One
of the nine people arrested by the Hawks today in connection with fraud and corruption
charges, is the Eastern Cape Premier, Oscar Mabuyane’s top advisor, Zandisile
Qupe.
Qupe
and his co-accused, Mhleleli Mlungisi Tshamase, the metro’s
Executive Director of Infrastructure and Engineering, Walter Shaidi, Fareed
Fakir, Rukaard Abrahams, Andrea Wessels, Nadia
Gerwel, Dawid Le Roux and former deputy mayor Thando “Chippa” Ngcolomba, handed
themselves over to the Hawks at the Humewood police station at 07:00 this
morning.
They
appeared in the Port Elizabeth Magistrates Court shortly after on charges of
fraud, money laundering, corruption and the contravention of the Municipal
Finance Management Act (MFMA). This is in connection with tender corruption
worth approximately R73 million. The tenth person that
was to be arrested, is the metro’s late former mayor, Mongameli Bobani, who was
laid to rest today.
The nine were charged together with Fakir’s companies:
Heerkos Projects CC, Jarami CC and Erastyle Pty Ltd Fakir, Abrahams’
Dankovista Pty Ltd, Wessels’ Zeranza 299 Pty Ltd and Le Roux’s Le
Roux Inc.
The
accused were released on bail between R5 000 and R100 000. Although
they face counts under Schedule five of the Criminal Procedure Act, the state
did not oppose bail as all were aware that they were under investigation and
didn’t pose a flight risk. The matter was remanded until March 12 next year for
the state to seek authorisation from the National Director of Public
Prosecutions (NDPP) to prosecute
on charges of racketeering in the high court.
According
to a statement released by the Hawks, it is alleged that between 2013 and 2015,
the nine operated as a syndicate to fraudulently and corruptly benefit specific
suppliers or consultants (Fakir, Abrahams, Wessels, Le Roux and their
companies), to the prejudice of the Nelson Mandela Bay
Municipality and the National Treasury with the amount of approximately R73
million.
“Generally,
the individual accused played various roles within the syndicate. It is alleged
that political office bearers, Qupe, Ngcolomba and the late Bobani, wielded
political power within the Nelson Mandela Bay Metro structures and used their
positions to control decision-making in the procurement processes,” the
statement read.
“They
allegedly obtained co-operation of specific individuals and influenced
appointments in critical municipal positions and the appointment of people and
entities as suppliers or consultants that were willing to advance the interests
of the syndicate,” the statement further read.
It
is also alleged that Tshamase, Shaidi and Gerwel abused their municipal positions
to manage the internal Nelson Mandela Metro processes in ways designed to
ensure the irregular appointment of all Fakir’s companies and Le Roux’s company
as suppliers or consultants and consequently paid large amounts into the
companies’ respective bank accounts.
Fakir
and Le Roux and the entities under their control, allegedly played a central
role as the suppliers and consultants who were irregularly and/or fraudulently
awarded contracts and received payments from the Nelson Mandela Bay Metro.
It
is alleged that Abrahams and Wessels, with their respective entities, were
members of the syndicate in private business, that acted as professional
launderers. “They allegedlyaccepted payments from Fakir’s companies and from each other,
partly for themselves and for onward distribution to other syndicate members,”
the statement concluded.
More
charges are expected to be added before the matter is referred for prosecution
in the high court.
Source: Hawks media statement
