NHI tender scandal: SIU probe as Health Department rejects claims of millions diverted
The contracts ballooned from as little as R1 620 to R146 million, allegedly draining funds from HIV/AIDS and other essential programmes .
The Health Department in South Africa has forwarded allegations of inflated National Health Insurance (NHI) advertising contracts to the Special Investigating Unit (SIU), the Auditor-General of South Africa (AGSA), and the Public Protector. The department warned that claims of millions of rand diverted from HIV and other critical programmes must be investigated by independent authorities.
This action follows claims that contract values skyrocketed from R1,620 to R146 million, allegedly siphoning funds from HIV/AIDS and other essential healthcare initiatives, leading to public outrage and comparisons to previous health sector corruption scandals. The department expressed concern over the far-reaching allegations reported in an article published on September 26, 2026, in News24 titled "People before Profit.
How uncapped NHI advert contracts drew millions from critical Health programmes." Health Department spokesperson Foster Mohale dismissed the claims as implausible, stating that a tender of R1,620 could not balloon to R146 million. He emphasized that the State does not issue tenders for such minute amounts, dismissing the narrative as "ridiculous in the extreme."
Health Minister Dr Aaron Motsoaledi and Deputy Minister Dr Joe Phaahla jointly endorsed the call for investigations, denying any personal involvement in corruption. Both acknowledged a personal relationship with KMTV Media owner Khathu Mamaila but maintained no improper connection. The allegations echo concerns from past scandals, including the Tembisa Hospital looting, which heightened public sensitivity towards corruption claims.
The department acknowledged the risk of public belief in these allegations and stressed the importance of independent investigations to establish the truth beyond doubt. Acting Director-General Nicholas Crisp has already initiated an inquiry into irregular staff appointments and procurement practices, flagging by AGSA and the Public Service Commission.
The department believes some individuals under investigation may be attempting to preempt accountability by leaking selective documents. The Health Department maintains that the contracts were not solely for NHI promotion but covered broader health communication campaigns aimed at fighting HIV/AIDS, TB, malaria, smoking, alcohol abuse, diabetes, and cancer.
They reject claims that funds were improperly diverted, insisting that health communication is a necessity, not a luxury.
Written by urgent.news from The Citizen's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.