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Hawks Arrest Businessman in R2bn Tembisa Hospital Probe

Posted on August 30, 2026
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The Hawks have arrested a 37-year-old businessman linked to alleged procurement fraud involving more than R2 billion at Tembisa Hospital in Gauteng.

The suspect was arrested at OR Tambo International Airport on Saturday after returning from a trip abroad.

He is expected to appear in the Specialised Commercial Crimes Court, sitting in the Palm Ridge Magistrates Court, on Monday.

The businessman may only be named once he has appeared in court.

Suspect linked to procurement scheme

The case involves allegations of fraud, corruption, money laundering and other contraventions.

According to the Hawks, the suspect allegedly colluded with certain Gauteng Department of Health officials to exploit procurement transactions and bypass formal tender processes.

Hawks spokesperson Katlego Mogale said the alleged scheme involved deliberately structuring transactions to avoid the normal procurement process.

The suspect is believed to have operated as a service provider.

SIU uncovered three alleged syndicates

The arrest follows ongoing investigations by the Special Investigating Unit into procurement at Tembisa Hospital.

The investigation originated from concerns uncovered by whistleblower Babita Deokaran before she was assassinated five years ago.

Last year, the SIU said three alleged syndicates had extracted more than R2 billion from the hospital.

The syndicates were allegedly linked to businessmen Stefan Govindraju, Hangwani Maumela and Rudolph Mazibuko, together with their suppliers.

Investigators found more than 4,000 transactions that were allegedly divided into amounts below R500,000.

Questionable purchases uncovered

Among the transactions identified were R40,000 spent on four plastic buckets and 2,000 hand towels purchased at R230 each.

Another transaction involved 200 pairs of jeans priced at about R2,500 per pair.

Authorities allege that splitting the payments helped avoid the formal tender process.

The latest arrest adds to the broader investigation into alleged corruption and procurement irregularities at Tembisa Hospital.

The businessman is expected to face charges related to fraud, corruption and money laundering when he appears in court on Monday.

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