Nondumiso Gwadiso (49), the tourism development manager at King Sabata Dalindyebo Local Municipality (KSD) and Luzuko Nobhongoza (37), the service provider, appeared before the Mthatha Specialised Commercial Crimes court on August 6, facing allegations of fraud and corruption.
According to Hawks spokesperson, Warrant-Officer Ndiphiwe Mhlakuvana, the duo was arrested by the Mthatha-based Serious Commercial Crime Investigation of the Hawks on the same day as their court appearance.
Mhlakuvana said it is alleged that the KSD awarded a tender to Lukholo AA Investments for the procurement of horseback racing equipment for a race held at Matyengqina location in Mthatha on December 3, 2023.
“Gwadiso at KSD Municipality was responsible for facilitating and monitoring the procurement processes until the handing over of the sponsored equipment to the race winners.
“Her co-accused Nobhongoza, was allegedly responsible for the managing all the activities of the company.
“Subsequently, Gwadiso and Nobhongoza were reportedly well aware of the general conditions of the contract that KSD Municipality and the service provider they entered for.
“However, the reports further indicated that the accused entered into their own arrangement was contrary to the approved specification, whereby Nobhongoza agreed to give Gwadiso cash to an amount of R130 000 instead of delivering horse race equipment amounting to R186 120.00 as approved, he reported.”
According to Mhlakuvana, Gwadiso allegedly handed over the horse race equipment valued at R80 000 and pocketed R50 000 for her personal benefit.
“It is further alleged that Gwadiso furnished the Municipality with a forged acknowledgement document of deliverance of the horseback racing equipment.
“Thereafter, Nobhongoza reportedly submitted an invoice to the Municipality for the said approved specification amount. The Municipality uncovered some discrepancies in the invoice submitted.
“Therefore, the matter was referred to the Hawks for investigation,” he added.
He revealed that the investigations by the Hawks established that the accused allegedly colluded by forging the acknowledgement documents and submitting a fictitious invoice to KSD Municipality, hence their arrest on August 6.
He further said, “KSD Municipality nearly suffered a loss of over R180 000.
“The duo made their first court appearance before the Mthatha Specialised Commercial Crimes court on the same date as their arrest.
“They were released on R5000 bail each and the matter has been remanded to October 7 to set a trial date.”
