The high court in North West is hearing a fraud case against former head of provincial department of health Andrew Lekalakala.
He appeared in court on Monday and the case was postponed to Tuesday.
Lekalakala, 58, is charged with fraud, contravening the Public Finance Management Act, and breaching the Prevention and Combating of Corrupt Activities Act.
The charges relate to alleged fraudulent awarding of a contract for mobile clinics to Mediosa Health, a company linked to the infamous Gupta family, in February 2017.
The mobile clinics were meant to service rural communities in North West.
Henry Mamothame, regional spokesperson for the National Prosecuting Authority, said: “The matter commenced with Lekalakala’s attorney cross-examining a state witness, who worked for the national Department of Health when the allegedly fraud occurred.”
Mamothame said the accused was ready to dig his hands into a similar project.
“A similar project was already being implemented in the Free State and Lekalakala, as the then accounting officer, allegedly decided to participate in the same contract.
“He elected to apply the Treasury regulations that allow for participation in an existing contract arranged by another organ of state, with the same contract terms.”
However, said Mamothame, the accused was stopped in his tracks
“It was discovered that the awarding of this contract did not comply with Treasury regulations and the project was not budgeted for.
“The accused also falsely indicated during a management meeting that the service by Mediosa was a Department of Health initiative that would be rolled out to other provinces.
“He further lied that there was compliance with Treasury regulations.”
Mamothame said Mediosa allegedly received an upfront payment of R30-million and Lekalakala is alleged to have received gratification in the form of a trip to India.
On the trip, Lekalakala, who is out on R5 000 bail, was accompanied by his spouse and his associates.
“The state is expected to call on more witnesses during trial throughout the week.”
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