NPA spokesperson Kaizer Kganyago described the outcome as a 'blow'.
Tenderpreneur Vusimuzi “Cat” Matlala has declined the plea deal offered by the court, resulting in his prior agreement with the state being nullified.
Matlala returned to the dock in the Pretoria Specialised Commercial Crime Court on Monday, 13 July 2026.
This follows the rejection of his plea agreement with the state by Magistrate Ignatius du Preez on 1 July.
He had pleaded guilty to charges of corruption, money laundering, and fraud linked to a R228 million health services contract awarded to his company, Medicare24 Tshwane District, by the South African Police Service (Saps).
As part of the agreement, Matlala had also committed to testifying as a state witness in collaboration with the Investigating Directorate Against Corruption (Idac).
However, the court found the proposed sentence of 15 years’ imprisonment, with seven years suspended, to be too lenient, as it would result in only eight years of actual jail time.
Du Preez instead proposed an effective sentence of 12 years’ direct imprisonment.
Cat Matlala rejects plea deal
Yesterday Matlala’s lawyer confirmed his withdrawal from the deal.
“Mr Matlala has been informed by counsel on your behalf in respect of yourself, accused two and three that it is your choice to withdraw the plea and sentence as you decline to accept the court’s recommended sentence agreement.
“The plea and sentence agreement is then regarded to be null and void,” Du Preez ruled.
The case was postponed to 11 September for the state and defence to determine a way forward.
NPA spokesperson Kaizer Kganyago lamented the fact that the plea deal has “collapsed”, describing the outcome as a “blow” to the prosecution.
“We really have to accept what the court has indicated. Obviously, it was not within our control as we had agreed,” he told reporters on Monday.
Kganyago indicated that engagements had taken place with Matlala’s legal team ahead of the court appearance, but the outcome did not align with what the state had anticipated.
“We arrived in this court not knowing what the decision is going to be.
“We were as shocked as everybody else, but it comes with the territory and that’s one thing that people need to understand,” he said.
Matlala to face trial
With the plea deal no longer in effect, the state will be unable to rely on any undertakings contained within it.
This includes potential testimony Matlala may have provided against senior police officials.
Kganyago confirmed that “nothing that was in that plea can be used” going forward, therefore, Idac will continue its probe independently.
Matlala, along with his companies Medicare24 and Luxo Africa Brand Investments, is now expected to face trial after being formally rejoined in the case.
“Because by not accepting the plea, he’s basically saying, I will want to go full force with the trial so that’s what is going to happen,” the NPA spokesperson remarked, adding that the state remains confident in the strength of its evidence against Matlala.
When asked whether Matlala’s decision to reject the plea deal was influenced externally, Kganyago emphasised the state would not speculate.
“We cannot just assume that he’s withdrawing for other reasons than what he believes in.”
Matlala is also expected to appear before the Madlanga Commission of Inquiry on Wednesday, 15 July.
Kganyago noted that while matters related to the Saps tender are sub judice (currently pending before a court), the NPA cannot dictate the direction of the inquiry.
“We cannot tell the commission what to do. They can ask whatever question that they want to ask.”
Saps-Medicare24 tender
Matlala was among 17 accused, including suspended National Police Commissioner Fannie Masemola and his alleged girlfriend Brigadier Rachel Matjeng, facing charges related to a controversial multimillion-rand tender.
The three-year contract, awarded in June 2024, had a budget allocation of R360 million, although Matlala’s successful bid was R228 million.
Subsequent investigations flagged the tender as irregular, revealing that at least R50 million had already been paid before the contract was cancelled in May 2025.
The matter will resume on 28 August, with Masemola remaining out on warning, while the rest of the accused, excluding Matlala, are out on bail ranging from R40 000 to R80 000.
Attempted murder trial
In addition, Matlala is facing multiple serious charges, including 11 counts of attempted murder relating to the failed assassinations of his former partner, Tebogo Thobejane, taxi boss Joe Sibanyoni and music producer Seunkie Mokubung, known as DJ Vettys.
That trial is expected to begin on 20 July in the Johannesburg High Court.