Department denies lease irregularities as letter sparks Premier’s Office dispute

Die DSC-gebou in Kimberley waarin die Kantoor van die Premier tans gehuisves word.
The DSC building in Kimberley. PHOTO: Helena Barnard

Department denies lease irregularities as letter sparks Premier’s Office dispute


A fierce political dispute has erupted in the Northern Cape following claims by Congress of the People (Cope) acting chairperson Pakes Dikgetsi that a leaked state document vindicates his long-standing warnings regarding the irregular lease of the Office of the Premier.

However, the Department of Roads and Public Works has pushed back against allegations of corruption and cover-ups, insisting the relocation generated millions in savings and involved no financial loss.

In a statement issued on behalf of Cope, Dikgetsi disclosed a letter dated 3 July 2026 from the Department of Roads and Public Works to property owner NC Millennium Properties. The letter reveals that the department is voluntarily terminating the lease agreement for the DSC Office Block, dubbed the “Glass House” by Cope, following negative audit findings by the Auditor-General.

Dikgetsi accused the Premier, Dr Zamani Saul, of misleading both the public and the Northern Cape Provincial Legislature after Saul previously assured lawmakers that all legal procedures were followed during the 2023 move.

“This is the evidence the public has been denied since 2023. The cover-up and lies have been exposed. An unlawful ten-year lease contract now must be terminated just after three years,” Dikgetsi stated, warning that the state faces potential legal liability from the property owners for breach of contract.

Dikgetsi clarified that his criticism is aimed at political leaders and public officials rather than the property owners. He added that Cope will refer the matter to the National Prosecution Authority’s Investigating Directorate Against Corruption (IDAC), request a legislature probe into whether the Premier misled lawmakers, and petition the Public Protector to act against officials who provided inaccurate information.

Department defends relocation decision

Responding to the allegations, the Department of Roads and Public Works confirmed that it is initiating corrective measures in line with Auditor-General guidelines, including a 90-day notice to terminate the lease and regularise accommodation through a new procurement process.

However, departmental spokesperson Crystal Robertson and ministerial liaison officer Zandisile Luphahla rejected claims of corruption, explaining that the Auditor-General’s finding of irregular expenditure was strictly administrative.

ALSO READ: Huurkontrak van Noord-Kaapse Kantoor van die Premier onder verdenking

“The Auditor-General’s finding relates to an administrative process: the failure to conduct and submit a market analysis and assessment report prior to concluding the lease,” the department clarified, adding “the Department confirms that no financial loss has been incurred by the State in relation to this lease agreement”.

The department defended the initial 2023 move away from the state-owned Transnet Building, noting that the old facility suffered from severe Occupational Health and Safety non-compliance, persistent power failures from cable theft, and broken lifts and air conditioning.

According to official figures released by Public Works:

  • Transnet Building (Pre-July 2023): The government paid R1.6 million per month with an 8% annual escalation.
  • DSC Office Block (July 2023–present): The current lease stands at R1.4 million per month with a lower 6.5% escalation.

The department maintained that the relocation achieved an estimated R3 million in annual savings for the provincial government.

Investigation into document leak

It also issued a stern warning regarding the unauthorised distribution of departmental correspondence, confirming that internal and legal processes are underway to investigate the document leak under the Protection of Personal Information Act (Popia) and other statutory frameworks.

NovaNews WhatsApp channel QR code

You need to be Logged In to leave a comment.

Gift this article