New evidence reveals shocking details in the R150m Digital Vibes NHI and Covid-19 contracts case

New damning evidence in the R150 million Digital Vibes unlawful National Health Insurance (NHI) and Covid-19 communications contracts case against the company, several others, and their directors, former health minister Dr Zweli Mkhize and his family members, will be introduced.

This follows the Special Investigating Unit (SIU) being given the green light by the Special Tribunal to have its third supplementary founding affidavit by one of its investigators and global professional services firm, PricewaterhouseCoopers, confirmatory affidavit admitted in the main application, in which the SIU wants two contracts awarded to Digital Vibes reviewed and set aside for lack of compliance with the applicable constitutional, statutory, and regulatory provisions.

According to the unit, the National Department of Health (NDoH) made payments to Digital Vibes totalling just over R150m, comprising over R25m paid for the NHI contract and about R125m for the Covid-19 media campaign contract.

The SIU’s application was unopposed by Digital Vibes and Mateta Projects, which have been accused of merely using their bank account to obscure the source of payments, separate from those made by the NDoH to Digital Vibes.

At the tribunal, the SIU stated that should the admission of the third supplementary affidavit be refused and not be admitted into evidence, crucial evidence explaining the laundering of the proceeds from the impugned contracts between the NDoH and Digital Vibes will fall by the wayside.

In addition, the fraud and corruption-busting unit alleged that there are documents supporting its case that the Mkhize family, identified by the SIU as the chairperson of the National Assembly’s Portfolio Committee on Cooperative Governance and Traditional Affairs’ wife, Dr May Mkhize, their son Dedani, and the family’s business associate Sokhela, derived significant personal benefit from public funds.

The SIU also indicated that about R11.5m that was paid by Digital Vibes’ William Mthethwa to various parties did not derive from legitimate cattle transactions but from the R150m unlawfully paid by the NDoH to the company.

It maintained that the allegations stand unrefuted and that a refusal of the admission of the third supplementary founding affidavit will lead to the determination of the main application on incomplete facts. Tusokuhle Farming and Sirela Trading submitted that an amount of R10.6m had been repaid by Mateta Projects and, therefore, the third affidavit was unnecessary.

The SIU’s application was unopposed by Digital Vibes and Mateta Projects, which have been accused by the unit of having its bank account merely used to obscure the source of payments, as removed from those the NDoH made to Digital Vibes.

This week, Special Tribunal Judge Thandi Norman found that the repayment of R10.6m did not address the allegations of money laundering as outlined in the Prevention of Organised Crime Act.

She said the payment addresses a remedy question which will follow after a finding of whether or not there was money laundering on the part of any of the respondents, which did not arise for determination in the proceedings finalised on Tuesday.

In his response at the tribunal, Sirela Trading’s Sokhela stated that the manner in which the SIU’s application for leave to admit the third supplementary affidavit was framed was unnecessary, at that stage, for Tusokuhle Farming and Sirela Trading to deal with the merits of what is contained in the third supplementary affidavit.

Sokhela said this would be premature and would unnecessarily complicate the matter in the event that leave is refused to admit the third supplementary affidavit at the hearing of the review application.

On Saturday, SIU spokesperson Kaizer Kganyago said the third affidavit resulted from further investigations about money flows the unit conducted in respect of Digital Vibes, which information was only obtained after the SIU filed its main application.

As a result, from information provided by the parties in trying to oppose the SIU’s successful application for joinder of additional respondents who received funds, where the respondents alleged legitimate business reasons for payment and receipts of such funds, according to Kganyago.

He added that the third affidavit sheds light on the lack of probability of such funds being for legitimate business reasons.

Kganyago said the hearing of the main proceedings was scheduled for August 11-12, 2025, but that hearing was scuttled when a stay application was filed against main proceedings.

“So 11/12 August 2025 was used to hear the two interlocutory applications – the stay application and the admission of the third SIU affidavit, and judgment was reserved until we received the judgment,” he explained.

Additionally, Kganyago said the SIU was still waiting for the judgment on the stay application and that until the outcome of the stay application, and if not granted, then another case management meeting will be arranged to seek direction from the tribunal on timelines for further proceedings in the main application.

“So we cannot give timelines at this stage on the main proceedings. Obviously, if the stay application is granted by the tribunal, then no steps will be taken in the tribunal case, not until the finalisation of a review application that was brought by Dr (Zweli) Mkhize in the high court, where he is asking court to review and set aside SIU presidential report and referral that was submitted to President (Cyril Ramaphosa),” he further explained.

Biyela Attorneys Inc., the legal representatives of Tusokuhle Farming and Sirela Trading, are yet to respond to requests for comment.

loyiso.sidimba@inl.co.za