Health Minister Aaron Motsoaledi confirmed that all the companies implicated in the Tembisa Hospital looting spree that were investigated by the SIU were involved in the distribution of medicines, medical devices, and in vitro diagnostics to third parties without a licence.
Image: Itumeleng English / Independent Newspapers
Health Minister Aaron Motsoaledi has stated that the Special Investigating Unit (SIU) has not made specific recommendations to the South African Health Products Regulatory Authority (SAHPRA) regarding companies implicated in the R2 billion looting of public funds at Tembisa Hospital.
Motsoaledi’s statement comes on the heels of an SIU report detailing a complex network of corruption, fraud, and maladministration in the hospital’s procurement processes.
He was responding to parliamentary questions from DA MP Michele Clarke, who sought clarification on actions taken by SAHPRA concerning the investigation.
The SIU, in its report released earlier this year, revealed a network of corruption, fraud, and maladministration in procurement processes at Tembisa Hospital, involving three major syndicates responsible for the looting.
The looting involved 207 service providers who traded with the hospital under 4,501 purchase orders that were found to be irregular.
The SIU said it referred 25 matters to the SAHPRA relating to the contravention of the Medicines and Related Substances Act.
“The SIU confirmed with SAHPRA that none of the Tembisa Hospital service providers were licensed to manufacture or supply medical goods and/or medicines,” reads the report.
This prompted Clarke to write to Motsoaledi to enquire about the action taken by SAHPRA regarding the cases referred to it by the SIU.
SAHPRA is responsible for the regulation of health products intended for human and animal use as well as the licensing of manufacturers, wholesalers, and distributors of medicines and medical devices.
Clarke also asked Motsoaledi about the steps he has taken to assist the relevant authorities in developing a response to the cases referred for disciplinary actions by the SIU.
In his written response, Motsoaledi said no action was required by SAHPRA except to confirm if the entities under investigation are registered with it.
“All cases received from the SIU will be referred to the South African Police Service and the National Prosecuting Authority for further action,” he said.
Motsoaledi added that the SIU has not made any specific recommendation except to inquire if the entities under investigation are indeed registered with SAHPRA to conduct their business.
He confirmed that all the companies investigated by the SIU were involved in the distribution of medicines, medical devices, and in vitro diagnostics to third parties without a licence, as contemplated in Section 22C (6) of the Medicines and Related Substances Act.
“Such companies are required to be licensed by SAHPRA before they can be involved with the distribution of such health products,” he said.
Motsoaledi requested the SIU to provide a list of individuals needing to be charged at the national level, as the matter involved officials from the Gauteng Department of Health and Tembisa Hospital.
“It might not be proper to handle their own cases or their colleagues’ cases. The SIU was warming up to the idea, but unfortunately, in terms of labour laws, disciplinary actions on matters that happen in provinces can only be conducted in the affected provinces.”
Motsoaledi added that the National Department of Health remained available to support the Gauteng Department of Health where appropriate and where the laws allow.
“However, to date, the National Department of Health has not been called upon to provide any assistance,” said the minister.
Last month, it was reported that the National Health Department wants to go after the companies that looted R2 billion in public funds at Tembisa Hospitals and has asked the SIU to start the process of blacklisting them from trading with the state.
This takes place as ActionSA has laid a complaint with the Public Protector after none of the 207 suppliers implicated in the hospital’s looting spree have been blacklisted.
mayibongwe.maqhina@inl.co.za