Former Officials Linked to R86M Hospital Construction Fraud in North West Appear in Court

Molopo – Seven individuals linked to dubious contracts for supplying equipment to hospitals in the North West, charged with fraud and corruption amounting to over R86 million, appeared in the Molopo Magistrate’s Court, where their case was postponed until August.

The seven defendants are:

• 65-year-old Lydia Keneliwe Sebego, former Head of the North West Department of Health,
• Dr. Andrew Lekalakala, former Head of Department,
• 56-year-old Sipho Vuyo Wesley Mbulawa, former Chief Director,
• 50-year-old Kabelo Elliot Andrew Motene, Director,
• 60-year-old Ntabeleng Florence Matlapeng, Deputy Director,
• 63-year-old Joseph Mojoji Leshaba, Director of Raliform Investment Holdings, and
• 70-year-old Roulgh Lotwane Mabe, Director of MR Property.

The fraud and corruption allegations are tied to a 2007 initiative by the North West Department of Health intended to supply and maintain medical equipment for new hospitals in Vryburg and Ledig.

The defendants face charges that include fraud, corruption, and breaches of the Public Finance Management Act (PFMA).

It is claimed that in 2007, Sebego, in her capacity as Department Head, entered into service-level agreements with two companies led by Mabe and Leshaba.

These contracts were established for the provision and maintenance of medical equipment at the newly constructed hospitals.

“However, investigations revealed that the service providers only partially fulfilled their contractual obligations,” said Sivenathi Gunya of the National Prosecuting Authority.

“While some equipment was reportedly procured, and certain maintenance tasks were performed, the companies allegedly submitted fraudulent invoices for equipment that was never delivered and services that were not provided.

“The department processed these invoices for payment.”

The state alleges that senior officials from the department colluded to authorize these payments, despite the lack of adequate services provided, resulting in a financial loss exceeding R86 million.

Furthermore, it is claimed that the department’s supply chain policies and bidding processes were disregarded in the selection of service providers.

The accused were arrested by the Directorate for Priority Crime Investigation (Hawks) in Mahikeng on 26 March 2025 and subsequently released on bail that same day.

On Friday, 6 June 2025, the court postponed the case.

All defendants have been ordered to return to court on 25 August 2025.