In the latest judgment, the actions of the HOD of the Department of Health, Dr Dion Theys, have been described as “unlawful, reckless, and grossly negligent” when he signed “dubious rental agreements” totalling R13.2 million for nursing student accommodation at the JP Hugo hostels in Hoffe Park.
IN THE latest judgment, the actions of the head of the department (HOD) of Health, Dr Dion Theys, have been described as “unlawful, reckless, and grossly negligent” when he signed “dubious rental agreements” totalling R13.2 million for nursing student accommodation at the JP Hugo hostels in Hoffe Park.
Theys, who was the acting HOD at the time, was found guilty of contravening the Public Finance Management Act (PFMA) in the Specialised Commercial Crimes Court in 2023.
He was sentenced to a fine of R150,000 on three charges of contravening the PFMA or three years imprisonment, of which R100,000 or two years imprisonment was suspended for a period of five years, on condition that he did not commit a similar offence.
The appeal against his conviction was dismissed in the Northern Cape High Court on November 29.
While over R96 million was paid in total for the rentals, students complained about the poor quality of the food. Only cold water was available during the cold winter months, while there was also a shortage of blankets.
The students, who were mostly women, were also concerned about their safety due to inadequate security.
Theys insisted that supply chain management processes were followed and that the department was given “value for money”.
He claimed that crucial evidence to prove his innocence had “maliciously” disappeared.
He argued that the auditor-general (AG) had audited the leases with no negative findings, and it came as a “complete surprise to him years later” that the leases were being investigated by the Hawks.
Deputy Judge President Mmathebe Violet Phatsoane and Judge Almé Stanton noted in their judgment on appeal that the “biggest stumbling block” in the case was Theys’ failure to advertise the bid.
“Supply chain management had no record of the transactions. The evidence shows that there was no service level agreement that described the quality of additional services such as catering, laundry and security in detail and the price. There was no proper control as to how the service provider invoiced the department – which they did at whim.”
Phatsoane stated that the department failed to disclose to the AG that it had incurred irregular expenditure amounting to R377 million and R147 million during the 2009/10 financial year.
“The appellant did not impress the trial court as a credible witness. Although he testified on events that occurred many years back, his memory conveniently faded when he had to provide answers in respect of documents that the State maintained were nowhere to be located.”
She believed that an impression was created that Hoffe Park was “unfairly favoured”.
Phatsoane noted that the three leases that were concluded also overlapped.
She advised that an investigation be extended into the decision of Gugu Matloapane, who headed the department at the time, to extend the contract on a month-to-month basis following Theys’ departure around 2012.
The department approved a payment of R60.7 million for the Hoffe Park lease between August 22, 2013, and February 6, 2014.
Theys has not indicated if he will pursue the matter in the Supreme Court of Appeal.
The Department of Health has also yet to respond as to whether Theys will have to reimburse them, where it paid over R1 million to cover his legal costs.
National Prosecuting Authority (NPA) regional spokesperson Mojalefa Senokoatsane pointed out that while no fruitless or wasteful expenditure was proven due to the timing of the offences, the conviction was based on irregular expenditure resulting from Theys’ actions.
“Theys is currently serving as a senior official in the Office of the Premier. The NPA commends the efforts of all stakeholders involved in securing this conviction and reiterates its commitment to combating corruption and mismanagement of public funds,” said Senokoatsane.
DA provincial leader Harold McGluwa called on Premier Zamani Saul to terminate Theys’ contract.
“Theys was never subjected to any internal disciplinary processes. He was transferred back to his former position of medical director while appealing the case, where he continued to earn a salary greater than an HOD,” said McGluwa.
He urged Saul to unfreeze the HOD position to enable a “fit-for-purpose candidate” to take charge of the “broken” Department of Health.
“The premier must also be held accountable for appointing Theys to the position of HOD in July 2023 while he was standing trial at the time. Saul not only gambled with the public purse but also prolonged the appointment of an HOD to the department.”
The Public Services Commission provincial commissioner, Anele Gxoyiya, confirmed that they received a request from the DA to investigate Theys’ appointment as HOD, as well as whether his transfer as a medical director complied with the public service regulations.
FF+ provincial leader Dr Wynand Boshoff believed that Theys should be removed from the department.
“Now that the Northern Cape High Court has denied his appeal, there is no reason to keep Dr Theys in service,” he said.
EFF provincial leader Shadrack Tlhaole condemned how certain officials were offered preferential treatment.
“Separate rules apply to different people in government. Why are other officials expected to fund their own legal fees when they land up in court?” he questioned.
The spokesperson for the Office of the Premier, Naledi Gaosekwe, said that Saul would study the judgment.
“As a government committed to accountability and transparency, we respect the judicial process and the outcomes thereof,” said Gaosekwe.
“While this is a significant development, it is also an opportunity for the department to continue strengthening its systems to prevent any recurrence of similar challenges in the future.”
She said that Theys was still employed at the Department of Health.
“The decision to refrain from commenting until all legal processes are completed is guided by the premier’s respect of the employer-employee relationship that exists between the parties and the rule of law.”
