Public Works continues fight against fraud, corruption

Monday, September 29, 2014

Pretoria - The fight to eliminate fraud and corruption at the Department of Public Works is continuing in earnest, as more than 100 cases involving more than R1.1 billion have either been finalised or are being investigated.

Public Works Minister Thembelani Nxesi told reporters, on Monday, that some senior officials will soon appear in court to face charges arising from misconduct and corruption as the department has launched several civil cases in a bid to recoup the funds.

The intensification of the campaign against fraud and corruption in the department takes place against the backdrop of the Turn-around Strategy adopted in January 2012.

Since then, Minister Nxesi said six officials have been fired for various misconduct offences.

He said in 2009/2010, there were 14 cases investigated; in 2010/2011, 4 cases; in 2011/2012, there were 15 cases; in 2012/2013, there were 5 cases and in this current financial year about 15 cases are being investigated, including the Nkandla investigation by the Special Investigation Unit (SIU).

Minister Nxesi singled out the energy company that was paid R32-million for services that it did not render as one of the companies that are being investigated by the SIU.

The SIU is also investigating 13 companies for transgressions ranging from procurement process not being followed to incorrect suppliers being appointed.

He said the SIU is also carrying out an investigation against 23 companies including 15 companies in connection with procurement irregularities arising from the Nkandla security upgrade.

According to Minister Nxesi most of these investigations have been finalised and appropriate action will be implemented.

Criminal Cases

Minister Nxesi said among the criminal cases is an official at the Pretoria Office, Keneilwe Matlodi, who is facing criminal charges in the Commercial Crimes Court after allegedly soliciting a R600 000 bribe from a service provider. He is also facing an internal disciplinary hearing.

In March 2015, a former department employee, Desmond Simamane, and property magnate, Sayeed Hoosen Mia, will appear in the Johannesburg Regional court for the start of their criminal trial.

They are facing corruption charges emanating from when Thabo Moagi was still working at the department. He has since been dismissed following an internal disciplinary hearing.

The Minister said the department laid criminal charges against Roux Shabangu and Van Niekerk for allegedly benefiting in a fraudulent lease agreement.

“The department has filed an application to nullify the lease deal with Roux Shabangu on the grounds of fraud and collusion. The matter is to be heard in the North Gauteng High Court in November 2014,” he said.

The department has also laid criminal charges against a dismissed former official, Noloyiso Ntwana, who was found guilty in a disciplinary hearing in connection with R63-million spent in the renovation of Ministerial houses in Pretoria.

Another criminal case has been laid against former Director of Property Management, Vusi Mashiyane, and former Deputy Director Bella Tlolane.

With regard to the Skilpadhek Border Post, where the department instituted legal proceedings to recover an amount of R50 million from the service provider and the former Acting Director General Solly Malebye, Minister Nxesi said the matter will he be heard in November later this year, at the High Court, in Johannesburg.

According to the Minister, the department has issued summons in the South High Court to recover an amount of R8 million from Mia, Simamane and Moagi, but the matter is still pending. - SAnews.gov.za