Pressure is mounting on the City of Ekurhuleni following explosive financial disclosures that the City has allegedly paid R483 million to a company that sponsored the former city manager’s private jet flight to London.<\/p>\n
This is after civil society organisation, Public Interest SA, slammed the metro as the epicentre of tender corruption, demanding immediate arrests and a thorough investigation.<\/p>\n
These revelations came after reports last week revealed that XET Solutions allegedly bankrolled former Ekurhuleni city manager Dr Imogen Mashazi’s R3,35 million luxury private jet trip to London in 2022.<\/p>\n
XET Solutions secured at least five contracts over seven years to manage the municipality’s SOLAR enterprise resource planning system.<\/p>\n
This system was heavily compromised by a syndicate that siphoned R2 billion via an IT rates billing scam during the 2023\/24 financial year.<\/p>\n
The reports revealed that R18m of the R483m cannot be linked to any processed invoices. Furthermore, on June 30, 2022, the final day of the financial year, the metro rushed to settle seven invoices worth R48m. <\/p>\n
Five of these invoices were submitted on that exact day, including a single invoice for R23m. Public Interest SA said it is believe that these allegations warrant thorough scrutiny by the relevant oversight, investigative, and law enforcement authorities.<\/p>\n
The organisation added that it is essential that all facts be established through due process and that any wrongdoing be addressed decisively and without fear, favour, or prejudice.<\/p>\n
“At this stage, we are monitoring developments and reviewing information in the public domain. Should credible evidence emerge indicating corruption, maladministration, procurement irregularities, or failures of accountability that require intervention, Public Interest SA will consider appropriate action within its mandate, including engagement with relevant authorities and oversight institutions,” the organisation said.<\/p>\n
It added that the public deserves full transparency regarding the expenditure of municipal funds and the relationships between public officials and entities that do business with the state.<\/p>\n
Asked what the municipality is doing about the situation, the City’s spokesperson Phakamile Mbengashe did not respond at the time of publication.<\/p>\n
At the Madlanga Commission, Mashazi admitted under oath to failing to act on an Independent Police Investigative Directorate (IPID) report recommending action against senior officials and could not produce evidence to back explosive claims she herself had made.<\/p>\n
Efforts to get Mashazi to comment on the allegations were unsuccessful, while XET Solutions did not respond at the time of publication.<\/p>\n
The DA’s mayoral candidate in Ekurhuleni, Khathutshelo Rasilingwane, said these revelations will strengthen the party\u2019s criminal case against Mashazi. <\/p>\n
The case was opened at the Germiston police station last week following the allegations that XET Solutions paid for her trip to London.<\/p>\n
“We will take the revelations and share this with the investigating officer who is looking into the case. If there is any wrongdoing from her part, she needs to be held accountable, whether she is employed by the municipality or not,” she said, adding that the party also wants see action being taken against XET Solutions and other companies involved.<\/p>\n
“There is so many companies doing business with one municipality or multiple municipalities another. When they are found to be involved in corrupt activities, they simply move to other municipalities and continue with business as usual. <\/p>\n
“We will be calling for these companies to be blacklisted and for the monies to be repaid as the payment was meant for the provision of service delivery. If this has not been achieved then benefit should be returned to the residents,” Rasilingwane said.<\/p>\n
Meanwhile, in a statement issued on May 11, the DA said the Hawks are investigating several City of Ekurhuleni officials for their alleged role in the theft of approximately R2bn, reportedly siphoned through the manipulation of the municipality\u2019s IT and billing systems.<\/p>\n
Asked if Mashazi and XET Solutions are also part of that probe, Hawks spokesperson Colonel Katlego Mogale said she will only have access to investigators on Monday.<\/p>\n
The DA added that it will also write to President Cyril Ramaphosa to formally request the proclamation of a Special Investigating Unit (SIU) investigation into the matter.<\/p>\n
“We call for clear timelines on the initiation and finalisation of the probe, as well as the swift referral of evidence for criminal prosecution where wrongdoing is confirmed, read the statement.<\/p>\n
ActionSA councillor Michael James said this shows that corruption in the City of Ekurhuleni is widespread, deep-rooted and has effectively turned the municipality into an epicentre of tender corruption.<\/p>\n
“We have seen this in security tenders, and coming out of the Madlanga Commission. And it does not surprise me at all,” he said.<\/p>\n