Motsoeneng, Mbalula sued over failed R38 million RDP housing saga

Motsoeneng and Nokuzola Mbalula, who is the wife of the sports minister, are the trustees of companies that received tenders to build houses in the Free State and, despite receiving millions, failed to deliver.

According to the Sunday Times, Mosebenzi Zwane, while MEC for human settlements, approved the payments to companies before they had done any actual work for the government.

R1 billon was spent by the Free State government in a period of five months to 106 companies, including those of Motsoeneng and Mbalula and this has formed part of an affidavit submitted by department head Nthimose Mokhesi filed in the Bloemfontein high court.

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The Sunday Times further reports Zwane and housing officials schemed to have the R1 billion spent fraudulently after former housing settlements minister Tokyo Sexwale said he would  allocate misused funds to other provinces.

Zwane then begun spending millions, paying this out to contractors and was consequently fired after the national department of human settlements shifted R263 million to other provinces.

Mbalula and Motsoeneng, who are the trustees of Imbuma and MM Development Trusts, received R38 million to build 350 houses in Virginia and 100 in Bloemfontein. The houses are yet to be built, reportedly.

Motsoeneng and Mbalula both declined to comment.

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