Health Officials in North West Suspended Over Tender Irregularities

The North West province’s Department of Health has suspended four senior officials over allegations of tender irregularities, one of which amounts to almost R11 million.

Two suspensions relate to a building contract at the Mmbatho Nursing College, the other two to a security contract whose financial loss is still being calculated.

Two senior officials, including the department’s chief financial officer and a director responsible for supply chain management, were suspended on 8 May, due to allegations of irregularities in a security tender, according to Health MEC Madoda Sambatha. The other two were suspended on 23 April because of allegations of irregular payments of department funds arising from a bid for additions and alterations to Mmabatho Nursing College.

“The value estimated on this one amounts to R10,959,472, excluding VAT of adjustment/ escalation. This followed a preliminary investigation,” Sambatha said of the nursing home tender at a media briefing on Wednesday.

The principal building agreement for construction at Mmabatho Nursing College began on 2 November 2015. It is alleged that actions by the officials resulted in the contractor “receiving undue enrichment in payments.”

As for the security contract, he said, the letter appointing the successful bidders allegedly contained prices that differed “materially” from the actual bid, “causing the department serious financial loss. The value of the financial loss is not yet known, as investigations are to start after their suspension.”

– SAnews.gov.za