The MK Party has called for the resignation of South Africa's Health Minister, Aaron Motsoaledi, amid allegations of procurement irregularities and the diversion of funds from critical healthcare programmes. According to reports, over R180 million was spent on communication contracts linked to the National Health Insurance (NHI) and other health campaigns. The party also demands a nationwide parliamentary inquiry into health procurement.
The Department of Health reportedly paid R146.4 million to KMTV Media and R35 million to Dots Design Agency. MK Party spokesperson Sifiso Mahlangu alleged that R103 million was taken from the primary healthcare GP contracting grant, intended to place doctors in rural and under-serviced public clinics. Instead, R65 million was ringfenced for advertising and billboards, while other funds were allegedly taken from programmes dealing with HIV/Aids, tuberculosis, child and youth school nutrition, and health promotion.
The MK Party questioned the procurement process used under tender NDOH 36/2023-24, alleging that bidders were appointed at R1,620 per transaction without a financial cap. Subsequent payments included invoices of over R4 million and purchase orders worth R52 million. Mahlangu also questioned the involvement of departmental spokesperson Foster Mohale, alleging that he chaired the tender committee that awarded the work and later signed delivery notes and authorised payments to the service providers.
The Department of Health has referred the allegations to the Special Investigating Unit (SIU), Auditor-General, and, if necessary, the Public Protector to establish the facts. The department has rejected claims of fraudulent activity in the contracts. Motsoaledi and Deputy Minister Joe Phaahla have backed the referral. Mohale said the independent institutions should investigate the allegations.
The Portfolio Committee on Health has noted the allegations and said it would consider inviting the department to brief MPs on the contracts and the steps being taken to establish the facts. AfriForum has also raised concerns about the reported spending, saying it reinforced its opposition to the NHI. The organisation said the reported R182 million expenditure raised questions about how a much larger NHI fund would be managed if the system were implemented.
AfriForum spokesperson on health Louis Boshoff said the reported spending supported the organisation's concerns about possible corruption and mismanagement under the NHI. Boshoff questioned the need to spend money marketing the NHI, saying that the only way the system should be 'marketed' is by providing people with quality healthcare. AfriForum said investigations should be completed before any malpractice is confirmed, but argued that the need for investigations was itself concerning.
The MK Party wants Motsoaledi to resign and is calling for Parliament to investigate procurement across the National Department of Health and all nine provincial health departments from 2019 to date. Mahlangu also called for the Hawks and SIU to freeze active payments to KMTV Media and Dots Design Agency and investigate officials who approved the purchase orders.
Key points
- The MK Party demands Health Minister Aaron Motsoaledi's resignation over alleged procurement irregularities and diversion of funds from critical healthcare programmes.
- Over R180 million was spent on communication contracts linked to the National Health Insurance (NHI) and other health campaigns.
- The Department of Health has referred the allegations to the Special Investigating Unit (SIU), Auditor-General, and, if necessary, the Public Protector.
