
"The Madlanga Commission of Inquiry into criminality, political interference, and corruption in the criminal justice system begins its hearings. Image Credit: Gallo Images/Frennie Shivambu
(The Post New) – A controversial R360 million South African Police Service (SAPS) tender awarded to businessman Vusimuzi “Cat” Matlala has been cancelled, following concerns raised by Police Minister Senzo Mchunu.
The decision was confirmed by SAPS National Commissioner General Fannie Masemola, who revealed that the lucrative health management contract was terminated after procurement irregularities were flagged.
Matlala’s company, Medicare24 Tshwane District, secured the three-year contract to provide health risk management services to SAPS officers. These included medical surveillance, injury-on-duty assessments, and wellness programmes.
By the time the deal was cancelled, the company had already earned more than R48 million in profits.
Masemola said Minister Mchunu played a key role in calling for a review of the deal.
While Mchunu has denied benefiting from or interfering in the contract, he admitted he raised questions once suspicions emerged.
“When concerns were brought to my attention, I insisted that the process be reviewed. That is what led to the cancellation,” Mchunu said in a statement.
The fallout from the tender has left a human cost. Matlala claims that 52 employees working under the contract in Tshwane lost their jobs when the deal was scrapped.
Allegations and denials
KwaZulu-Natal Police Commissioner Nhlanhla Mkhwanazi has accused Matlala of being part of a broader corruption network involving senior political figures. He suggested that certain police dockets were removed or ignored to protect those implicated.
Mchunu, however, has rejected the allegations. His office maintains that he has “never requested nor received anything” from Matlala.
The cancellation has reignited debates around corruption, tender processes, and accountability in government contracts. Civil society groups and opposition parties are calling for a parliamentary inquiry to ensure transparency.
SAPS has confirmed that internal investigations are ongoing. Meanwhile, the affected workers and communities.