The Special Investigating Unit (SIU) has secured a court order to recover the profits from a R4.73 million PPE contract that was unlawfully awarded by the Mpumalanga Department of Health to Tepa Trading and Projects (Pty) Ltd.
The Special Tribunal judgment, delivered on 30 October 2025, sets aside the Department’s April 2020 decision to appoint Tepa Trading, declaring it unconstitutional, unlawful, and invalid. The contract was for the supply of 220,000 three-ply surgical masks.
The procurement investigation, conducted under Proclamation R.23 of 2020, revealed that the Department failed to follow a fair, equitable, transparent, competitive, and cost-effective procurement process, as required by the Constitution. The Tribunal found that the process was riddled with irregularities, including the unlawful approval of the contract by an official who lacked the requisite financial authority.
To claw back the public funds, the Special Tribunal has ordered Tepa Trading to file a detailed, audited statement of account with the Tribunal within 30 days. This statement must outline all income and expenditure related to the contract, which will be used to determine the exact profit to be recovered.
Furthermore, Tepa Trading has been ordered to pay the SIU’s legal costs.
This judgment is a critical outcome of SIU’s relentless efforts to recover public funds lost during the COVID-19 national state of disaster. It sends a clear message that suppliers who fail to meet essential legal requirements have no entitlement to profit from the state, and the SIU will use its litigation powers to the fullest to ensure such funds are returned.
In line with the Special Investigating Units and Special Tribunals Act 74 of 1996 (SIU Act), the SIU will refer any evidence of criminal conduct uncovered during its investigation to the National Prosecuting Authority (NPA) for further action. Under the SIU Act, the SIU is also authorised to initiate a civil action in the High Court or a Special Tribunal in its name to address any wrongdoing identified during its investigation resulting from acts of corruption, fraud, or maladministration.
Enquiries:
Kaizer Kganyago Spokesperson: Special Investigating Unit
Cell: 082 306 8888
E-mail: KKganyago@siu.org.za