Blacklist firms that defrauded Gauteng government: call

GAUTENG Health and Wellness MEC Nomantu Nkomo-Ralehoko has vowed to act against companies that allegedly defrauded her department after a thorough probe of the allegations.

She was replying to written questions 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, including tax and registration with the SA Health Products Regulatory Authority (Sahpra) for medical products.

In reply, Nkomo-Ralehoko said: “A company can only be prevented from doing business with the department if the matter has been investigated and the report recommends such.”

The outcome of the investigations would inform the way pertaining to sanctions, including possible referrals to the SA Revenue Service, the regulator and Special Investigating Unit.

Nkomo-Ralehoko also said officials 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 instituted by the Labour Relations Directorate.

Similar actions would be taken against Mamelodi Regional Hospital officials 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.

But Bloom expressed 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 to sell medical products’, and 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 Ramaphosa’s chief political adviser.

“We don’t need to wait for the lengthy investigation as it is already admitted that the companies should not have got the contracts. 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 … and 50 flat-bottomed round bowls bought for R496 555,” Bloom said. Hospital patients suffer when huge amounts of money are wasted on fishy companies that grossly inflate prices.