Order lifestyle audits after R200m waste, DA North West asks

The Democratic Alliance (DA) in the North West said it will write to Premier Job Mokgoro, requesting him to order a comprehensive lifestyle audit of the top management of the State-owned enterprise (SOE) the North West Development Corporation (NWDC), and its subsidiaries.

“This follows last week’s Portfolio Committee meeting on Premier, Finance, Economy and Enterprise Development where it was again disclosed that close to R200 million has been fruitlessly wasted,” the DA said in a statement.

The party alleged that the amount is derived from a tender awarded to Mvest Trust in the amount of R49 million, “an irregular contract awarded to Tokiso Security Services in the amount of R120 million and the Youth Entrepreneurship Services (YES) Programme where a whopping R10 million was barely enough to train 39 youths”.

The DA said NWDC management should provide an explanation of how Mvest Trust received R49 million to establish an app for a dry-cleaning service that was never opened.

The North West government reportedly awarded Mvest Trust a tender to develop an app for dry cleaning and laundry services in a deal worth R49 million

African National Congress (ANC) spokesperson Pule Mabe allegedly has interests in Mvest Trust.

“We also want to know what Pule Mabe’s involvement in this is, as it is said that he holds patent rights for the development of a dry-cleaning application (app) for phones,” the DA said.

The party said the “irregular” tender of almost R120 million awarded by NWDC to Tokiso Security Services has not been accounted for.

“The Youth Entrepreneurship Services (YES) programme launched by the Premier’s Office in 2017 was to be funded by NWDC, but no sustainable jobs have been yielded from this programme. The R10 million allocated only managed to assist 39 youth before the project ran out of money. No plausible explanation was offered for this failed programme,” the DA said.

The party said if Mokgoro is serious about eradicating corruption in the province then an investigation into the dealings of Mokgoro’s predecessor Supra Mahumapelo, along with all top managers of NWDC should be launched.

“Those found guilty of tender rigging and money laundering should be prosecuted for the gross mismanagement of state funds,” the party said.

The DA said the Golden Leopard Resorts Group falling under Dirapeng (SOC) Ltd, Tokiso Security Services, Kgama Wildlife (SOC) Ltd, Special Economic Zone Company, along with NWDC’s property rental of commercial, industrial and residential properties are a few examples of the wasteful endeavours the entity has embarked on.