R708 million irregular hospital security contracts in Gauteng

29 March 2023

R708 million is spent irregularly every year on security contracts for Gauteng hospitals.

This was admitted by Gauteng Health MEC Nomantu Nkomo Ralehoko in an oral reply to my questions at yesterday’s sitting of the Gauteng Legislature.

She said the security contracts are rolled over irregularly as only service level agreements are used to manage them, and two previous tenders were advertised and cancelled due to irregularities and issues raised with the specifications by Probity Auditors.

I suspect there has been deliberate sabotage of the security tenders as politically connected people likely benefit from the existing contracts.

These contracts are poor value as there have been major thefts at hospitals like Charlotte Maxeke Johannesburg and Chris Hani Baragwanath.

They were last advertised and awarded in November 2014 and were supposed to expire two years later, but have been extended on a month-by-month basis despite annual warnings by the Auditor-General that it is irregular expenditure

The MEC has expressed dissatisfaction with the lack of fixed-term security contracts, and has indicated that a new security tender will be advertised and awarded early in the 2023/24 financial year.

The DA will closely monitor the award of the new security contracts to ensure they are cost-effective and go to competent companies that will protect our hospitals.

Issued by Jack Bloom, DA Gauteng Shadow MEC for Health, 29 March 2023