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Friday, 11 October, 2024
HomeNews UpdateHealth DG probed after R500 000 bribery allegations

Health DG probed after R500 000 bribery allegations

Allegations that Dr Sandile Buthelezi, director-general of the National Department of Health, used health employees, contractors and companies to solicit and conceal a R500 000 bribe, are being investigated by the Hawks.

The National Prosecuting Authority (NPA) has confirmed the docket is with its Serious Commercial Crimes Unit (SCCU).

Buthelezi allegedly masterminded the solicitation of the bribe through a web of close associates and companies to obscure the money trail, reports News24, with the cash coming from a public hospital renovation contractor Base Major.

Hawks spokesperson Brigadier Nomthandazo Mbambo said the investigation was at an advanced stage, with the docket referred to the Director of Public Prosecutions (DPP) for a decision.

While Buthelezi has refused to answer calls for comment, both the Department of Health and the Presidency have also adopted a “business-as-usual” stance, saying the high-level Hawks investigation must run its course before any action is taken, emphasising the principle of “innocent until proven guilty”.

In July, News24 reported that Buthelezi had allegedly solicited the R500 000 bribe last year from construction company Base Major, which was later appointed by the Independent Development Trust (IDT) to refurbish OR Tambo Memorial Hospital in Boksburg after it was damaged by a gas tanker blast in 2022.

A senior health employee, a key witness in the criminal case, was suspended after making protected disclosures alleging fraud and corruption. Although the department initiated disciplinary processes, they were stalled when the chairperson referred the matter to the Commission for Conciliation, Mediation and Arbitration (CCMA).

The CCMA is investigating the validity of the disclosures, and if they are determined to be valid, the disciplinary process will not proceed.

According to documents seen by News24 and sources who spoke on condition of anonymity, Buthelezi is accused of using department staff and abusing his position to orchestrate the solicitation and subsequent laundering of the bribe.

In return, Base Major was awarded the R566m hospital contract, which had ballooned by more than double by that point.

The documents allege that in July 2023, Buthelezi instructed a subordinate to solicit a bribe from a consultant working for Base Major during the tender evaluation phase for the OR Tambo Hospital contract.

About a week later, at a dinner meeting, the consultant requested that the Department of Health employees provide bank details to transfer the money.

The next day, Buthelezi provided banking details to the consultant via the now-suspended senior manager to transfer the money. The account belonged to a business based in Durban, whose name is known to News24, and was not directly linked to Buthelezi.

He also requested proof of payment once the transfer was complete.

After the payment was made, it was funnelled through another company and converted into cash. Buthelezi’s close associate, Duran Govender, or a proxy collected the money and allegedly handed it to Buthelezi. This entire process unfolded within a month and is now a focal point of the Hawks investigation.

In repose to the allegations, Govender’s lawyer, Samlal Garbaran said the matter was “sub judice, and as such, I have no comment”.

He previously said his client had fully co-operated with the Hawks and provided documents, which clearly showed his version of events.

No judgment

While the docket sits with the NPA, department spokesperson Foster Mohale told News24 that Health Minister Aaron Motsoaledi would not act against Buthelezi until the matter had been tested in court.

As “a law-abiding citizen”, the Minister believes in the principle of innocent until proven guilty.

“However, he would urge all officials identified as witnesses …to co-operate with the law enforcement authorities.”

In 2021, Buthelezi was suspended as director-general when he was implicated in the R150m Digital Vibes communication contract, given to a close associate of former health minister Zweli Mkhize.

Buthelezi was cleared of all charges three months after his suspension and reinstated.

 

News24 article – Dinner and money handovers: How health dept DG allegedly used proxies to conceal R500 000 cash bribe (Restricted access)

 

See more from MedicalBrief archives:

 

‘Whistle-blower’ seeks Hawks protection at hearing

 

Digital Vibes: Health DG Sandile Buthelezi also suspended – more to come?

 

Concerns over new SANAC chief’s controversial past

 

Health oversight committee ‘shielded’ Mkhize during Digital Vibes scandal

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