Gupta-linked benchmarking trip to India turned out to be a leisure trip, witness tells court

Picture: African News Agency (ANA) Archives

Picture: African News Agency (ANA) Archives

Published Aug 8, 2023

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A benchmarking trip to India which was aimed at guiding the Department of Health in North West on the functionality of mobile clinics turned out to be a leisure trip, the North West High Court heard on Tuesday.

The deputy director general of the Department of Health in the North West, Konred Motlhabane testified that during the benchmarking trip to India, visits were only made to tourist sites which had nothing to do with the mission.

He was testifying in the fraud case against the former head of health in the North West, Dr Andrew Lekalakala.

National Prosecuting Authority spokesperson in the North West division, Henry Mamothame said Motlhabane would continue with his testimony on Thursday when the matter resumes in court.

Lekalakala is facing two charges of fraud, one of contravening the Public Finance Management Act (PFMA) and another, in terms of the Prevention and Combating of Corrupt Activities Act (PRECCA).

"The charges relate to the alleged fraudulent awarding of a contract for mobile clinics to Mediosa Health Pty (Ltd) in February 2017, a company linked to the Gupta family. The mobile clinics were meant to service rural communities in the North West," Mamothame said.

He said the former HOD at the Free State Department of Health, Dr David Motau, earlier testified that permission was not granted to Lekalakala to participate in the programme, as required by Treasury regulations.

A similar project was already being implemented in the Free State and Lekalakala, as the then accounting officer, allegedly decided to participate in the same contract and elected to apply Treasury regulations that allow for participation in an existing contract arranged by another organ of state, with the same contract terms.

"It was however discovered that the awarding of this contract did not comply with Treasury regulations and the project was not budgeted for. The accused also falsely indicated during a management meeting that the service by Mediosa Health was a national Department of Health initiative that would be rolled out to other provinces.

"He further lied that there was compliance with the Treasury regulations."

Mediosa Health allegedly received an upfront payment of R30 million and Lekalakala, was alleged to have received gratification in the form of a trip to India, accompanied by his spouse and his associates.

He said the State also intends to prove that the service level agreement was signed on this trip and not at the Department of Health offices.

Lekalakala is still out on R5,000 bail, and it was extended until his next court appearance.

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