R6.7bn Luxury Assets Seized in Tembisa Hospital Corruption Crackdown

When Andile Ramaphosa, director of MedAccess Trading CC was linked to the fraud, the shock rippled through South Africa's political and health sectors. Just days later, the National Prosecuting Authority’s Asset Forfeiture Unit (AFU) announced the seizure of more than R6.7 billion in luxury assets, ranging from four Lamborghini Urus SUVs to a Sunseeker yacht, after a months‑long probe into procurement fraud at Tembisa Hospital. The operation, led by Ouma Rabaji‑Rasethaba, Deputy National Director of the NPA, sent a clear message: siphoning funds meant for a hospital serving 1.2 million residents will not go unpunished.

Background to the Tembisa Hospital Scandal

Between January 2019 and August 2022, Tembisa Hospital, a key public facility in the Ekurhuleni Metropolitan Municipality, was plagued by chronic shortages – no water, erratic electricity, and, most critically, missing medicines. An internal audit in late 2022 raised red flags about inflated tender values and unexplained payments to suppliers that did not exist. By early 2023, the Directorate for Priority Crime Investigation (DPCI) had earmarked the case for a full forensic audit.

The audit, conducted with the help of KPMG South Africa and BDO Advisory Services, uncovered 147 suspicious transactions totalling R326,487,200. The bulk of that money was traced to two intertwined syndicates: the primary network allegedly chaired by Andile Ramaphosa and a second group linked to the Mazibuko family.

Scale of the Seized Luxury Assets

• Four Lamborghini Urus – R8.2 million each.
• One Bentley Continental GT – R14.7 million.
• A 42‑foot Sunseeker yacht, christened “MediLux” – R22.3 million.
• Three Sandton residential properties (combined value R28.5 million) and a commercial building in Midrand – R19.1 million.
• Two Mercedes‑Benz G‑Wagons, a Rolls‑Royce Phantom, and a Range Rover SVAutobiography – together worth more than R10 million.

The total market value of the seized items tops R6.7 billion, according to the AFU’s press release on 12 September 2025. An additional preservation order on 27 August 2025 froze assets linked to the Mazibuko syndicate worth at least R47 million, including a R24 million mansion in Bryanston and luxury vehicles stored in Johannesburg.

Key Players and Their Alleged Roles

The investigation names several high‑profile individuals:

• Andile Ramaphosa – nephew of President Cyril Ramaphosa, allegedly used his position at MedAccess Trading CC to manipulate tenders, inflating contract values by an average of 300 %.
• Sipho Mthembu – suspended CEO of Tembisa Hospital, now defending himself against accusations that he turned a blind eye to the fraud.
• Phindi Mjonondwane – NPA spokesperson who confirmed the R326 million fraud figure in a statement to the press.
• Ouma Rabaji‑Rasethaba – head of the AFU, who warned that denying patients basic healthcare is “a travesty of justice”.
• Priority Crime Specialised Investigation (PCSI) – DPCI unit that led the on‑the‑ground raids, under Brigadier Thembi Hadebe.

According to the AFU, funds were funneled through offshore accounts in Mauritius and the United Arab Emirates, then used to finance first‑class flights to Dubai, high‑end retail sprees at Louis Vuitton and Gucci, and the procurement of the Sunseeker yacht.

Legal Actions and Ongoing Investigations

The AFU filed a preservation application on 15 August 2025 under Section 21B of the Prevention of Organised Crime Act. Justice David Unterhalter presided over the hearing that led to the August 27 order freezing the Mazibuko assets. Simultaneously, the National Treasury’s Special Investigating Unit (SIU) launched civil proceedings on 15 September 2025 to recover the diverted funds, invoking Section 38 of the Special Investigating Units and Special Tribunals Act.

Colonel Katlego Mojapela of the Hawks’ Commercial Crimes Unit executed search warrants on 10 September 2025 at five Johannesburg locations, including the syndicate’s headquarters at 145 Rivonia Road, Sandton. The seized yacht was located at Marina Martinique in Hout Bay, Cape Town, registered under the shell company Healthcare Yachts Pty Ltd.

President Cyril Ramaphosa’s office, through spokesperson Tyrone Seeram, issued a stern statement on 14 September 2025: “The President has zero tolerance for corruption and has instructed all relevant authorities to pursue this matter without fear or favour, including family members where evidence exists.”

Impact on Healthcare Services

Health Ombudsman Professor Malegapuru Makgoba warned on 13 September 2025 that the theft directly caused shortages of insulin, cancer drugs, and surgical equipment, affecting roughly 8,400 patients each month. The Public Investment Corporation subsequently suspended R500 million earmarked for a new oncology wing at Tembisa Hospital, pending the outcome of the investigations.

Patients and community leaders have taken to social media, demanding accountability and faster restoration of services. “When there is no water, no electricity, no medication, we are all suffering,” quoted Ouma Rabaji‑Rasethaba, echoing the frustration of thousands who rely on the public hospital.

What Comes Next

The AFU expects to finalize the forfeiture proceedings by 15 December 2025. Once liquidated, the proceeds will be transferred to the National Revenue Fund to support healthcare infrastructure rehabilitation across Gauteng.

Meanwhile, the criminal cases against the identified syndicate members are expected to move to trial in early 2026. Legal analysts say the outcome could set a precedent for how South Africa handles large‑scale corruption in the public health sector.