The National Prosecuting Authority (NPA) says funds meant to purchase critical medical supplies for Tembisa Hospital were diverted to finance luxury assets and an extravagant lifestyle linked to businessman Hangwani Maumela and his associates.
According to the NPA, investigations revealed that companies linked to the so-called “Maumela syndicate” secured approximately R400 million in unlawful tenders and contracts at the Gauteng hospital. However, financial investigations found that only a small portion of the money was spent on delivering goods and services, with most of it allegedly channelled into buying luxury properties, sports cars and paying bribes.
The authority recently secured the forfeiture of luxury assets worth R360 million, describing them as proceeds of corruption. The syndicate reportedly comprises 14 companies controlled by Maumela.
NPA spokesperson Kaizer Kganyago said financial analysis showed that the diverted funds were used to acquire assets, pay bribes to officials and fund the personal lifestyles of syndicate members instead of benefiting patients through improved healthcare services.
The NPA also confirmed that investigators have identified at least two additional syndicates linked to alleged corruption at Tembisa Hospital, involving controversial businessmen Vusimuzi “Cat” Matlala and Rudolph Mazibuko.