HONOLULU (HawaiiNewsNow) — The U.S. Justice Department announced charges Tuesday against 455 health care professionals — including two in Hawai?i — as part of a nationwide crackdown on alleged health care fraud and opioid-related schemes.
Officials said the defendants include 90 doctors and other licensed medical professionals who were allegedly involved in over $6.5 billion in false claims and patient harm across multiple cases.
Henry Quan, 54, a registered pharmacist in Honolulu, was charged by criminal complaint with health care fraud in connection with a scheme to bill Medicare for prescription drugs that were never dispensed, according to the U.S. Attorney’s Office, District of Hawaii.
As alleged in the criminal complaint, Quan controlled Wellness Pharmacy, which billed for several high-cost drugs it did not have on hand, resulting in a loss of at least $1.5 million, the office…
THE TUTUKA POWER STATION PROCUREMENT FRAUD (ESKOM)
Date: August 29, 2025 Perpetrator: Jessie Phindile Kubheka (Supplier Director)
Case Description: As part of the ongoing “cleaning up” of Eskom, Jessie Phindile Kubheka was sentenced to 12 years (with 5 years suspended) for defrauding the Tutuka Power Station. The case involved a sophisticated procurement syndicate that exploited Eskom’s emergency repair protocols. Kubheka’s company was contracted to deliver three high-specification containers for the power station. Only one container was ever delivered, and even that single unit failed to meet the required safety and technical specifications.
Despite the lack of delivery, Kubheka issued grossly inflated invoices, defrauding the utility of approximately R2.6 million. The Middelburg Specialised Commercial Crimes Court ordered Kubheka to repay the full amount. This case is significant because it marks a shift in Eskom’s strategy toward “naming and shaming” suppliers and pursuing full asset recovery. It serves as a stark warning to contractors that the 2026 climate of “Zero Tolerance” for state-owned enterprise (SOE) fraud is backed by active judicial enforcement.
Link to Original: Eskom Official – Tutuka Fraud Sentencing