The General De La Rey Hospital in Lichtenburg, North West, remains in a state of disrepair four years after MIB Infrastructure was awarded a R28m contract to build a new 120-bed facility. According to a source within the department, MIB Infrastructure received an overpayment of R21m and faces allegations of securing the tender with fraudulent documents. The company maintains that the funds were legitimately earned for professional services rendered.
MIB Infrastructure's director, Malesenyo Ramaoka, claims that a substantial revision to the project's scope led to a re-evaluation and modification of their initial planning and design proposals. The company delivered initial concept designs and inception services valued at R6.9m, but the department paid for a range of services including design development, documentation, procurement, construction supervision, and project close-out.
The hospital is currently unable to admit patients and is forced to refer them to neighbouring hospitals such as Lehurutshe. In some cases, patients have lost their lives while waiting for beds elsewhere. The hospital's CEO, Gaborone Seleke, has informed health department officials about the severe strain the facility faces in providing healthcare services across the Ditsobotla District.
Earlier this year, the North West High Court declared the appointment of MIB Infrastructure unlawful, set aside the tender, and ordered that Bagale Consulting be appointed. An on-site visit revealed no signs of construction activity since MIB's 2022 appointment, despite the millions of rands already paid to the firm.
Architect Tafadzwa Mtisi has sent an email to the health department alleging that MIB Infrastructure fraudulently used his professional credentials without his knowledge or consent to secure the tender. Mtisi has since submitted a formal complaint to the South African Council for the Architectural Profession and is taking steps to protect his professional standing.
MIB Infrastructure's Ramaoka claims that the company only intended to use Mtisi's credentials as an additional member of the professional team, but was unable to conclude an agreement with him for his participation in the project. The North West health department's spokesperson, Tebogo Lekgethwane, has stated that the department is aware of Mtisi's claims and is verifying the facts.
The department has failed to explain the R28m payment to MIB Infrastructure, but Lekgethwane has stated that the question of financial recovery and the appropriate legal mechanisms to pursue such recovery will be considered on the basis of the relevant contractual, factual, and legal position. The health department was taken to court over MIB's appointment by Bagale Consulting, which won the case and was subsequently appointed to the project.
Key points
- The North West hospital project awarded to MIB Infrastructure in 2019 has stalled, with R28m already paid to the company.
- The hospital's CEO has reported that the facility is unable to admit patients and is forced to refer them to neighbouring hospitals.
- The North West High Court has declared the appointment of MIB Infrastructure unlawful and ordered that Bagale Consulting be appointed to the project.
