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Gupta plan to bleed SA's poor exposed

Publish date: 19 March 2018
Issue Number: 766
Diary: IBA Legalbrief Africa
Category: State capture

How SA’s poor were to be fleeced to build a billion-dollar hospital for the rich in Dubai, in a plan allegedly concocted by the Gupta family, is revealed in a City Press report. Out of the R954 charged per patient for screening by healthcare provider Mediosa, R650 was to be paid to subcontracted companies from Dubai. The money would then be funnelled into the companies’ United Arab Emirates bank accounts, from where it would be used to fund the Guptas’ new business venture: Dubai Healthcare City. A former senior Mediosa employee reportedly told City Press that the Guptas hatched the plan to raise money through lucrative health tenders. He said Mediosa was a Gupta front company that planned to expand across the country. They apparently intended to do so using officials, including North West Health Department head Thabo Lekalakala. North West Premier Supra Mahumapelo has been drawn into the fray, because he was in control of the department at the time Mediosa’s R180m provincial contract was awarded. Documents reportedly show that, while Mediosa had lucrative contracts with North West and Free State, the plan was to sign up all nine provinces. The company projected an annual income of close to R1bn once this had been achieved. The Hawks are investigating Mediosa’s contract with the North West Health Department.

Full City Press report

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