HomeHealth governanceHealth Department staff probed over R800m oxygen tender

Health Department staff probed over R800m oxygen tender

Three Health Department officials are being investigated in connection with the awarding of the R800m Pressure Swing Adsorption (PSA) Oxygen Plant tender from the Independent Development Trust (IDT), reports IOL.

Responding to parliamentary questions from EFF MP Moshome Patrick Motubatse, Public Works and Infrastructure Minister Dean Macpherson said his department had extended the scope of the investigation into allegations of serious maladministration, fraud and corruption after a request by Health Minister Aaron Motsoaledi to scrutinise his officials’ role in the tender, managed by IDT on behalf of Health.

Macpherson added that although the officials don’t fall into the jurisdiction of his department, the investigation was ongoing through consultations with and support from Motsoaledi and his staff.

“At this stage three officials have been identified, but this is preliminary and may change as the investigation progresses.”

Allegations thus far are non-compliance with procurement processes, deficiencies in oversight and accountability, as well as weakness in governance and record-keeping practices.

“The anticipated timeline for completion is currently mid-June, subject to outstanding documentation and completion of remaining interviews,” Macpherson added.

The initial investigation by audit firm PriceWaterhouseCoopers (PWC) into the tender had uncovered irregularities in the IDT’s contract awarding practices, implicating several of its staff.

No officials from the Health Department had been linked because the investigation did not focus on their role in the awarding of the tender.

DA MP Michelle Clarke previously asked whether Motsoaledi’s department was investigating a specific official in connection with the case, and he had said that PWC had only investigated IDT staff: Macpherson told him Health DG Sandile Buthelezi was interviewed by the investigators, but they did not make any recommendations about him.

Motsoaledi had subsequently asked Macpherson to request PWC to extend their investigation to include all officials from the Health department who were involved in the issue.

 

IOL article – Investigation launched into three Health Department officials over R800 million tender irregularities (Open access)

 

See more from MedicalBrief archives:

 

Previously-red-flagged firms score new oxygen tender contracts

 

Dodgy R836m oxygen plants deal cancelled

 

Forensic report exposes extent of state hospital oxygen tender fraud

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