SIU secures R42m in assets from bribes paid to Tembisa Hospital officials

The Special Investigating Unit (SIU) has made more progress in securing assets of suspects believed to be involved in the multimillion-rand looting of Tembisa Hospital.

SIU secures R42m in assets from Thembisa Hospital corruption

On Sunday, the SIU announced it had secured around R42.4 million in cash, properties, pensions and investments linked to bribes allegedly paid by businessman Stefan Joel Govindraju to officials at the hospital. The bribes are thought to total R100 million.

The anti-corruption body added that the alleged bribes paid by Govindraju are suspected to have secured procurement deals worth around R600 million.

Govindraju was arrested in August and granted R200 000 bail.

Then, on 31 August, the Hawks arrested a man at OR Tambo International Airport. He is facing charges related to fraud, corruption and money laundering at Tembisa Hospital.

In May, the SIU also secured a luxury Midstream Estate property and pension funds belonging to a former supply chain official at the hospital.

The latest action by the SIU comes after it was granted a preservation order by the Special Tribunal last month regarding Tembisa Hospital operational manager Zacharia Tshisele and his two wives. This was to prevent “the disposal of assets belonging to Mr Zacharia Tshisele, his civil wife Phumudzo Tshisele, his customary wife Fulufhelo Lineth Tshililo, and entities and associates connected with them”.

“The order also restrains payments and dealings by companies and individuals implicated in the corruption network, including Joseph Fhumulani Muthaphuli and Ernest Monnakgotla, former area manager at Tembisa Hospital and a member of the hospital’s quotation adjudication committee. Tshisele and Monnakgotla allegedly worked together to siphon funds from Tembisa Hospital’s coffers into two major syndicates,” it said.

The SIU said that the Special Tribunal order also froze Tshisele’s pension valued at almost R1.1 million as well as two properties in Kempton Park (R1.3 million) and Boksburg (R820 000).

Tshisele linked to two syndicates

According to the SIU, Tshisele is linked to two of the three syndicates operating at Tembisa Hospital.

“The first being the Govindraju syndicate, run by Mr Stefan Joel Govindraju, which used 75 companies to trade with the hospital and received approximately R600 million.

“The second being the Mazibuko syndicate, operated by Mr Rudolf Mduduzi Mazibuko, which used 17 companies to trade with the hospital and received approximately R283 million. Both syndicates relied on corrupt cooperation from hospital officials, including Tshisele and Monnakgotla, to facilitate unlawful procurement,” it said.

The Tembisa Hospital corruption allegedly linked to Zacharia Tshisele. Picture: Supplied/SIU

It added that Tshisele manipulated supply chain processes in 2017 while he was operational manager of the hospital’s theatre to enable payments to companies linked to the syndicates.

“He was directly involved in transactions worth approximately R15.9 million, each kept below the R500,000 threshold to avoid competitive bidding. These transactions were often unnecessary, undelivered, or only partially delivered.”

What the illicit funds were spent on

The SIU said the funds received from the Govindraju syndicate were channelled through a company called Create 10, which was co-directed by Tshisele, Monnakgotla and Muthaphuli. It said the money was used for properties, mining ventures and a film project. More than R1 million was even put into the bank account of Tshisele’s young daughter.

“Tshisele and Monnakgotla invested R17.5 million in Manngwe Mining and Solmag Mining, while R15.5 million was advanced through Time Bomb towards the production of a movie titled ‘The Bad Bishop’. Notably, R1.5 million was transferred into the account of Tshisele’s nine-year-old daughter.”

The SIU said Tshisele committed in 2025 to repay money to the SIU and has so far paid R13 530 894.