Ramaphosa’s office orders probe into ‘dodgy’ Soweto land deal

President Cyril Ramaphosa’s office has instructed the Gauteng Department of Corporative Governance and Traditional Affairs to probe allegations of maladministration and lack of accountability by the Joburg Property Company. 

In a letter that The Citizen has seen, head of department Itumeleng Mokate states that her department received a ‘request’ for intervention from the president’s office on 25 October.

This was on the same day The Citizen revealed how the piece of land in a heritage precinct currently occupied by squatters in Orlando East, Soweto, was sold for R650 000, in an area where 641 square metres easily sell for R1, 2-million.

“The matter has been referred to the City of Joburg Metropolitan municipality’s Group Forensic Investigation Services (GFIS) unit for further investigation,” she said.

The investigation must be completed within 90-days, with the City of Joburg metro required to provide a progress report in 60 days, Mokate said in the letter.

Bizarre

Orlando East, particularly the Mooki Street precinct where the properties are, is regarded as the birthplace of Soweto, with prominent historic sites such as the Orlando Communal Hall and the house of the father of Soweto, James Sofasonke Mpanza, nearby.

Though the property was sold in 2000, in 2015 and 2017 the Johannesburg Property Company (JPC) put out a tender or Request for Proposals (RFP) for the lease and retail development of the property.

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However, these were bizarrely allowed to lapse, with the bidders being told the tenders were either withdrawn or lapsed because of a historic land claim on the property.

But it has since emerged that there was no claim on the property as bidders were told, leaving Lekobakoba Construction and Projects, one of the bidders for the lease of the property, disgruntled and demanding answers.

Dishonest

The company wanted to build a shopping complex, Soweto Junction, on the property and claim the bid evaluation committee had recommended their bid but this was scuppered by JPC’s dishonesty.

The company’s senior managing director Tshepo Madumo said their pleas for answers were met with empty promises and lies, so they approached Ramaphosa’s office.

“…instead of JPC proceeding with the award, JPC decided to investigate a land claim that did not qualify to be a land claim … in November 2019 when the JPC responded to our inquiry, they stated that the [land claim] investigation was still in progress. It does not make sense to investigate a fake land claim for over a year. JPC delayed JOB opportunities, including empowering local companies and township economic development, all done deliberately,” he charged.

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The JPC has contradicted itself, first confirming the land claim and its validity following an investigation that produced a report.

But when pressed for answers and requested to produce the report on who claimed the land and the validity of the supposed claim in terms of Restitution of Land Rights Act, JPC made a U-turn and said there was no claim on the land.

This appears to give credence to Madumo’s claim that JPC fabricated the land claim and the validity of the question as to why the entity had lied.

Gauteng Department Co-Operative Governance and Traditional Affairs deputy director for executive support Marcia Tsima confirmed that they have referred the matter to the GFIS unit for investigation.

The unit, established in 2016 as an independent department to fight crimes committed against the metro, is yet to respond to respond to questions.

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