Pretoria - Gauteng Health and Wellness MEC Nomantu Nkomo-Ralehoko has vowed to act against companies which allegedly defrauded her department after a thorough investigation into the allegations against them.
Nkomo-Ralehoko was replying to written questions asked by DA health spokesperson Jack Bloom in the provincial legislature.
Bloom asked Nkomo-Ralehoko why the 12 companies linked to Hangwani Morgan Maumela were not blacklisted since they were not compliant in various ways, including tax and registration with the SA Health Products Regulatory Authority (Sahpra) for medical products.
In her reply, Nkomo-Ralehoko said: “A company can only be prevented from doing business with the department if the matter has been investigated and if the investigation report recommends that the company must be prevented from doing business with the department.”
She said the outcome of the investigations would inform the way forward pertaining to further investigation and sanctions, including possible referrals to the SA Revenue Service, the regulator and the Special Investigating Unit.
Nkomo-Ralehoko also said that officials who had been identified at Tembisa Provincial Tertiary Hospital – who were allegedly found to have not adhered to regulations in choosing these companies for goods and services – would face possible disciplinary action, which would be instituted by the Labour Relations Directorate.
According to Nkomo-Ralehoko, similar actions would be taken against officials at the Mamelodi Regional Hospital who allegedly also did not adhere to regulations in choosing these companies for goods and services.
“Internal controls are conducting determination tests to determine if all suppliers of medical-related goods are compliant with Sahpra,” she said.
Bloom, however, expressed his disappointment at Nkomo-Ralehoko’s alleged failure to act against Maumela’s companies.
“The 12 companies are linked to Mr Hangwani Morgan Maumela, a nephew by marriage to President Cyril Ramaphosa. In her previous reply, Nkomo-Ralehoko said ‘none of the listed companies have SA Health Products Regulatory Authority (Sahpra) approval for the sale of medical products’, and she blamed ‘inadequate processes and oversight’.
“The companies got R36 million from Tembisa Hospital last year, among many payments that murdered Babita Deokaran identified as ‘possibly fraudulent’,” he said.
Bloom said Maumela had been identified as a central figure in the Tembisa Hospital purchases that Deokaran flagged, and he was reported to have ties with Bejani Chauke, who is President Cyril Ramaphosa’s chief political adviser.
“My view is we don’t need to wait for the conclusion of a lengthy investigation as it is already admitted that the companies were not compliant in various ways and should not have got the contracts.
“A quick scrutiny shows outrageous overcharging, e.g. Tembisa Hospital paid R456 960 for 50 stainless steel kidney dishes. This amounts to more than R9 000 a dish.
“Another example is 50 flat-bottomed round bowls bought for R496 555,” Bloom said.
He said the price gouging should surely disqualify companies from any further contracts, saying the hospital patients suffer most when huge amounts of money are wasted on fishy companies that grossly inflate the prices of goods.
“I will continue to press for a freeze on all new contracts with non-compliant companies that charge rip-off prices,” Bloom said.
Pretoria News