Vusimuzi 'Cat' Matlala claims innocence in R360m SAPS Medicare24 corruption probe.
Image: Oupa Mokoena / Independent Newspapers
In a heated session before the Ad Hoc Committee investigating corruption and crime syndicate infiltration within the South African Police Service (SAPS), businessman Vusimuzi ‘Cat’ Matlala denied personal responsibility for a contentious R360 million tender awarded to his company, Medicare24.
The committee, established in October 2023, was tasked with investigating allegations of corruption, political interference, and infiltration by criminal syndicates within SAPS.
Matlala appeared shackled from the Kgosi Mampuru Correctional Centre, where he is detained, facing intense scrutiny over the large healthcare services contract Medicare24 secured from SAPS - a deal that has ignited widespread alarm due to reported irregularities and an internal SAPS audit.
During his testimony, Matlala provided a candid account of his background.
“I grew up in Mamelodi East and started an informal business after matric. It was around this time that I was convicted for buying unregistered goods,” he revealed.
He also disclosed that in 2001, he received a four-year sentence, which was later converted to supervision.
Matlala described himself as a father of nine children and shared insights into his business ventures, including CAT VIP Security, which reportedly provides security services at four schools.
Addressing his involvement with Medicare24, Matlala stated, “I resigned from the company in December 2024, shortly after the SAPS agreement was finalised.”
He further explained the origins of his involvement in healthcare services, attributing the venture to a partnership with two white business associates.
“I have a friend I met in 2017 - Mike Van Wyk, founder of Medicare24. We live in the same complex. I was already running a security company supplying medical products to hospitals and clinics via Requests For Quote,” Matlala said.
“Mike asked me to register a company to provide healthcare services in the township.”
When confronted about the controversial Tembisa Hospital tender corruption scandal, Matlala insisted his role was limited to service provision.
Evidence leader Norman Arendse pressed Matlala on the qualifications Medicare24 had for the R360 million SAPS healthcare contract.
Matlala responded, “I paid a holding company to handle the SAPS contract. I provided all necessary documents and did not mislead SAPS during the tender process.”
However, media reports and an internal SAPS audit revealed Medicare24 lacked a valid operating license and failed to disclose key supplier relationships.
These findings cast serious doubt on the integrity of the tender evaluation and awarding process overseen by Lieutenant General Molefe Fani, head of SAPS Supply Chain Management.
Adding to the scrutiny, SAPS Chief Financial Officer Lieutenant General Puleng Dimpane testified that the contract was awarded in June 2024 during Lt Gen Fani’s tenure. Her testimony assigned direct responsibility for the flawed tender process to Fani.
Matlala responded to these revelations by stating, “I cannot be held accountable if due diligence was not done.”
Dropping another bombshell, Matlala told the committee he gave former Police Minister Bheki Cele sums of R300,000 and R200,000.
He said during a raid on his business, he had called Brown Mogotsi, who allegedly asked for money so he could book accommodation for police officers.
“Brown Mokgotsi asked for funding for the January 8 ANC celebration on behalf of Minister Senzo Mchunu. I paid R200 000 to Mogotsi.”
He also said Mchunu had lied about not knowing him.
“He was asked if I could arrange security for him to be transported to a wedding somewhere in Lanseria.
“If Minister Senzo Mchunu didn't know me, then how did I end up giving him R300 000 and secondly R200 000?”
Earlier in the commission, Matlala claimed former Police Minister Bheki Cele informed him that the harassment would stop if he withdrew the legal action against the officers who had allegedly harassed him.
Cele then allegedly made a phone call to Lieutenant General Dumisani Khumalo, in front of Matlala, where he said Matlala was caught in a “Zulu war.” While Matlala still does not know the meaning of this, following the phone call, he was told he could collect his firearms.
Then, following a phone call that Cele made to Lieutenant General Dumisani Khumalo, Matlala was told he could fetch his firearms.
Last week, Lt Gen Fani defended the tender process before the committee, claiming that Medicare24 was compliant with the Treasury’s Central Supplier Database at the time of award.
When ANC MP Xola Nqola asked if he believed any investigation would implicate him, Fani responded confidently, “No report will find such.”
The ongoing inquiry has brought to light testimonies from senior police officials, implicated politicians, cartel leaders, and other witnesses, making it one of South Africa’s most high-profile investigations in recent memory.
The committee is examining tender irregularities, political killings, and systemic obstruction of crime probes - issues widely believed to have undermined the integrity and effectiveness of SAPS.
As the inquiry progresses, the nation watches closely, seeking accountability and reforms within the beleaguered police service.
thabo.makwakwa@inl.co.za
IOL Politics
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