IDAC says it has no record of R360m Medicare complaint against acting SAPS boss Dimpane

The Investigating Directorate Against Corruption (IDAC) says it has no record of a criminal complaint against Acting National Police Commissioner Lieutenant General Puleng Dimpane, even though the Hawks and civil society group Public Interest say the matter was referred to the anti-corruption unit.

Who lodged the complaint and what it alleges

Public Interest lodged a criminal complaint with the Hawks last week alleging contraventions of the Public Finance Management Act related to the controversial R360 million Medicare24 contract. The organisation said Dimpane, who was SAPS chief financial officer at the time, may have failed in her statutory financial management duties after about R48 million was paid to the service provider while an internal review into procurement concerns was still under way.

IDAC: no record yet

Asked whether the complaint had been consolidated into the agency’s existing probe of the Medicare24 matter, IDAC spokesperson Henry Mamothame said:

“IDAC is not aware of such a complaint but should it be referred to us it will follow due processes.”

Conflicting statements from the Hawks and Public Interest

The Hawks said on Sunday that the complaint had been submitted to IDAC for further consideration. Public Interest also confirmed that the matter would be handled by IDAC’s head of investigation, Matthews Sesoko, and said it stood by the Hawks’ position.

What Public Interest says in its affidavit

In an affidavit signed by founder Tebogo Khaas, Public Interest said Dimpane negligently failed to take reasonable steps to prevent the disbursement of public funds despite being aware of concerns about the procurement process and an ongoing audit. The affidavit read in part:

“There is prima facie evidence that the CFO may have committed financial misconduct and may have contravened the PFMA. The failure to prevent irregular expenditure of this magnitude, at the point of financial execution, gives rise to a compelling inference of gross negligence.”

The affidavit said the evidence raised a prima facie case for criminal liability under section 86(1) of the PFMA and that the matter “requires urgent investigation.”

Where the broader Medicare24 inquiry stands

IDAC has been spearheading the prosecution relating to the R360 million tender awarded to Medicare24, owned by businessman Vusimusi “Cat” Matlala. The investigation into the contract has, according to the source material, revealed collusion and resulted in the arrest of 16 suspects, including suspended police commissioner Fannie Masemola and 12 high-ranking SAPS officials and generals; the suspects face charges of fraud, corruption and contravention of the PFMA in the Pretoria Magistrate’s Court.

SAPS response regarding Dimpane

Police spokesperson Athlenda Mathe said the forensic investigation into the Medicare24 matter has not implicated Dimpane in any wrongdoing. Mathe said Dimpane did not participate in bid committees and that Supply Chain Management did not report to her. She added that procurement and payment functions are decentralised and governed by established policies, with cost centres responsible for verifying delivery, certifying invoices and processing payment documentation up to stage three of the payment process.

Mathe said a determination test conducted as part of the investigation identified no deficiencies or gaps in the internal controls governing the final phase of the payment process. She also said that once irregularities were identified, Dimpane acted to stop payments after the contract was cancelled and helped facilitate that cancellation.

Next steps

Public Interest said it has asked the Hawks to forward the complaint to IDAC, saying it does not want the matter “frustrated” or hidden. IDAC has indicated it will follow due process should the complaint be referred to it.