Asset Forfeiture Unit Clamps Down on Tembisa Hospital Fraud Syndicate, Seizing Millions in Assets
Natalie Nyathi
In a significant step towards combating corruption, the Asset Forfeiture Unit (AFU) of the National Prosecuting Authority (NPA) has frozen assets worth over R370 million linked to a massive fraud syndicate operating within Tembisa Hospital in Gauteng. The move comes after a lengthy investigation sparked by a courageous report from Babita Deokaran, the Gauteng Department of Health’s chief financial accounting director, who was tragically assassinated in 2021 for exposing the rot.
Deokaran’s report detailed widespread procurement irregularities at Tembisa Hospital, prompting a thorough audit by the National Treasury’s Specialised Audit Services (SAS) unit. The audit confirmed Deokaran’s suspicions, revealing that two major syndicates, the Maumela and Mazibuko groups, had siphoned off vast sums of money through illicit contracts.
The SAS review, which examined data from April 2016 to August 2022, uncovered that 14 entities controlled by the Maumela syndicate had irregularly secured contracts worth over R400 million. Similarly, 18 entities linked to the Mazibuko syndicate had benefited from unlawful contracts exceeding R300 million .
Acting on this evidence, the AFU successfully obtained two preservation orders in August 2025. The first, granted on August 14, targeted assets belonging to the Maumela syndicate, valued at approximately R326 million. This includes high-end residential properties in affluent areas and a collection of luxury vehicles, such as four Lamborghinis, a Bentley, and a boat . The second order, obtained on August 27, focused on the Mazibuko syndicate, seizing assets worth R47 million, including luxury homes and vehicles like three Mercedes-Benz cars and a Land Rover .
Forensic investigations revealed that the syndicates manipulated the hospital’s procurement processes, rigging bids and using shell companies to secure lucrative contracts for goods and services that were often overpriced or never delivered . The funds were then allegedly used to acquire personal assets, pay bribes, and fund extravagant lifestyles.
The AFU’s actions have been praised as a crucial step in holding those responsible for the Tembisa Hospital fraud accountable. Advocate Ouma Rabaji-Rasethaba, Deputy National Director of the NPA, emphasized that corruption deprives ordinary South Africans of essential services and that the AFU is committed to recovering stolen assets and restoring justice .
The Tembisa Hospital scandal and Deokaran’s assassination have highlighted the dangers faced by whistleblowers in South Africa and the urgent need for greater protection for those who expose corruption. While six men were sentenced for Deokaran’s murder in 2023 , questions remain about who masterminded the hit and whether all those involved in the corruption at Tembisa Hospital have been brought to justice .
The AFU’s crackdown on the Tembisa Hospital fraud syndicate is a significant victory in the fight against corruption in South Africa. However, it also serves as a stark reminder of the challenges that remain in ensuring accountability and protecting those who risk their lives to expose wrongdoing. The NPA and other law enforcement agencies must continue to pursue these cases aggressively and send a clear message that corruption will not be tolerated.
