PSA demands the black listing of companies implicated in Tembisa Hospital looting

Sunday Tribune Reporter|Published

Public Servants Association expressed anger that companies involved in the R2 billion Tembisa Hospital scandal have still not been blacklisted

Image: Itumeleng English / Independent Newspapers

THE PUBLIC SERVANTS ASSOCIATION (PSA) is demanding that the companies identified by the Special Investigating Unit (SIU) in the R2 billion looting at Tembisa Hospital in Gauteng be blacklisted.

Despite a damning interim report from the Special Investigating Unit (SIU) that identified 207 companies involved in widespread corruption, none have been blacklisted, leading the PSA to characterise this oversight as a grave failure of governance and accountability.

"This failure represents a shocking lapse in accountability and governance which continues to erode public trust in government’s ability to safeguard taxpayer funds. The SIU’s interim report exposed a network of corruption and fraud involving over 4 500 irregular purchase orders, facilitated by fly-by-night companies, many registered just days before receiving multimillion-rand tenders.

"These entities siphoned billions meant for critical healthcare services, whilst hospitals struggled with shortages, and patients suffered. These companies, however, remain free to conduct business with government departments, perpetuating a cycle of corruption and impunity," according to a statement issued by PSA, the trade union for public servants.

The trade union added that it found it unacceptable that bureaucratic loopholes and finger-pointing between the Department of Health and National Treasury have allowed this scandal to drag on without decisive action.

The murder of whistleblower, Babita Deokaran, who courageously flagged suspicious payments, underscores the deadly consequences of corruption and the urgent need for systemic reform.

Image: Supplied

"Whilst the Minister of Health claims that only Treasury can blacklist suppliers, this excuse does not protect public funds or prevent repeat offenders from further looting state coffers," said the union. The union highlighted the grave implications of this lack of action, emphasising that the failure is not merely administrative but constitutes a betrayal of public servants and citizens who depend on a competent healthcare system.

"The murder of whistleblower, Babita Deokaran, who courageously flagged suspicious payments, underscores the deadly consequences of corruption and the urgent need for systemic reform.

"The PSA demands the immediate blacklisting of all companies identified by the SIU and criminal prosecution of all persons and officials implicated in the looting. The PSA reiterates that urgent procurement reforms are necessary, including insourcing of non-specialised services, to curb outsourcing abuse," read the statement.

SUNDAY TRIBUNE