SIU Obtains Order to Freeze Rand 22 Million in Bank Accounts Linked to Digital Vibes

On special leave: Minister of Health Zweli Mkhize.

• The Special Court granted a ban on freezing the bank and investment accounts of individuals and entities related to Digital Vibes.
• The company, with close ties to former associates of Zweli Mkhize, has cashed in payments worth R 150 million from the health department.
• Mkhize is currently on special leave while the award of contracts to Digital Vibes is under consideration.

The Special Investigative Unit (SIU) has received an order to freeze Rand 22 million in bank accounts linked to Digital Vibes, which won a multi-million Rand contract from the Ministry of Health.

In a statement released on Wednesday, the SIU said the Special Court granted the preservation order on June 17.

“The special court order bans, among others, Digital Vibes, Tahera Mather, Naadhira Mitha, Suhaila Mather, Suhaila Mather Consulting (Pty) Ltd, Amods Attorneys, WT Graphics and Designs (Pty) Ltd and Strategeewhiz (Pty) Ltd ( the 1st defendant and the 5th to 11th defendants) to deal in any way whatsoever with the funds held in the bank and investment accounts concerned, ”the statement read.

The unit said it contacted the Financial Intelligence Center (FIC) earlier this month with evidence.

The FIC helped the SIU suspend the R22 million identified as funds from money donated to Digital Vibes by the Department of Health.

Last month, the Daily Maverick revealed how Mather and Mitha, who had both worked closely with Health Minister Zweli Mkhize, had benefited from a Rand 150 million contract awarded to Digital Vibes, a “obscure” communication, which had initially won a tender. to provide national health insurance services. He was then called upon to contribute to the department’s Covid-19 response.

The company was eventually paid 150 million rand.

On Wednesday, the SIU said it would now go to the Special Court to seek “an order against Digital Vibes and other affected entities / individuals to repay any financial losses suffered by the state as a result of the appointment. of Digital Vibes by the “.

The statement added that, while the SIU’s investigation into the contract award was underway, “preliminary investigations revealed clear evidence exposing two highly irregular and illegal transactions.”

“The first transaction is a procurement process in 2019 in which Digital Vibes was appointed to perform communication services relating to the [NHI]. The second transaction took place in 2020 during the duration of the first transaction when Digital Vibes was “nominated” as part of a Covid-19 awareness campaign, without any tendering or other procurement process.

“The Covid-19 awareness campaign was simply introduced as an extension of the contract between the department and Digital Vibes regarding NHI’s media campaign, in circumstances where such an extension was irregular and illegal.”

SIU said of the R 150 million given to Digital Vibes, R 25 million went to INSA’s media campaign, while the remaining R125 million was paid for work on Covid projects. 19.

While Mitha is Mkhize’s former personal assistant and Mather is a known longtime associate of the minister, he (Mkhize) denied that they were his friends.

Mkhize then took special leave, shortly after it emerged that his son had received a bakkie from Digital Vibes.

The SIU has said it will forward any evidence of a crime to the National Prosecuting Authority.

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