Human Settlements officials in court over irregularities in a R411 million project

Several former employees from the Gauteng Department of Human Settlements (DHS) are facing multiple charges of corruption relating to a 2014 repair project.

Two deputy directors, three quality assurance inspectors and a contractor who received a tender are linked to irregularities in a R411 million project.  

The group appeared in the Specialised Commercial Crime Court in Johannesburg on 25 July and will be back in court on 10 September, with the possibility of more accused being added to the list of defendants.

Tender to fix hail damage in Tshwane

A tender to repair properties damaged by a hailstorm in Tshwane was issued in March 2014 by the department.

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The budget for phase one of the project was R411 million.

The owner of Adi Investments, Reyneck Khoza, is accused of wrongfully profiting from the tender as well as overseeing grossly sub-standard work.

“The probe further uncovered that bribes were allegedly paid to senior officials within the department to influence the tender award process,” stated Gauteng NPA spokesperson Phindi Mjonondwane.

The work completed was also deemed to be of low quality, which featured the reusing of damaged roofing and broken window panes.

The department’s officials allegedly accepted payments from Khoza varying from R18 000 to R300 000.

Compliance irregularities

The officials are charged with wrongfully, unlawfully, and intentionally accepting gratification from Khoza, who is charged with offering the said gratification.

The accusations include not following proper tender processes, with all business entities involved needing to be tax and NHBRC compliant.

Khoza was appointed as part of the professional resource team who would be in charge of nine more contractors appointed by the DHS.

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Investigations revealed only four contractors were tax and NHBRC compliant, with the others only having one or neither of the certifications.

Alleged ‘Construction mafia’ orchestrator arrested

In a separate incident, an undercover operation on 23 July in Klerksdorp secured the arrest of a former ward councillor and motivational speaker.

The man is one of two who allegedly intimidated a contractor in abandoning a work site until a R50 000 protection fee was paid.

The accused appeared in the Klerksdorp Magistrate’s Court and he has been remanded in custody until his bail application on 27 August.