged around R850 million in suspicious payments in August 2021—just weeks before she was gunned down outside her Johannesburg home. Deokaran’s audit showed Tembisa outspending larger hospitals on supplies, sparking the deeper investigation. Her assassination, widely linked to her whistleblowing, remains unsolved, with six hitmen jailed in 2023 but the mastermind still free.
Deokaran’s courage exposed the syndicates, but her death highlights the dangers faced by those who speak up. The SIU has vowed to protect whistleblowers and investigators moving forward, with her flagged contracts forming the core of the R2 billion losses. Motsoaledi and others have honoured her memory, calling for justice in her case as part of broader reforms.
Motsoaledi’s Outrage: ‘What Type of Human Being Are You?’
Health Minister Aaron Motsoaledi did not hold back, calling the looting inhumane amid the healthcare crisis. “We have been knowing, of course, that there was corruption. It’s not that we expected anything else. But the sheer wastefulness of it, where a person steals money to go and buy a string of Lamborghinis and all the other luxuries cars you can ever get in the market … what do you do with such cars? What type of human being are you. What are you gaining from having a string of Lamborghinis and all the other cars and properties that were being mentioned there?”
He stressed how such greed compromises lives, with hospitals turning away patients due to shortages while thieves flaunt luxuries. Motsoaledi’s words resonate in a system where overcrowding and underfunding are daily battles, made worse by this theft. Joined by officials like Deputy Minister Joe Phaahla and Gauteng leaders, the briefing showed a united front for action.
Calls for Justice: Prosecutions, Recoveries, and Reforms
The SIU is pushing civil suits to recover funds, freeze pensions, and forfeit assets back to health coffers. Collaborations with the NPA, Hawks, Financial Intelligence Centre, SAPS, and SARS aim to trace every cent. Referrals include 25 to the South African Health Products Regulatory Authority for medicines breaches and four worth R42.23 million to prosecutors.
Reforms proposed include integrity vetting, lifestyle audits (extending to families), anonymous hotlines, and stricter oversight to prevent coercion of junior staff. Political voices like the Democratic Alliance demand quick prosecutions and justice for Deokaran, calling the scandal a “shadow state” of corruption.
As the probe wraps by 2027, South Africans hope for real change—returning stolen cash to beds and meds, and holding all accountable. Motsoaledi’s call echoes a simple truth: in a crisis, stealing from the sick is beyond wrong.
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