SIU on mission to recoup money lost in botched R600m private hospital refurbishment tender
Among the six companies that benefitted from the unlawful tender is NJR Projects, a company linked to controversial businessman Edwin Sodi.
Picture: Pixabay.com
JOHANNESBURG - The Special Investigating Unit (SIU) is on a mission to recoup some of the public money lost in a botched R600 million tender to refurbish a private hospital.
Among the six companies that benefitted from the unlawful tender is NJR Projects, a company linked to controversial businessman Edwin Sodi.
On Thursday, the Special Tribunal ruled the Gauteng government contract was unlawful.
In 2021, the Gauteng government paid over R600 million to upgrade the AngloGold Ashanti Hospital.
This was for the treatment of COVID-19 patients.
However, the deal quickly went sour, with only 147 COVID-19 patients having received treatment at the facility.
The spokesperson for the SIU, Kaizer Kganyago, said the agency is hoping to recoup the money from the service providers.
“The appointments of 11 professional service providers for the hospital renovation was deemed unlawful due to non-compliance with procurement requirements. Consequently, all contracts for this work have been set aside.”
NJR Projects, the company linked to state capture accused Edwin Sodi, received R56 million from the Gauteng government.
The beneficiaries in total according to the SIU:
Diphatse Trading & Projects CC – R132,227,265
Makhado Project Management (Pty) Ltd – R118,452,735
Yikusasa Building Contractors (Pty) Ltd – R89,406,591
NJR Projects (Pty) Ltd – R56,808,184
Thenga Holdings (Pty) Ltd – R49,540,108
Mvusuludzo Projects (Pty) Ltd– R48,106,489
Additional invalid contracts worth R12,056,225.24
Professional Service Providers (PSPs) contracts of R94 million.