A fourth suspect appeared in the Specialised Commercial Crimes Court in Pretoria on Wednesday on charges of fraud and theft linked to the alleged misappropriation of more than R1 million in National Department of Health funds intended for COVID-related activities.
Nokuzola Mafunda is reported to have been the service provider who received the funds that were allegedly improperly awarded in 2023 in contravention of the Public Finance Management Act. Her company has also been charged as the fifth juristic person as the funds were paid to the company.
Mafunda’s arrest follows the appearance of three senior health department officials in the same court on 2 March.
Dr Sabelo Siyabonga Sandile Buthelezi (55), director-general, Dr Malixole Mahlathi (67), deputy director-general for tertiary health and hospital services and subsequently acting head and deputy director-general for corporate services, and Mr Phineas Phaswa Mamogale (46), chief financial officer, were arrested earlier this week by members of the Hawks’ National Serious Corruption Investigation.
The charges relate to the alleged improper awarding of more than R1 million to Mafunda in 2023.
All three senior officials were granted R10 000 bail each on 2 March. Mafunda was granted bail with the same conditions and will appear in court alongside the three officials on 3 June.
The Democratic Alliance said the arrest of Dr Buthelezi demonstrates that the National Health Insurance scheme cannot work in South Africa, calling it “the biggest pot of corruption feeding in decades” under the current department.
Michelle Clarke, DA spokesperson on health, called on Health Minister Dr Aaron Motsoaledi to place Dr Buthelezi on precautionary suspension whilst the investigation continues. Clarke rejected the minister’s statement that he is “in the dark about the arrest”, saying a suspension is the least he can and should do.
“Corruption in the health sector has real consequences for patients and healthcare workers. When public money is misused, hospitals suffer, services are delayed, and ordinary South Africans are left paying the price with their very lives,” Clarke said.
Mahlathi and Buthelezi were ordered to surrender their passports. All accused are prohibited from applying for new passports, interfering with witnesses, returning to their workplace, or committing other offences while on bail. They must also inform the investigating officer of any travel within South Africa’s borders.
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