There was a tug of war outside a South Jozi Homes housing complex near Toekomsrus on Friday, 10 January, when residents of Rand West City and surrounding areas demanded answers following allegations about the project being a scam.
Among those who complained were people who had paid a R600 registration fee to get a home once the project was completed.
On Friday morning, residents including people from Soweto and Kagiso stormed to the property. They demanded to be refunded and to speak to the management of the project.
Many who claimed to have made payments told the Herald they became suspicious when they were told that only cash would be accepted as payment.
Caroline Setsiba of the Rand West City Local Municipality (RWCLM), said they have been inundated with complaints and confirmed that the people who were there on the previous night had said it was very suspicious that they were told to pay in cash only.
“We decided to investigate by sending someone pretending to be an applicant. Our investigator was shouted at and told he was asking too many questions. They were only interested in collecting money, not in someone poking around,” Setsiba said.
Hope Papo, one of the complainants said, “It makes no sense that there is no form of any documentation the two parties are required to sign. The other thing is that their banner outside the complex does not show a registration number, contact details, or even the municipality to indicate that they have approved the project.”
Other complainants compared it to a structure being put up without any plans for sewerage infrastructure or electricity. They also believe that its proximity to the mine might not be safe.
Amanda Portia Maphuthi Mamabolo, owner of the project said it is aimed at helping the poor, and those who cannot afford to buy houses or wait for the government-issued RDP (Reconstruction Development Programme) housing.
“In 2018, we started the project in Sandton with funders from Beijing, in China. We bought land in KwaMhlanga, Polokwane, Hammaskraal and Johannesburg. The people I am in partnership with are willing to give away houses, not big ones, for free to the majority of people who need them. The houses will be comfortable enough and equipped with basic facilities.
“The R600 is for admin purposes only. The one-bedroom houses are to be given for free to those clients who have registered with South Jozi Homes. In return they are to give South Jozi Homes 10 referrals of clients who want bond houses. Our bond house will be for 10 years and repayments are low. If clients fail to pay, we don’t repossess the house; the house and the title deed will remain in the client’s name. The bond houses project will start in June this year,” Mamabolo said. She added that South Jozi Homes has employed 300 people, including builders and subcontractors.
“When we approached the City of Johannesburg they said they could only provide us with facilities after five years. We could not wait, as we have already promised our clients houses. We told them that we would do our own infrastructure and sink boreholes.”
Mamabolo added that the electricity would be provided by the Rand West City Local Municipality.
Asked about the cash payment, Mamabolo said the method was allowed as it was convenient for many applicants.
“If you agree, based on all the conditions, you will be given an application form, a police affidavit and an offer to purchase, which reflects a zero amount,” Mamabolo added.
