South Africa: PWC Launches Forensic Investigation Into IDT's Troubling R836-Million Oxygen Plants Project

A Daily Maverick investigation in late 2024 unearthed alleged malfeasance in a project to install oxygen plants at government hospitals. Auditing firm PwC will now carry out a forensic investigation into the contracts.

Auditing firm PwC has been appointed by the Department of Public Works to conduct a forensic investigation into the Independent Development Trust's (IDT) contentious R836-million oxygen plants project.

The IDT, a government entity that reports to the Department of Public Works, acted as an implementing agent for the National Department of Health when it appointed contractors to install Pressure Swing Adsorption oxygen plants at 55 public hospitals across South Africa.

In October last year Daily Maverick revealed that R428-million of the spend was set to go to Bulkeng Pty Ltd, an obscure company that did not possess the required accreditation to deal in medical equipment.

Subsequent reports detailed further red flags regarding the tender process. The contracts were ultimately signed off by IDT CEO Tebogo Malaka and Dr Sandile Buthelezi, the Department of Health's director-general, despite concerns over massive cost escalations and the main contractor's credentials.

Bulkeng's sole director, Nathi Ndlovu, was found dead in a park in Modderfontein, Johannesburg, mere days after Daily Maverick's report raised concerns over IDT's oxygen plants endeavour. It is understood that the police are treating Ndlovu's death as a suicide.

In December last year the Department of Health informed IDT that...

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