The accused re-appeared in the Empangeni Regional Magistrate’s Court on Monday and the case was again postponed to 3 March owing to the unavailability of the probation officer.
Jaysinth Jezreel (JJ) Michael, his wife Tracy Michael, Ronnie Gumede, Glenrose Mtshali, Nokukhanya Ngcobo, Thobelani Majozi, Audrey Bailey and Edith Lee face a total of 180 charges.
It is alleged that in 2001 JJ presented a fraudulent document to pharmaceutical companies of Adcock Ingram Critical Care and Fresenius Kabi SA, stating that his company Intramed Pharmaceutical Suppliers and/or Feurette Forty CC, was registered with the South African Pharmacy Council to manufacture, sell and distribute schedule medicines.
He allegedly produced a similar letter to the management of 11 KZN hospitals. This included Ngwelezana Hospital, Hlabisa Hospital, uMkhanyakude’s Mseleni and Manguzi hospitals, Nkandla and Ekhombe hospitals, Benedictine Hospital in Nongoma, Bethesda Hospital in uBombo, Ceza Hospital in Ulundi, Catherine Booth Hospital in Amatikulu and Mbongolwana Hospital in eShowe.
The scam was discovered in 2006 following an investigation by the Durban Organised Crime Unit.
According to court documents, hospital employees Gumede, Mtshali, Ngcobo and Majozi would allegedly place orders for scheduled medications with Intramed Pharmaceuticals instead of other accredited suppliers.
In exchange, it is believed the hospital employees received payments for their participation in the scam. The orders would then be forwarded to Adcock Ingram Critical Care consultants Bailey and Lee, who would supposedly ensure the medication was delivered to a warehouse in Durban.
The medical supplies would then be picked up in Durban and distributed to the hospitals.
According to court documents, the medicines were sold to hospitals at prices much higher than normal prescribed fees, to the degree that the accused are believed to have pulled the wool over the eyes of the KZN Department of Health to the tune of over R7.4-million.
