Health
1Min
South Africa
Nov 15, 2025
The Gauteng Health Department has confirmed that none of the suppliers implicated in the R2 billion Tembisa Hospital corruption scandal have been blacklisted, a gap critics warn allows companies tied to fraudulent contracts to continue doing business with the state.
The Gauteng Department of Health has admitted that not a single supplier linked to the R2 billion Tembisa Hospital corruption scandal has been blacklisted, despite a sweeping investigation that uncovered widespread manipulation of procurement systems and the involvement of multiple criminal syndicates.
More than 200 companies were flagged by the Special Investigating Unit for allegedly benefiting from a network of fraudulent contracts engineered through the hospital’s procurement office.
The SIU found that three major syndicates, the Maumela group, the Mazibuko network and another referred to as Syndicate X, colluded with officials to split purchase orders and intentionally keep them below R500 000 to evade formal tender processes.
Yet the department says it lacks the legal authority to blacklist the implicated suppliers, explaining that only National Treasury can impose such sanctions. This limitation has drawn sharp criticism from civil society and opposition parties who argue that it leaves the state exposed to continued financial abuse while undermining public trust.
The scandal’s impact is already visible inside the hospital. Staff have reported shortages of medicine and food supplies, with many linking the crisis directly to the billions siphoned away from essential patient services.
