Former KwaZulu-Natal Health MEC Peggy Nkonyeni who appeared in the Pietermaritzburg High Court on Thursday with co-accused on the matter involving the R100million Intaka tender.
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Former KwaZulu-Natal Health MEC Peggy Nkonyeni appeared in the Pietermaritzburg High Court on summons on Thursday to face fraud and corruption charges linked to controversial hospital procurement contracts allegedly worth more than R100 million.
Nkonyeni, 64, is accused of playing a role in the procurement of water purification units, known as Watakas, and self-generating oxygen units, referred to as Oxyntakas, for hospitals across KwaZulu-Natal during her tenure as MEC for Health.
The contracts were awarded to Intaka Holdings, owned by Uruguayan businessman Gaston Savoi.
According to National Prosecuting Authority regional spokesperson Natasha Ramkisson-Kara, the state alleges procurement processes were manipulated and misrepresented, enabling Intaka Holdings to improperly benefit by more than R100 million.
Nkonyeni and co-accused Lindelihle Mkhwanazi were formally added to the charge sheet on Thursday. Other accused in the matter include Busisiwe Nyembezi, Victor Ntshangase, Alson Sipho Buthelezi, Sandile Kuboni, Kuboni Shezi Incorporated, and Rowmoor Investments 738 (Pty) Ltd.
The state alleges that between August 2006 and November 2007, Nkonyeni, Mkhwanazi and Rowmoor Investments acted with common purpose and agreed to accept two payments of R500 000 from Intaka Holdings.
Prosecutors claim the payments were intended to improperly influence the promotion, execution and procurement of contracts relating to the supply of two water purification units to KwaZulu-Natal hospitals.
The matter was postponed to June 11, 2026 in the Durban High Court to allow Mkhwanazi to confirm legal representation and for both him and Nkonyeni to receive statements from the state.
All accused are expected to return to court on July 23, 2026 for a pre-trial conference.
The case follows Savoi’s conviction in September 2024, when he pleaded guilty in the Pietermaritzburg High Court to four counts of fraud and six counts of corruption committed in KwaZulu-Natal and the Northern Cape between 2004 and 2007.
His case was finalised through a plea and sentence agreement under Section 105A of the Criminal Procedure Act. Savoi was ordered to pay a R5 million fine or face 10 years in prison, in addition to a further 10-year prison sentence suspended for five years.
The court also granted a confiscation order of R60 million in favour of the state and directed Savoi to contribute R15 million towards costs arising from curatorship proceedings linked to an Asset Forfeiture Unit restraint application.
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