ANC First Deputy Secretary-General Nomvula Mokonyane's daughter, Katleho Mokonyane, and her business partner, Bonelela Mgudlwa, have been ordered to pay millions earned from unlawful Covid-19 PPE contracts awarded by the Mpumalanga Department of Health.
Image: Timothy Bernard / Independent Newspapers
The daughter of an ANC veteran and her business partner have been ordered to return more than R14 million from the controversial Covid-19 contracts awarded by the Mpumalanga Department of Health in 2020.
This is after the Special Tribunal last week ordered Katleho Mokonyane, who is the daughter of ANC First Deputy Secretary-General Nomvula Mokonyane, and her business partner, Bonelela Mgudlwa, to return the millions after the Special Investigating Unit (SIU) secured a preservation order against their company, Tark Group Pty, formerly known as Tuwo Rhodesia.
The SIU argued that the tender was awarded irregularly and that Katleho and Mgudlwa were involved in suspicious financial transactions related to the contracts.
The investigating unit also argued that the process unlawfully deviated from the mandatory transversal contract, and bypassed the internal bid committees and involved a supplier that was not accredited a licence from the South African Health Products Regulatory Authority (SAHPRA) to distribute medical services.
The department allegedly received quotations from Tark Group alone, and there was no Bid Evaluation Committee (BEC) or Bid Adjudication Committee (BAC) as required by the Public Finance Management Act (PFMA).
Mgudlwa is a lawyer and a member of the AbaThembu royal family. He gained significant public attention in 2025 following his marriage to renowned South African broadcaster Anele Mdoda.
Mgudlwa and Katleho have a child together and were previously engaged.
The two were awarded two contracts - one for the procurement of 60,000 surgical masks and the other for the procurement of medical jumpsuits.
The Health Department paid R13,297,500.00 for the jumpsuits and R1,080,000.00 for surgical masks.
The Special Tribunal found that Katleho and Mgudlwa acted fraudulently and dishonestly to secure the contracts.
The two are represented by Mtshabe Attorneys in the matter.
Asked what the way forward is following the ruling, Lithalethu Mbeka, an attorney at Mtshabe Attorneys, said the matter has been handled in Mthata, the Eastern Cape. Questions were also sent to Ntsikane Mtshabe, who is handling the matter, and he could not respond at the time of publication.
The SIU also argued that Katleho and Mgudlwa failed to disclose a material conflict of interest.
Mgudlwa allegedly failed to disclose his links to the South African Airways, as he was previously employed by the SAA Express Airways, while Katleho failed to disclose that she is Mokonyane’s daughter.
According to the SIU, these relationships created a potential conflict of interest.
The Mpumalanga Department of Health did not oppose the application and filed notices to abide by it.
In their defence, Katleho and Mgudlwa stated that no statutory requirement existed for their company to hold a SAHPRA licence.
They argued that the non-disclosure of interest did not affect the procurement outcome.
“The goods were delivered, accepted, and utilised,” they argued.
“Their quality and value are not disputed, and the review was instituted years after full performance. Our courts do not permit the state to retain the benefit of performance while recovering the price,” read the court papers.
Special Tribunal Judge David Makhoba, who delivered his judgment on March 25, said in his view, Tribunal rules do not prescribe time periods for the issue of process from the date of alleged delinquency nor finalisation of investigation.
He further explained that this is not a case of non-compliance within a time period envisaged by the Tribunal rules.
“There are no time periods legislated,” he said.
Makhoba added that Katleho and Mgudlwa failed to dispute that the process was characterised by multiple irregularities.
“I am therefore of the view that the contracts in both matters are constitutionally invalid and void ab initio. The contracts in both matters are reviewed and set aside,” he said, saying the duo must also pay the costs of applications, including the SIU legal representatives.
Earlier in 2022, the same company was implicated in a R2.7 million soap tender for the Gauteng Health Department, which was found to be overcharged by more than R1.1 million.
The SIU report, released in January 2022, revealed that Mokonyane, who is also a former Cabinet minister, paid R1.6 million from her personal account on behalf of the privately-owned company to supply the department with 200,000 soap bars.
manyane.manyane@inl.co.za