Home NewsSIU Poised to Release Explosive Interim Report on R3bn Corruption Scandal at Tembisa Hospital

SIU Poised to Release Explosive Interim Report on R3bn Corruption Scandal at Tembisa Hospital

by Central News Online
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South Africa’s Special Investigating Unit (SIU) is gearing up to drop its much-awaited interim report on deep-rooted corruption, fraud and maladministration at Tembisa Hospital, a probe that has already snared over 100 officials in a web of shady deals. The release, set for Monday, 30 September 2025, comes amid fresh calls for justice in the wake of whistleblower Babita Deokaran’s brutal murder in 2021, which first shone a light on the rot.

SIU head Advocate Andy Mothibi will lead a media briefing at the hospital itself, flanked by heavyweights like Health Minister Aaron Motsoaledi, Gauteng Premier Panyaza Lesufi and MEC for Health Nomantu Nkomo-Ralehoko.  This high-level gathering underscores the gravity of findings that point to billions lost through dodgy tenders, exposing systemic flaws that have left patients suffering while syndicates cashed in.

The investigation, greenlit by President Cyril Ramaphosa in 2023, stems from Deokaran’s brave stand against procurement scams that drained public funds meant for healthcare.  As Gauteng’s chief accountant, she flagged irregularities worth R850 million just weeks before her assassination outside her Johannesburg home.  Now, the SIU’s dig has ballooned those losses to a staggering R3 billion, uncovering four criminal syndicates that hijacked supply chains for personal gain.  With contracts already axed and disciplinary steps underway, the report promises to lay bare the full extent of the mess, paving the way for asset grabs and criminal referrals to the National Prosecuting Authority (NPA). 

This interim update is a key milestone in a saga that has gripped the nation, highlighting how corruption cripples essential services like hospitals already stretched thin by staff shortages and crumbling infrastructure. As families like Deokaran’s still mourn and seek closure, the briefing could spark fresh outrage and demands for swift accountability from those at the top.

Babita Deokaran’s Tragic Legacy: The Whistleblower Who Paid the Ultimate Price

Babita Deokaran’s story is one of courage cut short. As a senior Gauteng Health Department official, she uncovered a trove of suspicious payments at Tembisa Hospital, profiling over 200 dodgy service providers linked to inflated contracts for everything from medical supplies to cleaning services.  Her report, compiled in the weeks before her death, flagged R850 million in irregular spending, urging bosses to halt payments and probe deeper. 

But on 23 August 2021, she was gunned down in a hail of bullets outside her Mondeor home, a hit that many believe was tied to her exposés. 

Three years on, her nephew summed up the family’s pain: “We feel her loss every day.”  Deokaran, a devoted aunt and ethical powerhouse, left behind a void that echoes in the ongoing fight against graft. Her sister, Renu Williams, has voiced frustration over the slow pace of justice, noting that while hitmen were jailed, the masterminds remain free.  The Hawks nabbed six suspects shortly after the killing, but the probe into who ordered the hit has stalled, with no breakthroughs despite promises. 

Deokaran’s audit was a game-changer, leading Ramaphosa to unleash the SIU in 2023 after initial internal probes fell flat. Her work vindicated the SIU’s findings, confirming a network of fraud that siphoned funds meant for patient care. Tributes continue to pour in, with groups like the Ahmed Kathrada Foundation hailing her as a symbol of whistleblowing’s risks and rewards. Her death, just days after blocking suspect payments, underscores the dangers faced by those who speak up in a system riddled with threats.
Unravelling the Syndicates: Over 100 Officials Implicated in Four Criminal Networks
The SIU’s sleuthing has exposed a chilling scale of corruption at Tembisa, with more than 111 officials tangled in four syndicates that rigged procurement for billions. These groups, operating like well-oiled machines, handed out contracts to cronies for overpriced goods and services, from sanitisers to building work, draining R3 billion from public coffers—a 250% jump from Deokaran’s initial tally.
Key players named include Stefan Govindraju, Morgan Maumela, Titus Maumela, the Mazibuko family (Rudolph and Lihle), and Sello Sekhokho, who raked in the lion’s share through shell companies. Suspended CEO Ashley Mthunzi emerges as a central figure, accused of signing off on dodgy purchase orders for 13 providers, leading to massive irregular spends. CFO Lerato Madyo also faces scrutiny, with both on precautionary leave since early 2025.
The probe uncovered 227 suspect providers, up from Deokaran’s 224, with patterns of bid-rigging, kickbacks and fake invoices. One syndicate focused on medical supplies, another on construction, while others dipped into catering and maintenance. These networks did not stop at Tembisa—tendrils reached other hospitals like AngloGold Ashanti, where refurb deals went sour, and even spilled into education and Eskom tenders.
Hawks raids on the hospital in 2023, following SIU tips, seized docs that backed these claims, leading to asset freezes and blacklisting pushes. Yet, critics like the DA’s Jack Bloom note slow progress, with some firms still not barred despite the evidence.
Systemic Failures Exposed: Procurement Weaknesses and Financial Fallout
The interim report is poised to detail how weak checks and cosy ties let corruption flourish, turning a vital tertiary hospital into a cash cow for crooks. Tembisa, serving over a million patients yearly, saw funds for essentials like beds and meds diverted, worsening shortages that hit the poor hardest.
Key flaws include bypassed tender rules, inflated prices (like sanitisers at triple cost) and ghost suppliers. The SIU found CEO approvals skipped oversight, with payments rushed despite red flags. This mess echoes broader Gauteng Health woes, where billions vanish yearly to graft, leaving clinics dry and taps empty.
Financial hits run to R3 billion, but the human cost is steeper—delayed care, lost lives and eroded trust. Premier Lesufi has vowed to honour Deokaran by pursuing every lead, with the SIU pushing for a full proclamation to widen the net.


Path to Accountability: Contract Cancellations, Recoveries and Prosecutions


In August 2025, the SIU confirmed unlawful deals scrapped and steps against culprits, with nine officials facing hearings and six suspended. Assets from fraud are targeted for seizure, aiming to claw back millions for the state. Criminal referrals to the NPA are underway, with hopes for swift charges against big fish like Mthunzi and the syndicates’ heads.
Yet, blacklisting lags, allowing some firms to bid elsewhere. EFF Gauteng has called the saga an “eye-opener,” demanding full probes into similar spots. SAFTU’s Zwelinzima Vavi urges arrests for Deokaran’s killers, tying it to wider graft fights.

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