SIU Reveals Health Officials Voluntarily Returning Stolen Funds in Tembisa Hospital Corruption Scandal

Pretoria – Special Investigating Unit head Andy Mothibi has revealed that some health department officials have come forward to give back money they stole, following the release of an interim report on the Tembisa Hospital corruption scandal in September 2025. Mothibi shared this during a media briefing, noting that the officials want to avoid facing charges. This comes as the probe uncovers a massive R2 billion in fraud and corruption at the Gauteng hospital, involving syndicates and shady deals that wasted public funds meant for patient care. The scandal, which led to the tragic killing of whistleblower Babita Deokaran, has shocked many and sparked calls for quick action against those involved. With 15 officials linked to R122 million in dirty payments, the SIU’s work shows how deep the rot went, but also offers hope as some step up to make things right.

The Tembisa case highlights bigger problems in South Africa’s health system, where poor oversight has let corruption thrive, hurting services for everyday people. As the full probe wraps up by November 2027, these voluntary returns could help recover funds and build trust in government handling of taxpayer money.

Background to the Tembisa Hospital Scandal

The corruption at Tembisa Hospital came to light after Babita Deokaran, a top finance official in the Gauteng Department of Health, flagged odd payments in 2022. She was shot dead outside her home soon after, in what many believe was a hit to silence her. Her brave stand exposed a web of fraud involving tenders for medical supplies and services, where money flowed to fake or overpriced deals instead of helping patients.

The SIU stepped in after President Cyril Ramaphosa ordered a probe in August 2022. Their work found that from 2020 to 2022, over R2 billion – exactly R2,043,293,404 – went out through irregular means. This cash was meant for things like hospital gear and care, but ended up in private pockets. Spending on supplies jumped sharply during those years, from R315 million in 2018/2019 to nearly R1 billion in 2021/2022, without more patients to justify it. After the scandal broke, it dropped by 73% in 2023/2024, showing how much was wasted.

Three main syndicates, plus smaller ones, drove the theft. They used tricks like splitting big buys into small ones under R500,000 to skip full tenders, fake quotes, and front companies. This led to no real value for the hospital, with goods not delivered or overcharged.

Mothibi’s Disclosure on Voluntary Repayments

During the briefing, Mothibi said the interim report from September 2025 shook things up, leading some officials to approach the SIU to pay back what they took. He did not name them or say how much, but stressed this shows the probe’s impact. By coming clean, these folks might cut deals to avoid court, like in other SIU cases where repayments lead to lighter outcomes.

Mothibi noted the report laid out clear proof of wrongdoing, pushing those involved to act before charges hit. This fits the SIU’s goal to recover funds fast, helping put money back into health services. So far, they have frozen assets worth millions and aim to seize more through civil courts.

Amounts Involved and Implicated Parties

The probe found R122 million in corrupt payments to 15 current and former officials from the Gauteng Department of Health and Tembisa Hospital. These included kickbacks, money laundering, and bid rigging. Over 207 service providers got involved through 4,501 purchase orders, many linked to the syndicates.

The main groups were:

• The Maumela Syndicate, tied to Hangwani Morgan Maumela, with 41 providers and R816 million in reviewed deals. Assets frozen include R520 million worth, like properties and luxury cars such as Lamborghinis and a Bentley.
• The Mazibuko Syndicate, linked to Rudolph Mazibuko, with R283 million in bundles and R42 million in assets, including homes in the Western Cape and Gauteng.
• Syndicate X, with R596 million in deals and R150 million in assets, using fake fronts and laundering.
  Smaller syndicates A to F handled payments from R3 million to R76 million each. Many providers were fronts, sharing directors or using the same tricks to win work without delivering.
  Deokaran’s alerts focused on these odd patterns, like quick approvals for big sums to new firms. Her death in August 2022 sped up the probe, leading to arrests and charges for some, including six for her murder.
  SIU Recommendations and Ongoing Actions
  The interim report called for big changes to stop future theft. It pushed for officials of good standing with strict checks and lifestyle audits. It also urged safe ways for whistleblowers to speak up without fear, and clear rules to punish wrongdoers.
  The SIU has referred:
• 116 disciplinary cases against 13 officials for bad admin and irregular hires.
• Four matters to the National Prosecuting Authority for corruption worth R42 million.
• 25 cases to the South African Health Products Regulatory Authority for breaking medicine laws.
  They work with police, the Hawks, and tax officials to chase leads. Civil suits aim to grab assets for the state, while probes continue to find more links.
  These steps build on laws like the Prevention of Organised Crime Act, letting the SIU freeze and take ill-gotten gains. By getting voluntary paybacks, they speed up recovery without long trials.

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