DailySun
Johannesburg – Authorities have confiscated assets worth approximately R47 million, which include luxury residential properties, three Mercedes-Benz vehicles, and a Land Rover owned by members of syndicates engaged in questionable tenders at Tembisa Hospital.
“Two preservation applications and orders obtained by the Asset Forfeiture Unit (AFU) of the National Prosecuting Authority (NPA) were executed against individuals in two syndicates associated with fraud and corruption at Tembisa Hospital,” stated Spokesperson Phindi Mjonondwane on Thursday, 11 September 2025.
The investigation was prompted by a critical report from Babita Deokaran, Chief Director of Financial Accounting at the Gauteng Department of Health, who was tragically murdered on 23 August 2021.
Her report highlighted suspected irregularities in the procurement processes within the Supply Chain Management at Tembisa Hospital.
Mjonondwane confirmed that the Specialised Audit Services Unit (SAS) of the National Treasury (NT) examined the payment data from Tembisa Hospital’s Basic Accounting System to evaluate all payments directed to the companies identified by Deokaran as having obtained funds unlawfully.
The SAS also scrutinized the Central Supplier Database and records from the Companies and Intellectual Property Commission to verify the registration and ownership of the implicated companies.
Furthermore, SAS sought to identify any other related companies involved in these unlawful activities and investigated payments made to these entities.
The review covered the period from April 2016 to August 2022.
The SAS confirmed the extensive corruption highlighted by Deokaran.
The SAS found that 14 entities linked to the Maumela syndicate irregularly benefited from contracts at Tembisa Hospital, with a total value exceeding R400 million.
Similarly, the SAS discovered that 18 entities associated with the Mazibuko syndicate unlawfully benefited from contracts worth over R300 million.
On 14 August 2025, the AFU secured an order for properties owned by members of the Maumela syndicate.
These properties, valued at around R326 million, include luxury homes in upscale neighborhoods and high-end vehicles such as four Lamborghinis, a Bentley, and a boat.
On 27 August 2025, the AFU obtained another order regarding properties owned by members of the Mazibuko syndicate.
This property, estimated at approximately R47 million, comprises upscale residences and luxury vehicles, including three Mercedes-Benz cars collectively valued at R10 million and a Land Rover valued at R2 million.
Mjonondwane stated that the AFU’s applications were based on forensic investigations by firms engaged to assist in probing the allegations of procurement fraud and corruption at Tembisa Hospital from January 2019 to August 2022.
“Forensic investigations revealed a plethora of irregularities in the procurement processes, exposing the manipulation in the awarding of contracts for goods and services, favoring entities connected to the syndicates,” Mjonondwane stated.
“In some instances, companies that claimed to have submitted quotes in the bidding process asserted they never actually made such submissions.
“In other cases, collaborating with syndicates, cover quoting companies were utilized to submit bids that consistently favored syndicate entities during the evaluation process.”
Mjonondwane revealed that analyses of fund flows indicated that a significant portion of the money received by syndicate entities was allocated for asset acquisition, bribing officials, and covering bidders.
Members of the syndicates channeled some of the ill-gotten gains for personal pleasures and to sustain their extravagant lifestyles.
“A mere fraction of the total amount received can be attributed to the procurement of supplies as per the contract,” the NPA spokesperson noted.
The Deputy National Director of the NPA overseeing the Asset Forfeiture Unit, Advocate Ouma Rabaji-Rasethaba, remarked, “The pursuit of justice for our country’s people continues.”
Advocate Rabaji-Rasethaba underscored that corruption adversely affects ordinary South Africans, resulting in issues such as water supply interruptions, load shedding, and inadequacies in state hospitals regarding medication and food for patients.
“When there is no water, no electricity, no textbooks, no medications, and insufficient hospital resources, we all feel the consequences,” Advocate Rabaji-Rasethaba asserted.
Advocate Rabaji-Rasethaba also commended the NT, SIU, and AFU for their commitment to concluding the investigations into this matter.
