By Lehlohonolo Lehana.
The Gauteng Department of Health (GDOH) Head of Department (HOD), Lesiba Arnold Malotana has been placed on precautionary suspension with immediate effect.
Malotana has become the first casualty within GDOH on the Tembisa hospital corruption uncovered by the Special Investigation Unit (SIU) investigations.
The Tembisa scandal came into the national spotlight after the assassination of whistle-blower Babita Deokaran in August 2021.
Last week, the SIU raided the Sandton home of businessman Hangwani Maumela seizing high-end vehicles and artworks as part of an R820 million asset recovery operation linked to corruption at Tembisa Hospital.
“The SIU confirms an operation took place at a Sandhurst home linked to our Tembisa Hospital investigation. This operation is part of implementing the SIU’s investigation outcomes and consequence management. We will communicate further once the legal processes have been finalised,” SIU senior communications manager Ngwako Motsieng said.
The Gauteng government reaffirmed its support for the work done by the SIU and other law-enforcement agencies.
“This action taken by the premier is part of an ongoing assessment of officials — the work they do, the monitoring of targets as well as their conduct, “spokesperson Elijah Mhlanga said.
“As a province, we remain committed to upholding the highest standards of accountability and ethical leadership and, at the same time, we remain steadfast in our commitment to root out maladministration.
“We will continue to monitor the work done by our senior officials and, as and when the need arises, action will be taken.”
Premier Panyaza Lesufi has appointed Dr Darion Barclay, the current head of the Gauteng Department of Cooperative Governance and Traditional Affairs, as acting head, added Mhlanga.
Malotana was appointed acting head of the Gauteng Department of Health and Wellness in April 2023. When his appointment became permanent in mid-2024 it was met by significant backlash from the Democratic Alliance (DA) and the Portfolio Committee on Public Service and Administration.
SIU released an in interim report, in which investigations uncovered three syndicates responsible for over R2 billion in losses at the hospital.
Maumela a nephew of president Cyril Ramaphosa, scored at least R415 million contracts awarded by the hospital.
The Maumela Syndicate is linked to Hangwani Morgan Maumela. The SIU has examined 1,728 procurement bundles valued at more than R816-million connected to this group.
The syndicate’s assets are estimated at about R520-million, encompassing luxury vehicles, including Lamborghinis and Bentleys, and prime real estate across several provinces. Notable properties include a R75-million estate in Bantry Bay, Cape Town, and residences in Gauteng and KwaZulu-Natal. The National Prosecuting Authority (NPA) Asset Forfeiture Unit has successfully preserved several of these assets.
Connected to Rudolph Mazibuko, this syndicate was responsible for irregularities in 651 procurement bundles worth approximately R283-million. According to the SIU report, the Mazibuko Syndicate holds assets valued at more than R42-million, including multiple properties across Gauteng and the Western Cape.
Syndicate X remains under active investigation, linked to 1,237 procurement bundles valued at nearly R596-million. The SIU has uncovered evidence of sophisticated money laundering schemes using secondary conduit bank accounts to mask the illicit flow of funds. Assets connected to Syndicate X are estimated at about R150-million.
The report also highlighted sophisticated money laundering operations built into the procurement system. Funds intended for essential healthcare goods and services were rerouted through false invoices and secondary conduit accounts, effectively masking the financial trail.
These irregular appointments and payments were closely linked to officials within the GDOH and management at the hospital.