NHI tender scandal: Investigators probe inflated contracts

The health department has escalated allegations of inflated NHI advertising contracts to the Special Investigating Unit (SIU), the Auditor General, and the Public Protector.

The move comes after media reports last week that contracts ballooned from as little as R1620 to R146 million, allegedly draining funds from HIV/AIDS and other essential programmes. The reports sparked public outrage and comparisons to past corruption scandals in the health sector.

However, health department spokesperson Foster Mohale said the allegations must be tested by independent investigators.

“We welcome the involvement of neutral institutions. This matter cannot be settled through press statements and counter statements. We want the truth established beyond doubt,” he said.

Call for investigations

Mohale dismissed the figures as implausible, adding “that the state does not even issue tenders for such small amounts.”

Health Minister Dr Aaron Motsoaledi is on sick leave, he and Deputy Minister Dr Joe Phaahla jointly endorsed the call for investigations, saying the allegations attempt to link them personally to corruption.

Both acknowledged knowing KMTV Media owner Khathu Mamaila for decades due to his journalism career, but denied any improper relationship.

Allegations

The allegations echo concerns raised in past scandals, including the Tembisa Hospital looting, which left the public highly sensitive to corruption claims.

Mohale acknowledged this, but said investigations should be thorough and free of interference.

The department said acting Director General Nicholas Crisp is already probing irregular staff appointments and procurement flagged by the Auditor General and the Public Service Commission.

The department believes some individuals under investigation may be attempting “pre emptive action” by leaking selective documents.

“We believe some of these so called whistleblowers are trying to shield themselves from accountability. That is why independent scrutiny is vital,” Mohale said.

Health communication

Mohale stressed that the contracts were not solely for NHI promotion but covered broader health communication campaigns.

“These adverts are critical to fight HIV/AIDS, TB, malaria, smoking, alcohol abuse, diabetes, and cancer. Companies spend billions advertising harmful products. We cannot fold our arms while diseases are being sold to the public. Health communication is not a luxury, it is a necessity,” he explained.

“It is far more expensive to sit back and allow people to get sick than to invest in prevention,” he added.