SIU investigates OR Tambo Municipality over water supply contracts

The OR Tambo District Municipality will soon be under the scrutiny of the Special Investigating Unit (SIU) regarding the procurement of five contracts related to the construction of water supply structures.

These involve projects in the Eastern Cape region between 2018 and 2020, but the investigation will cover allegations of improper or unlawful conduct up until now.

In addition to investigating maladministration, malpractice, corruption and fraud with the view of recovering any financial losses suffered as a result of these, the SIU will identify system failures and make recommendations to improve measures to prevent future losses.

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It will also refer any evidence pointing to criminal conduct it uncovers during its investigations to the National Prosecuting Authority (NPA) for further action.

Construction projects under the microscope

Signed by President Cyril Ramaphosa, Proclamation 172 of 2024 authorises the SIU to investigate allegations of serious maladministration for the following contracts:

• The construction of the Signal Hill Reservoir, the appointment of the Amatola Water Board in 2019, and an alleged irregular payment made to Amatola in 2020.

• The construction of the Manduli Bulk Water Scheme, the appointment of Ginasonke Engineers and an alleged irregular payment made to Ginasonke in 2019.

• The construction of the Mganduli Bulk Water Scheme, the appointment of Khwalo’s Construction, and an alleged irregular payment made to Khwalo in 2019.

• The supply and installation of a pump at Mhlontlo Cluster 1, the appointment of Valotone 94 CC and Phoenix Tanks (Pty) Ltd in 2019, and an alleged irregular payment made to the service providers in 2019.

• The electrification of the Mthatha Dam and Highbury, and the construction of the Thornbill Clear Water Pump Station, and the alleged irregularities regarding payment of Amatola for these projects in 2018 and 2019.

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The scope of the investigation also covers any unlawful or improper conduct by department officials or employees, the applicable suppliers or service providers, or any other person or entity that has caused or may cause serious harm to the interests of the public.

Furthermore, the investigation will also establish whether there was any unlawful appropriation or expenditure of public money.