Former head of the North West Department of Health, Dr Andrew Lekalakala, was arrested on fresh charges of fraud amounting to R49 million.
The charges relate to the building of the Moses Kotane Hospital in Ledig outside Rustenburg and the Joe Morolong Hospital in Vryburg.
The Directorate for Priority Crime Investigation (known as the Hawks) arrested Lekalakala, 58, the former head of department (HOD), and his co-accused, Joseph Leshabane, 61, in Mahikeng on Monday.
They appeared in the Molopo Magistrate's Court in Mmabatho on Tuesday. Their case was postponed to January 31, for further investigations.
“Lekalakala is facing two charges of contravening the Public Finance Management Act (PFMA) and two of fraud, and he was granted R10,000 bail,” National Prosecuting Authority spokesperson in the North West division Henry Mamothame said.
“Leshabane is charged with his company, Raliform Investment, on six counts of fraud amounting to over R49 million, and he was granted R50,000 bail.”
He said their matter was linked to the case of Lydia Keneilwe Sebego, 63, former HOD at the North West Department of Health, Vuyo Mbulawa, 54, chief director at the North West Department of Health, and Roulgh Lotwane Mabe, 69, a service provider.
The three appeared in the Molopo Magistrate's Court on Friday. Sebego, who is also the former director-general of the North West provincial government was granted R10,000 bail, Mbulawa R20,000 and Mabe R100,000.
Sebego is facing two charges of Contravening the Public Finance Management Act, Mbulawa is facing ten charges of fraud, and Mabe is charged with six counts of fraud.
During the years 2008 to 2009, the North West sought to build two hospitals in Ledig [Moses Kotane Hospital] and Vryburg [Joe Morolong Hospital].
A tender was subsequently awarded to MR Property (Pty) Ltd, a company belonging to Mabe.
Mamothame said the charges against the two former heads of department relate to Service Level Agreements that were signed between the two companies and their directors on services that needed to be rendered to the two hospitals.
The services were not rendered, while these companies allegedly submitted fraudulent invoices, which were paid by the department after being authorised by Mbulawa.
“This allegedly led to a loss of over R86 million to the Department of Health, paid to Mabe’s company, and over R49 million paid to Leshabane’s company,” Mamothame said.
“The State’s evidence further reveals that the two HODs signed the Service Level Agreements, while they knew that the two companies were not compliant and did not meet the requirements.”
Dr Lekalala has a separate pending case, where he is charged with two counts of fraud and one of contravening the PFMA.
He allegedly fraudulently awarded a contract for sourcing mobile clinics to Mediosa Health, a company linked to the Gupta family.
He is out on R5,000 bail. He is expected to appear in court on February 12, for further trial.
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