INTRODUCTION

On 21st of April 2020 ,President Cyril Ramaphosa announced an extraordinary

corona virus budget of R500 billion. This funding came from internal sources such
as the Unemployment Insurance Fund (UIF) and Ramaphosa said discussions had
begun with International Financial Institution such as World Bank and
International Monetary Fund. R500 bn makes up 10% of the gross domestic
product (GDP). The priority for this money was health, the poor and the most
vulnerable catered for in a range of measures that include an increase of social
grant and billions of rands in subsidies for business and wages. However things
took a turnover when R500bn of the country was claimed to be stolen and a
Special Investigating Unit was ordered to investigate starting on the 3 rd of July
2020. The investigation include cases of dodgy food parcels, UIF covid-19 and PPE
procurement services. Approximately 90 companies that were awarded tenders
within the Gauteng Health Department were investigated as anti-corruption
investigators are probing a slew of allegations that are scrupulous officials and
businesses benefited from billions meant for fight covid-19.
THE PPE SCANDALS IN THE DEPARTMENT OF
HEALTH IN GAUTENG
A Gauteng Health Department official linked to the personal protective
equipment (PPE) procurement scandal has this week been suspended.
Premier David Makhura said that his department received information from the
Special Investigating Unit (SIU). He said that the SIU flagged two officials, who
allegedly enabled and facilitated procurement corruption.
One has since resigned, while the other official was suspended with immediate
effect on Friday.
The Sunday Times meanwhile, reported that supply chain chief director Thandi
Pino and the health department’s former chief financial officer, Kabelo Lehloenya
were named by the SIU as being allegedly behind the irregular awarding PPE
contracts.
One of these contracts was reportedly worth R125 million and was allocated to
Thandisizwe Diko, the husband of president Cyril Ramaphosa’s spokesperson
Khusela Diko.
Khusela Diko has since taken leave while the matter is investigated, while health
MEC Bandile Masuku has also been placed on leave – reportedly due to fears that
his wife’s friendship with the spokesperson could have had an influence over the
awarding of the contract.
A presentation has been prepared for premier Makhura by the provincial
treasury’s audit services which reportedly reveals the following:
 R4.5 million was paid to companies that did not supply any goods.
 R5 million was paid to companies to deliver PPE even though the
department had not contracts with them.
 R12 million worth of goods were delivered before the issue of purchase
orders.
 R82 million worth of goods were ordered from companies that were not
registered with the Treasury’s central supplier database.
  R239 million worth of goods and services were ordered from companies
that were not tax-compliant and whose bank accounts had not been
verified.
The premier said provincial government, together with the SIU, is pursuing a legal
and criminal case.
Several companies employed to supply PPEs are being investigated for possibly
inflating prices or other unethical practices, the premier said.
Makhura said they are moving swiftly in rooting out the rot and are dealing with
corruption allegations that have besieged the province.
“The damning allegations of corruption regarding the procurement of PPE in
Gauteng have profoundly eroded public confidence in the collective work of our
provincial government in the fight against Covid-19,” he said.
An internal investigation into the e-Government Department for irregular
procurement is underway, with a contract already having been cancelled .

Meanwhile, the premier and 10 MECs will subjecting themselves before the State
Security Agency for a lifestyle audit, Makhura said.
City Press reported that millions of rands in PPE tenders have been awarded to
companies and individuals tied to ANC secretary general and former Free State
premier, Ace Magashule.
Earlier reports showed that Magashule’s sons were also awarded tenders to the
value of R2.7 million after the provincial treasury decided to centralise Covid-19
supply procurement.
Magashule said in an interview with News24 this week, that there is no law that
prohibits this.
“Tell me of one leader of the ANC, who has not done business with government…
you are looking at [just] government; [other] people are working with banks,” said
Magashule.
“If the law is made for all of us and everybody, I will abide by such a law. Our kids
and ourselves would know that there is legislation – which bars, your children,
your family from doing business [with the state].
“If that law is passed in South Africa, I think it will assist,” he said.
Justice and Correctional Services Minister Ronald Lamola on Thursday announced
that 36 corruption-related cases are “at various stages of investigation and
prosecution”.
“Some unscrupulous individuals and companies have been looting State resources
meant to provide food to families in need and PPE to frontline officials,
particularly healthcare workers.
“Such criminal and immoral activities include inflating quoted prices, intercepting
and redirecting food parcels meant for the poor, and acts of fraud involving funds
designated for alleviating the hardships of employees and businesses affected by
the shutting down of economic activities during the national lockdown,” said
Lamola.

CONCLUSION AND REFERENCE

In addition, the money used for Cuban doctors was R493 150 656 and it all sums
up toR500 million if the accommodation is included. R4.5 million was paid to
companies that did not supply any goods. There’s also R5 million that was paid to
companies to deliver PPEs although the Department of Health in Gauteng had
issued a tender of R2 billion for PPEs. Even more money was wasted when R82
million worth of goods were ordered from companies that were not registered
with the Treasury’s central supplier database.

REFERENCES
 African News Agency
 Sunday Times
 City Press
 News24