Hamilton Ndlovu Sentenced For Failing To Surrender Assets In PPE Corruption Case

Thabiso Hamilton Ndlovu, a Johannesburg businessman embroiled in PPE corruption, has been sentenced to 30 days imprisonment for contempt of court after failing to surrender his assets as mandated by a forfeiture order.

On Thursday, the Special Tribunal also imposed a suspended R500,000 fine on Ndlovu for contempt, stemming from an order issued in June 2022. This order aimed to recover the outstanding debt owed to the National Health Laboratory Service (NHLS).

Hamilton Ndlovu PPE Tender Scandal

Ndlovu’s companies secured PPE tenders worth R172 million from the NHLS. However, the Special Tribunal nullified these contracts and ordered Ndlovu and his associated companies to repay R158 million with interest.

In September of last year, a Bryanston mansion linked to Ndlovu was auctioned for R7.1 million after the North Gauteng High Court dismissed an application to halt the sale. The Special Investigation Unit (SIU) and the NHLS accepted the offer as part of efforts to recover losses suffered by the NHLS and the public.

SIU spokesperson Kaizer Kganyago confirmed that the luxury house was auctioned in July following a final forfeiture order confirmed by the Special Tribunal in January.

Abuse of Procurement Procedures

Kganyago explained that Ndlovu’s companies were awarded contracts by exploiting the emergency procurement procedures adopted by the NHLS during the initial response to the COVID-19 pandemic in 2020. The SIU’s investigation revealed that nearly 90% of the funds flowed to Ndlovu for personal use, rather than being used to purchase PPE.

Under Proclamation R.23 of 2020, President Cyril Ramaphosa authorized the SIU to investigate allegations of corruption, malpractice, maladministration, and irregularities in the procurement of goods and services by state institutions in response to COVID-19.

Kganyago noted that apart from approximately R15 million used for PPE purchases, the funds received from the NHLS were not utilized to fulfil the contracts.

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