Dressed in an orange prison uniform, convicted fraudster Schabir Shaik cut a sad figure as he was escorted out of St Augustine's Hospital to continue serving his sentence behind bars.

But instead of going back to serve the rest of his 15-year term in the far-flung Qalakabusha jail, Shaik will remain close to his family.

“We have chosen Durban Westville Correctional Centre because of its proximity to St Augustine hospital where Shaik was admitted and treated by his private doctors which is also close to his doctors and family,” Correctional Services minister Ngconde Balfour said on Thursday.

Shaik will reportedly be placed in a general ward in the prison's hospital section.

Balfour said: “I wish to reassure all South Africans that no offender will be treated preferentially, but in terms of the provisions of the Correctional Services Act and our regulations which ensure access to private medical treatment at an offender's own expense.”

The head of parliament's correctional services portfolio committee Dennis Bloem said he could only comment on the matter once he had examined the medical reports related to Shaik's case.

Shaik has been in hospital for close to 100 days and has reportedly rung up a bill of more than R600 000 during his stay.

Last week Correctional Services minister Ngconde Balfour sent a specialist to conduct a medical examination on Shaik to determine if he was really ill or if he was faking an illness to remain in the private hospital.

This was after he reviewed the reports submitted by two private medical practitioners who diagnosed Shaik and that of a third doctor who was sent by the department.

A nurse at St Augustine's hospital, who spoke to the Daily News on condition of anonymity, said a convoy of correctional services officers accompanied Shaik as they drove off with him just before 4pm.

“He was wearing an orange uniform and he was surrounded by family members, correctional services officers and hospital security as he was led out the hospital,” she said.

“He was not assisted in any way and slowly walked out the hospital to the prison cars waiting to accompany him.”

The nurse also said that Shaik left the hospital through the doctor's car park where a prison vehicle was waiting for him.

“He caused quite a spectacle as he was leaving and patients were stopping to see what was going on and before he jumped into the van he shook hands with all his family members,” she said.

She said even though hospital personnel were initially angry that he had been kept at the hospital for so long, they were all sad to see him go.

It is believed that Shaik was visited by correctional services officials on Wednesday, presumably to inform him that he was going to be moved back to a prison facility.

Discovery Health has also started investigations into the validity of Shaik's medical aid claims. Recent media reports stated that the medical aid had not declined any of the claims as yet.

This will only be decided pending the outcome of the investigation. The investigation is being independently conducted.

Shortly after the announcement Shaik's brother, Mo, told the SABC that his brother's blood pressure was very high and that he was concerned about his health.

Mo Shaik said on Thursday that his brother's transfer to the prison had been done in consultation with the Shaik family and that they had been “forewarned”.

“Our doctors were of course not happy on the matter”.

He said there was no opposition to the minister's decision and “we all thought we would need a co-operative agreement”.

Mo said that doctors from Discovery Health and prison doctors had confirmed the findings of the family doctors that Shaik suffers from persistent high blood pressure that may be genetic and is drug resistant.

While in hospital Shaik was reportedly treated for high blood pressure and a mild stroke.

An angiogram was also conducted to check for blocked arteries and a maxillo-facial surgery is said to have been done to remove abscesses from his gums.

Shaik was convicted of fraud and corruption by Judge Hilary Squires in July 2005. In November last year the Supreme Court of Appeal upheld judgement and Shaik was sent to prison on November 9. He was then transferred to Qalakabusha Prison in Empangeni where he spent a few days before being rushed to the Durban hospital.

Meanwhile, Shaik's woes continue as the Transport Department is expected to make an announcement on its agreement with one of his subsidiaries, Prodiba, which was contracted to make credit card drivers licences for government since 1989.

In the first phase of the deal Prodiba was paid R260-million, but the Public Finance Management Act forbids government departments from doing business with convicted criminals.

With acknowledgements to the Daily News and Independent Online.