Motsoaledi suspends three officials arrested for fraud and theft.

By Lehlohonolo Lehana.

The National Department of Health’s Director-General, Dr Sandile Buthelezi, has been placed on precautionary suspension following his arrest on charges of fraud and theft.

Fullview learnt that Buthelezi’s suspension will continue until his criminal cases are completed or his contract ends.

In the interim, health minister Aaron Motsoaledi has appointed Professor Nicholas Crisp, deputy director-general for National Health Insurance, as acting director general for a period of three months.

Buthelezi, Deputy Director-General Dr Malixole Mahlathi and Chief Financial Officer Phineas Phaswa Mamogale appeared in the Pretoria Specialised Commercial Crimes Court last week and were released on bail of R10,000 each.

They are all facing two counts of fraud and theft, while Buthelezi faces an additional charge of contravening the Public Finance Management Act.

“All officials affected by the decision have been formally notified of their suspensions,” Motsoaledi said.

On Wednesday, 4 March 2026, when Motsoaledi appeared before the Portfolio Committee of Health to provide a briefing on the case implicating the three officials, he noted that “we also saw on Monday [2 March] for the first time that there are officials in my department who were arrested”.

According to Motsoaledi, the court had informed his legal adviser that the three officials could communicate with the minister, but would have to apply to the court for permission to perform any duties related to health.

The case against Buthelezi, Mamogale and Mahlathi is linked to their alleged involvement in the irregular appointment of two service providers, Ithani Amen (PTY) Ltd and N Mbileni J Tohlang-Nkopane Inc, in a labour-related matter between 30 August 2023 and 28 September 2023.

One of the service providers, Nokuzola Mavis Mafunda, representing the company Ithani Amen, appeared before the Pretoria Specialised Commercial Crimes Court on 5 March 2026.

The case has been postponed to 3 June 2026 for further investigations and the appearance of all four accused in the matter.

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