By OBAKENG MAJE
The former Head of Department at Northern Cape Roads and Public Works and a Director of a liquidated company are expected to appear at the Kimberley Magistrate Court today for contravention of the Public Finance Management Act (PFMA), fraud, corruption, and money laundering. Both accused persons were arrested earlier this morning by the Hawks Serious Corruption Investigation unit in Kimberley.
The Hawks spokesperson in Northern Cape, Nomthandazo Mnisi said, in 2003, the Northern Cape Department of Health together with the Department of Public Works and Roads, allegedly embarked on a project to construct a new Mental Health Facility in Kimberley. Mnisi further said the original contract was to an amount of R290 million.
“It is further alleged that, some of the constructed buildings faced possible demolition after R420 million was paid to a liquidated contractor on a project that was originally budgeted for R290 million. It was discovered that the company that was appointed did not have the capacity to render the service and the contract was terminated, whilst money was already paid.
“Work on the project has since been halted, leaving the facility incomplete and unusable, and at a considerable cost to the Department of Health. Officials did not follow the normal procurement procedures when appointing the consultant,” she said.
She added that, the project was marred with maladministration and there was no value for money.
Meanwhile, the Provincial Head of the Directorate, Major General Stephen Mabuela welcomed the arrest.
The Guardian 