Fishy companies still getting contracts at Gauteng hospitals

16 October 2023

Despite pledges that fishy companies implicated in the Tembisa Hospital corruption would be blacklisted, at least four companies that the SIU is investigating have received contracts worth R1.2 million in the last three months.

This is revealed by Gauteng Health and Wellness MEC Nomantu Nkomo-Ralehoko in a written reply to my questions in the Gauteng Legislature.

The four companies are all linked to Johannesburg businessman Paul Mojalefa Mokoena, who is also associated with companies irregularly awarded contacts at Tembisa Hospital which murdered whistleblower Babita Deokaran wanted to stop.

According to the MEC, there were irregularities in all the contracts awarded to Mokoena's 14 companies, and none of them are registered with the SA Health Products Regulatory Authority (SAHPRA).

Last month she responded to the blacklisting call by the "Justice for Babita" petition that “Blacklisting can only be done after the outcome of the investigation; however, measures have been put in place to ensure there is no re-occurrence and not to procure to the affected companies.”

But in the list of payments given in reply to my questions on the Mokoena-linked companies, the following recent contracts were given:

- Meiday Trading and Projects got 7 contracts worth R447 000 on 14 August this year to supply meat to the Sebokeng Hospital.

- Oneall Distributors got 7 contracts on 21 July to supply meat to Sebokeng Hospital for a total cost of R482 150. On 17 August they got a R360 000 contract to supply diesel, and two contracts to supply fish costing R432 200 to Tambo Memorial Hospital.

- Malito got 6 contracts on 14 September to supply 41 pairs of shoes costing R38 950 to Tambo Memorial Hospital.

- The Mafahla Group got 5 contracts on 19 July to supply milk products costing R170 936 to Sebokeng Hospital, and on 14 August got 2 contracts worth R63 000 to supply surgical materials to Pholosong Hospital.

It is outrageous that these companies, which are being investigated for alleged bid-rigging, are still getting contracts. They were all awarded by hospital CEOs on a request for quotation basis as they are under R1 million.

The DA calls for effective measures to immediately halt contracts to the 224 companies implicated in vile corruption that steals money needed to fix our ailing hospitals.

Issued by Jack Bloom, DA Gauteng Shadow Health MEC, 16 October 2023