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Health dept fraudsters face legal woes

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From left: Vuyo Mbulawa, Lydia Sebego and Roulgh Mabe, who were all released on bail in relation to the North West Health Department tender fraud.
From left: Vuyo Mbulawa, Lydia Sebego and Roulgh Mabe, who were all released on bail in relation to the North West Health Department tender fraud.

ON Tuesday, 3 October, the Molopo Magistrates Court in North West postponed the case against the former head of the Department of Health, Dr Andrew Lekalakala (58) and his co-accused, Joseph Leshabane (61), to 31 January 2024 for further investigations.

Dr Lekalakala is facing two charges of contravening the Public Finance Management Act (PFMA) and two of fraud. He was granted R10 000 bail.

Meanwhile, Leshabane along with his company, Raliform Investment, face six counts of fraud amounting to more than R49 million, and he was granted R50 000 bail. 

The two were bust by the Hawks’ serious corruption investigation and serious commercial crime investigation units on Monday, 2 October, around Mahikeng. 

According to the provincial National Prosecuting Authority (NPA), their matter is linked to the case of Lydia Sebego (63), another former head of department at the North West Department of Health, Vuyo Mbulawa (54), chief director at the North West Department of Health, and service provider Roulgh Mabe (69), who appeared in court on Friday, 29 September.

ALSO READ: Tender fraud: Accused becomes 'lawyer'

The court granted Sebego R10 000 bail, Mbulawa R20 000 and Mabe R100 000. 

The provincial NPA spokesman, Henry Mamothame, said Sebego is facing two charges of contravening the Public Finance Management Act, Mbulawa is facing 10 charges of fraud, and Mabe is charged with six counts of fraud. 

"During the years 2008 to 2009, the North West sought to build two hospitals in Ledig [Moses Kotane Hospital] and Vryburg [Joe Morolong Hospital]. A tender was subsequently awarded to MR Property (Pty)Ltd, a company belonging to Mabe," Mamothame said. 

The charges against the two former heads of department relate to Service Level Agreements that were signed between the two companies and their directors on services that needed to be rendered to the two hospitals.

The said services were, however, not rendered, while these companies allegedly submitted fraudulent invoices, which were paid by the department after being authorised by Mbulawa.

"This allegedly led to a loss of over R86 million to the Department of Health paid to Mabe’s company, and over R49 million paid to Leshabane’s company.

The state’s evidence further reveals that the two HODs  signed the Service Level Agreements while they knew that the two companies were not compliant and didn't meet the requirements.

"Meanwhile, Dr Lekalala has a separate pending case, where he is charged with two counts of fraud and one of contravening the PFMA. He allegedly fraudulently awarded a contract for sourcing mobile clinics to Mediosa Health, a company linked to the Gupta family.

"He is out on R5 000 bail, and the matter is back in court on 12 February 2024 for further trial," Mamothame said.

The Director of Public Prosecutions in the North West, Dr Rachel Makhari, together with the provincial head for the Directorate for Priority Crime Investigation, Major-General Patrick Mbotho, welcome the arrest and court appearance of the remaining suspects.

They are hopeful of the completion of investigations in order for trial to commence, and for the accused to face the might of the law.

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