Mpumalanga – In a dramatic display of the state's determination to crack down on corruption, a joint operation involving the Asset Forfeiture Unit (AFU), the Special Investigating Unit (SIU), and the Hawks has resulted in the seizure of assets worth an estimated R52.6 million, linked to alleged Covid-19 funds looting. This operation, carried out on Tuesday, targeted 22 senior government officials, service providers, and entities suspected of being involved in a vast corruption network within the Mpumalanga Department of Public Works.
The operation, which spanned multiple provinces, saw authorities descend upon 34 locations, meticulously documenting the contents of 29 properties, 31 vehicles, and even a boat trailer. The seized assets, a stark reminder of the alleged illicit gains, included houses, electronics, cars, household items, jewellery, arms, ammunition, bank accounts, salaries, and even bail monies.
"This seizure follows a preservation court order from the High Court of South Africa, Mpumalanga Division, Mbombela obtained by the AFU," explained Monica Nyuswa, Mpumalanga spokesperson for the National Prosecuting Authority, in a joint statement released by the three law enforcement agencies. "The order allows the AFU, SIU, and Hawks to seize various assets in Mpumalanga, Gauteng, North West, and Western Cape provinces associated with personal protective equipment (PPE) corruption."
The court order, a powerful tool in the fight against corruption, effectively freezes the assets, preventing the accused from dissipating their ill-gotten gains. "All internet banking privileges will be removed from the accused as of July 23, 2024," Nyuswa stated, highlighting the immediate impact of the court action.
The individuals and entities targeted by the restraint order include:
- Departmental officials: Macdonald Sigudla, Dorries Mbatha, Bandile Ngcobo, Godisamang Molotsane, Kobus Mkhabela, and Sipho Monareng.
- Service providers: Maganeleni Trading and Projects (Pty) Ltd, Anthony Maganeleng Mashigo, Gladness Gugu Bulunga, Thandolwam Transport and Projects (Pty) Ltd, Mbombela Integrated Waste Management Services (Pty) Ltd, Orapaleng Molotsane, Tsidi Susan Sedibe, Superia Services Trading CC, Whisky Delisa Khumalo, Makulaspan Construction (Pty) Ltd, Thabang Lebo Andiswa Dibakoane, Ntando Ms Trading (Pty) Ltd, Bongani Edward Lukhele, Ligabho Le'Africa Properties (Pty) Ltd, Oratile Molotsane, and Ezrom Molotsane.
The SIU's investigation, which triggered this dramatic action, revealed a disturbing pattern of corruption, fraud, theft, and money laundering. "The SIU's investigation into PPE contracts related to the Covid-19 pandemic revealed that senior management officials awarded multi-million rand Covid-19 PPE tenders to suppliers who did not deliver the services," Nyuswa revealed. "These suppliers paid substantial kickbacks to the senior management officials and their family members in different ways."
The investigation uncovered a disturbing reality: the pandemic, a time of national crisis, was exploited by those entrusted with public funds. The alleged actions of these individuals and entities not only represent a betrayal of public trust but also a blatant disregard for the health and safety of the citizens they were supposed to serve.
The SIU, in line with its mandate under the Special Investigating Units and Special Tribunals Act 74 of 1996, referred the criminal evidence to the NPA and Hawks for further investigation, leading to the arrest of the implicated officials and service providers. They now face serious criminal charges related to PPE procurement and are scheduled to appear in the Commercial Crimes Court on charges of corruption, fraud, and money laundering.
President Cyril Ramaphosa, in a decisive move to address the rampant corruption, directed the SIU, through Proclamation R23 of 2020, to investigate allegations of corruption, maladministration, malpractice, and payments made by state institutions relating to PPE procurement and the conduct of state employees.
This operation, a significant victory in the fight against corruption, sends a powerful message: the state will not tolerate the abuse of public funds, especially during times of crisis. "This preservation order is part of the implementation of the national anti-corruption strategy by law enforcement agencies to strengthen their fight against corruption," Nyuswa emphasised. "It highlights the misuse of positions of trust by state employees to enrich themselves at the expense of public service delivery and the economy."
The AFU, empowered under Section 26 of the Prevention of Organised Crime Act 121 of 1998, is authorised to obtain restraint of property orders, effectively seizing assets that could be used to satisfy any future confiscation orders following a conviction. The SIU, in its role as a watchdog, can also initiate civil action in the high court or a special tribunal to address wrongdoing uncovered during its investigations.
This case, a stark reminder of the devastating consequences of corruption, serves as a warning to those who may be tempted to exploit public funds for personal gain. The state, through its dedicated law enforcement agencies, is committed to holding those responsible accountable and recovering stolen funds. The fight against corruption is a continuous battle, and this operation serves as a powerful reminder that no one is above the law.
The impact of this operation extends beyond the immediate seizure of assets. It sends a message of hope to the South African public, demonstrating that the state is actively working to address the scourge of corruption and ensure that public funds are used for their intended purpose: to serve the needs of the people. As the case progresses through the courts, the nation will be watching, hoping for justice to be served and for the stolen funds to be returned to where they rightfully belong.
