President orders SIU to probe R27-m Ekurhuleni waste collection contract

President Cyril Ramaphosa has ordered the Special Investigating Unit (SIU) to investigate allegations of corruption related to an R27-million Ekurhuleni waste collection vehicle tender.

According to the SIU, Ramaphosa authorised the unit to investigate allegations of corruption and maladministration in the affairs of the Ekurhuleni metro and the Gauteng Department of Agriculture and Rural Development. The unit is also to recover any financial losses suffered by the government.

“The investigation will focus on the March 9, 2017, procurement of or contracting for the supply of 200 portable three-wheel motorised waste collection vehicles by or on behalf of the institutions and payments made in respect thereof. The tender was awarded to a company called Enviro Mobi to the value of over R27-m.
“Ekurhuleni appointed Enviro Mobi on October 31, 2018, to supply a further 70 three-wheel vehicles at a contract price of R7.8-m,” reads the SIU statement.

The SIU investigation aims to determine whether the procurement and payment made to the three-wheel waste collection vehicles tender were done in a manner that was not fair, competitive, transparent, equitable or cost-effective; or contrary to applicable legislation and guidelines issued by the National Treasury or the relevant Provincial Treasury.

The SIU will also look at whether there was any related unauthorised, irregular or fruitless and wasteful expenditure incurred by the institutions or financial losses suffered by the institutions of the government.
Furthermore, the SIU will investigate any irregular, improper or unlawful conduct by contractors, employees or officials of the institutions or the suppliers, service providers or any other person or entity relating to the allegations of corruption and maladministration.

The investigation will cover transactions that took place between January 1, 2017, and April 23, 2021, and transactions that either took place before January 2017 or after April 23, 2021. But relevant to or connected with the same persons, entities or contracts being investigated.

The proclamation authorises the corruption-busting unit to unleash all its legislative powers to subpoena bank statements and cellphone records, search and seize evidence, and interrogate witnesses under oath to hold those responsible to account for their actions.

Where criminal conduct is uncovered during investigations, the SIU will bring the matter to the attention of its partners, the National Prosecuting Authority, as well as the Hawks in the SAPS for further action.

Ekurhuleni mayor Mzwandille Masina took to Twitter to react to the SIU announcement, saying the metro would cooperate with the investigations as it has nothing to hide.

I see @RSASIU is tweeting abt proclamation we have not received. I advised them to focus on details so that we conclude this matter. We welcome them nevertheless and we will ensure we fully cooperate to ensure speedy resolution on the matter under investigation.

— Mzwandile Masina (@mzwandileMasina) April 28, 2021

DA welcomes investigation

The DA in Ekurhuleni has welcomed the SIU investigation into the tender awarding process.

It said the team must leave no stone unturned to ensure the perpetrators are held to account and to ultimately ensure waste collection returns to an acceptable standard as per the county’s constitution.

Clr Tiaan Kotzé, DA deputy shadow MMC for environmental resource and waste management in Ekurhuleni, said the outcome of the investigation will also help residents to finally have clarity on the true nature and intention of the coalition government, which is behind the “notorious” tuk-tuk project.

In February, during an unscheduled site visit to the Platkop Landfill Site, DA members said they came across the 70 tuk-tuks in a state of total neglect.

Most of them had flat tyres, stolen batteries and were not serving any function to the community.

“The investigation into allegations of corruption and maladministration in the City and the GDARD is the latest crisis to hit the City’s waste department – a department characterised by gross mismanagement and maladministration,” said Kotzé. The party pointed out that from the inception of the project, the DA was opposed to the tuktuk rollout for several reasons.

“Legislatively, the project did not follow the correct procedure, as it was rushed through and did not serve before the relevant oversight committee for proper deliberation.

“Financially, there was no plan to ensure the project’s sustainability despite the major financial implications it would have on the metro. Logistically, the project lacked detail in the sense that there was no viable rollout plan for the tuk-tuks, no storage plan, no ownership plan, no maintenance plan and no detail on driver requirements.

“Finally, there was no communication with councillors or ward committees on how the project would be rolled out, and no engagement with the community on how they would be affected by the introduction of the tuktuks,” said Kotzé.

Kotzé stated the DA has been asking the ruling party to provide feedback and comprehensive reports on how they were practically assisting the community in the processing and disposal of solid waste.

“The DA has been demanding the release of a full report on the procurement around the tuk-tuk project in the relevant oversight committee, only to be left frustrated by unanswered questions and requests.

“The MMC for environmental resource and waste management services, alderman Khosi Mabaso, was supposed to table the report at the virtual council meeting on the April 29 but withdrew the report before it could serve.

“Of great concern is that the tuk-tuk contract is just the latest of a string of crises that highlight just how broken the department is.

“For years, residents have endured the poor leadership of MMC Mabaso and head of department Faith Wotshela, which led the DA to launch a motion of no confidence in the MMC at the January 28 council meeting, which was ultimately dismissed by the speaker of council alderman Patricia Kumalo.

“Such action reflects the complete maladministration of the department, which has led to many of the service delivery failures that most communities in Ekurhuleni are experiencing, leaving residents in a desperate state.

“It is high time that the department of waste comes to terms with the waste crisis that is engulfing our communities.”

This investigation comes amid a public outcry of the lack of waste removal in the metro.

Fraud and corruption allegations may be reported via the following platforms:

siu@whistleblowing.co.za / Hotline: 0800 037 774.

Also Read: Mayor adamant the metro will deal effectively with lack of waste collection