The Special Investigating Unit (SIU) has moved to freeze a R6.8m luxury home in Centurion and a R1.8m pension payout as it widens a sweeping probe into an alleged procurement network linked to the looting of Tembisa Hospital. The action follows detailed allegations that a stolen identity was used to register a shell company which then received almost R8m from a businessman said to have operated dozens of firms doing business with the hospital.
At the centre of the latest development are Oscar Nobungwana, 33, and his mother, Nkosazana, a former chief supply chain clerk at Tembisa Hospital who served on its vetting committee. According to the SIU, Nobungwana registered Mabitwa Trading in January 2021 using a stolen ID. Four months later, in May 2021, payments began to flow into the company’s account from businessman Stefan Joel Govindraju, who investigators allege had 73 companies trading with the hospital.
Financial records cited by the SIU show Govindraju paid R3.9m into Mabitwa Trading in May 2021, followed by a further R3.6m later that year. The funds were allegedly channelled to purchase a R6.8m mansion at Midstream Estate in Centurion in September 2021. Sowetan has established that he allegedly stole the ID of a person close to his family in Tembisa and used it to register Mabitwa Trading and later created a bank account for the company. He used these to channel funds to buy the mansion.
The ID theft victim told investigators she had no knowledge of the company or the property transaction attributed to her name. “She [ID theft victim] only found out last year when we contacted her. She was only 23 years and unemployed when her ID was stolen and used without her knowledge.
“She is [now] employed and earns about R14,000 a month. She does not own a house or a car, yet there is a R7m house in her name in Centurion, which she has nothing to do with,” said a source.
The SIU’s investigation has formally recorded her as a victim of a scam. “A Nedbank account was used to buy the mansion and the victim banks with Capitec Bank. She also lives far from Centurion. We suspect that Nobungwana had access to her ID and then colluded with his mother and used the proceeds to enrich themselves and buy the property.”
Announcing the preservation orders yesterday, the SIU said that the High Court had granted freezing directives over Nkosazana’s pension benefits and over the Centurion property alleged to have been purchased with the illicit proceeds. Due to the property preservation order, Nkosazana or her son will not be able to sell or transfer ownership of the house. Her pension benefits held by the Government Employees Pension Fund will also not be paid out until all investigations are complete and she is not found guilty.
The SIU alleges that Govindraju maintained extensive ties inside Tembisa Hospital’s supply chain, with investigators alleging he had 73 companies doing business with the facility. It further alleges that Nkosazana used her position to steer more than R10.8m in contracts to entities linked to him and that she received kickbacks in return. Many of the companies, according to investigators, were not registered with the SA Health Products Regulatory Authority and failed to meet procurement criteria.
Nobungwana is the director of Amatibe Holding and he allegedly registered Mabitwa Trading to receive kickbacks from Govindraju. According to the SIU, his mother has cost the state about R10.8m. Nkosazana started at the hospital as a general assistant in 1992 and resigned in the middle of a disciplinary hearing in 2024, according to the SIU. The SIU linked her to a major procurement network at the hospital known as “Syndicate X”.
SIU spokesperson Selby Makgotho said the investigation revealed that Nkosazana, who served in several key positions at the hospital, allegedly played a central role in the irregular adjudication and appointment of suppliers. “She is alleged to have received undisclosed, undue gratification from certain suppliers, thereby violating her duties without disclosing it to her employer.”
The SIU also revealed that “Syndicate X” is linked to Govindraju. Investigators found that he is the director of at least 75 companies, 73 of which were allegedly irregularly appointed at Tembisa Hospital. The entities reportedly secured 1,237 contracts through a three-quote procurement process that allegedly failed to comply with procurement regulations. “The SIU’s probe revealed that the Govindraju-linked suppliers allegedly received total payments of approximately R596,424,356.10 arising from these contracts, which are considered highly irregular and non-compliant.”
In parallel with the preservation orders, the SIU says it has traced substantial flows of money between suppliers and public officials connected to Tembisa Hospital’s supply chain. “The SIU further identified about R100m in payments from the alleged Govindraju syndicate to former and current Tembisa Hospital officials involved in supply chain management.”
The scale of alleged irregular expenditure and state losses outlined by the SIU is stark. Makgotho said that Nkosazana’s alleged misconduct contributed to irregular expenditure of at least R5.1m and damages of approximately R13.6m to the state. This sits alongside the separate figure of about R10.8m which the SIU says she cost the state through the channelling of contracts to Govindraju’s firms.
The preservation orders represent a key step in the SIU’s asset recovery strategy, preventing dissipation while civil and criminal processes proceed. Investigators emphasise that the property and pension freezes are precautionary and intended to safeguard potential recoveries pending the outcome of further proceedings. The SIU said evidence of criminal conduct uncovered during the investigation has been referred to the National Prosecuting Authority for further action.
Beyond the immediate asset freezes, the case underscores the SIU’s broader focus on dismantling entrenched procurement networks within the public health sector. The references to “Syndicate X” point to what investigators believe is a structured, repeat-player system that leveraged the hospital’s three-quote purchasing mechanism at scale—1,237 awards—to siphon millions through non-compliant appointments. The allegation that dozens of vendors lacked basic regulatory registration deepens concerns about the integrity of supply chains entrusted with hospital-critical goods and services.
For the stolen ID victim, the preservation orders and SIU findings offer formal vindication, removing the immediate risk that she could be held responsible for debts or assets she never knowingly acquired. As the SIU pushes forward, the Centurion property remains under a court freeze, the pension cannot be paid out, and a tranche of evidence is now with prosecutors. Whether through civil recovery or criminal prosecution—or both—the Tembisa Hospital matter has entered a decisive phase, centring on alleged kickbacks, shell entities and the redirection of public funds away from healthcare and into private pockets.
