The Madlanga Commission has heard that businessman Steve Motsumi loaned alleged crime kingpin Vusimuzi “Cat” Matlala R5 million to finance a business venture linked to the government in 2024.
Matlala made the disclosure while testifying before the commission on Tuesday, explaining that the loan was used to fund renovations for a hospital lease project at the South African Police Service (SAPS) Pretoria West College.
According to Matlala, the agreement was formalised through an acknowledgement of debt, with the full R5 million loan repaid in 2025.
He told the commission that the loan was unrelated to a separate proposed R20 million investment between the two businessmen, which ultimately did not go ahead.
Matlala said the R5 million was specifically intended to renovate the hospital as part of a lease agreement with the Department of Public Works.
The businessman was also questioned extensively about his relationship with businessman Hangwani Maumela.
Matlala confirmed that he and Maumela had been business partners and said they invested money into government tender opportunities, sharing profits from contracts they successfully secured.
Meanwhile, Matlala maintained that he could be a subject of a Special Investigating Unit (SIU) investigation relating to tenders issued by the Gauteng Health Department.
He did not disclose the specific offence he may be investigated for.
Matlala has repeatedly invoked his constitutional right against self-incrimination during his testimony, particularly when questioned about his alleged links to senior police officials and matters currently before the courts.
The commission is expected to continue questioning Matlala on Wednesday, when it will move on to a new line of inquiry.