Our Greedy Government
Let's make a list of all the corruption and unfair deals our government officials are involved in. The South African government are stealing themselves filthy rich while their own brothers and sister die of hunger. Very much the same as what is happening in Zim.


The SAPS and the 'dodgy' office deal
Public Protector Thuli Madonsela will soon wrap up a probe into the contested R500-million lease of a Pretoria building by the South African Police Service (SAPS). The high-value deal, which involved the SAPS, the department of public works and a businessman linked to President Jacob Zuma, has been described as "shady" and "dodgy" in months gone by as it did not follow normal tender processes. Madonsela received an 11th-hour response to inquiries into the deal from police National Commissioner Bheki Cele on Sunday. Responses from the Treasury -- whose regulations were contravened -- the department of public works, and complainant Paul Hoffman from the South African Institute for Accountability were received earlier this year.
http://www.mg.co.za/article/2011-01-25-the-saps-and-dodgy-office-deal


ICT 'forged Kumba application'
Johannesburg - Imperial Crown Trading (ICT) allegedly got hold of Kumba’s application for mineral rights and forged parts of it over the long weekend extending from April 30 to May 4 last year.
The falsified documents were apparently submitted with ICT’s application for the very same mineral rights that Kumba had applied for, but Kumba’s application had failed.
The rights were awarded to ICT at the insistence of Jacinto Rocha, the then deputy director-general for the regulation of mineral resources, despite recommendations from all his senior officials that the application should be rejected.
ArcelorMittal South Africa (Amsa) wanted to pay R800m for ICT’s rights, and had concluded a black economic empowerment deal worth R9bn with all the parties involved, all of whom have strong ANC connections.
A total 50% of ICT belongs to Jagdish Parekh, a confidant and friend of President Jacob Zuma and his son Duduzane. Kumba’s court documents argue that:
- The prescribed application form was not included when ICT’s application for the mineral rights was lodged at the provisional office of the Kimberley Department of Mineral Resources (DMR) on May 4 last year;
- ICT’s application contains falsified copies of title deeds of farms on which mineral rights had been awarded, which had clearly been copied from Kumba's application;
- Prospecting rights awarded to ICT were on farms that were part of the Sishen property, but for which ICT had not applied. Kumba had in fact applied for mineral rights on this land, the remaining portion of the farm 468; and .........
http://www.miningmx.com/news/markets/ICT-charged-with-forgery-fraud%20.htm


Zuma's son linked to Sishen firm
Duduzane Zuma (27) is, together with Jagdish Parekh, a director and shareholder at JIC Mining Services, a contractor mining company that mainly provides labour-broking services to mines. During the past two weeks Parekh has become a director of ICT and, according to him, owns 50% of this company. This means that Parekh now owns 10.7% of the mineral rights in the Sishen mine - the world's biggest iron-ore mine at Kathu in the Northern Cape.
http://www.fin24.com/Companies/Zumas-son-linked-to-Sishen-firm-20100418


'Fraud could cripple SA'
"Behind every corrupt official, contract or tender there is a company involved in the process of corruption." This is according to Bart Henderson, president of the South African Institute of Corporate Fraud Management. Henderson said South Africans are becoming increasingly aware of how fraud is penetrating not only the public but also the private sector, and the crippling effect it has on service delivery and the economy.
http://www.fin24.com/Business/Fraud-could-cripple-SA-20091029


AG names and shames state spendthrifts
Cape Town - The Auditor General's office on Wednesday named and shamed departments guilty of irregular expenditure in the last financial year, with defence being the worst offender. That department racked up more than R1bn in irregular expenditure, accounting for 43% of the government's total bill of irregular expenditure of just under R3.9bn in 2009/10. ...... Here the three worst offenders were the Road Traffic Management Corporation with R360m, the National Prosecuting Authority with R273m and the Property Management Trading Entity with R264m. The State Information Technology Agency accumulated R214m in irregular expenditure, and Cipro R95m. In both cases the full amount was attributed to flawed procurement.
http://fin24.com/Economy/AG-names-and-shames-state-spendthrifts-20101117


AG questions CCMA's R22m IT spend
The Auditor-General has cleared the Commission for Conciliation, Mediation and Arbitration (CCMA) of fraud and corruption, but found the organisation spent millions on ICT procurement irregularly. The irregular expenditure was revealed by the AG's report to Parliament late last week, after it conducted an investigation into the CCMA at the Department of Labour's request.
Last October, the Labour Department referred the Commission to the AGs office, citing several concerns, including the appointment of service providers and the employment of personnel – including the risk and human resource managers – without proper processes being followed. The Auditor-General's report, completed last month and now tabled in Parliament, reveals the CCMA spent R23.6 million irregularly, because the proper procurement processes were not followed. The majority of this amount – approximately R22.85 million – was allocated to ICT expenditure.
http://www.itweb.co.za/index.php?option=com_content&view=article&id=35907


ANC to bag R50m from Eskom deals
The ANC's investment arm Chancellor House will receive R50m over eight years in profit from the Eskom Medupi and Kusile power stations, Hitachi Power Africa said on Tuesday. "Chancellor House will only share in the profits of the local scope and it will not be billions... We are looking at about R50m over a period of eight years. That's the magnitude," said Hitachi Power Africa CEO Johannes Musel.
http://www.fin24.com/Economy/ANC-to-bag-R50m-from-Eskom-deals-20100420


ANCYL lands a lucrative contract
A printing company linked to the ANC Youth League (ANCYL) and partly owned by the league’s national executive committee member Ali Boshielo has landed a crucial printing contract with the Limpopo government. A letter from the Government Printing Works sent to Review Printers shows that the company was awarded the contract in March for “printing and supplying of general full-colour work in the Limpopo province for a period of one-year commencing April 1 2010 and terminating March 31 2011”. Documents in the possession of City Press show that the ANCYL’s investment vehicle – the South African Youth Development Trust – holds a stake of 30% in Review Printers.
http://www.citypress.co.za/SouthAfrica/News/ANCYL-lands-a-lucrative-contract-20100502


Borehole tender shame
Official papers in City Press’s possession show that more than half of the 100 tenders, ranging in value from R8 000 to R499 000, were issued to a list of beneficiaries packed with ­local ANC cadres and activists.
Mopani district municipality mayor Joshua Matlou, an ally of Premier Cassel Mathale and ANC Youth League president Julius Malema, was subsequently elevated to the party’s regional chairpersonship unopposed. An ANC local leader who refused to be named said: “Those tenders were for the conference. That is why that boy (Matlou) was ­elected unopposed.” The beneficiaries, including Desmond Mahasha, branch chairperson Phetole Molapisane and Member of the Provincial Legislature Pharephare Mothupi, got their share of the tenders less than a month before the Mopani regional elective conference last September. This has stirred up allegations that taxpayers’ money was used to buy votes.
http://www.citypress.co.za/SouthAfrica/News/Borehole-tender-shame-20100627


Bribery claims haunt deeds office
At least one senior official received bribes to speed up property transfers at the Pretoria deeds office, Business Report said on Tuesday. This is the latest fallout from the property drama involving the fraudulent transfer of 33 properties from the Johannesburg Property Company (JPC) to private firms. Another 30 sites owned by the Tshwane Metro and North West Housing Corporation were also allegedly transferred fraudulently. According to Business Report, the "going rate" of R1 000 was charged for expediting transfers and R500 for inserting a transfer duty certificate after the lodgement of a deed. One official pocketed thousands of rands a day, the report stated.
http://fin24.com/PersonalFinance/Property/Bribery-claims-haunt-deeds-office-20100727


Cipro clean-up flounders
Conspicuously silent is minister of trade and industry Rob Davies, who initially vowed to get tough with crooked officials at Cipro. Davies was hailed by industry observers and political commentators as one of the few ministers in government who was serious about stamping out corruption, and seen as a politician who would make a real difference for a change.
http://www.itweb.co.za/index.php?option=com_content&view=article&id=34838


Cipro heading for parliament
Details of a controversial tender worth R153m for a new electronic content-management system for the beleaguered Cipro (Companies and Intellectual Property Registration Office) will soon be aired in parliament, the auditor-general and trade and industry department have said. The tender, awarded to the unknown company VALORit despite it being almost R90m more than that of the JSE-listed Faritec, has been investigated by the auditor-general and an independent forensic team.
http://www.fin24.com/PersonalFinance/My-Business/Cipro-heading-for-parliament-20100411


Cipro heads for implosion
The Companies and Intellectual Property Registration Office (Cipro) will implode if the Department of Trade and Industry does not take decisive action to clean it up, warn market commentators. Cipro is funded by the South African business community, which is charged fees and levies for services, such as name reservations and registrations, annual returns and sales of data on its database. In the last financial year, fees paid directly to Cipro amounted to R854 million, which was a decline on 2009's figure of R954.8 million. The drop was the result of a slowdown in economic activity in SA due to the global recession. However, Cipro has been slammed after being hit by several incidences of fraud perpetrated on its database, including the recent well-publicised hijacking of Kalahari Resources. The state of its database has also been questioned after a recent wide-ranging clean-up resulted in 750 000 companies being deregistered in one day.
http://www.itweb.co.za/index.php?option=com_content&view=article&id=37726&A=FIN&S=Financia


Cipro loopholes exposed in R220m tender 'hijack'
A company that landed a R220m tender to install an electrical system for the Gautrain was 'hijacked' by politically connected entrepreneurs who exploited weaknesses in the Companies and Intellectual Property Registration Office (Cipro), Business Times reported on Sunday. Business Times reported that Advocate Matane Mphahlele appointed himself director and managing director of Tension Overhead at Cipro and "suspended" the existing bosses.
"The 'hijackers' are politically well connected. Mphahlele served as a legal director in the Department of Public Enterprises, while his new directors include ANC member and National African Federated Chamber of Commerce (Nafcoc) deputy secretary-general Kentse Makgae, and Limpopo treasury official Thomas Mphahlele," Business Times said in its report.
http://fin24.com/Business/Cipro-loopholes-exposed-in-R220m-tender-hijack-20100725


Communications dept probes tender leak
Andile Ntingi- Johannesburg - A consortium of consultants could face fraud charges for submitting an unsolicited bid allegedly using tender information that the Department of Communications had not made public.
On July 22, the department laid a criminal complaint against the consortium led by Brenda Malongete of Malongete Professional Services at the Brooklyn Police Station in Pretoria. The case is being investigated by the commercial crimes branch.
http://fin24.com/Business/Communications-dept-probes-tender-leak-20100815


Controversy surrounds Nyanda again
Mpumalanga's Department of Cooperative Governance and Traditional Affairs (COGTA) has confirmed media reports of a contract granted to Abalozi Security Risk Advisory Services.
The company, which is partly owned by the family of communications minister Siphiwe Nyanda, has been under fire for a number of irregular tenders recently.
Media reports claim the department gave Abalozi a R20 million contract to investigate service delivery protests in Mpumalanga, without advertising the tender or seeking competitive bids. “The Department of Cooperative Governance and Traditional Affairs confirms that it entered into a formal contract with the said service provider.”
Head of communications for the provincial department Simphiwe Kunene confirms the contract was granted last year, but also says it came to an end around November.
http://www.itweb.co.za/index.php?option=com_content&view=article&id=35905


Cope continues Nyanda probe
While communications minister Siphiwe Nyanda's spokesman says the issue over the minister's Cape Town accommodation costs is now over, Cope MP Juli Kilian says it is not and the party will prepare more questions. A written reply to Kilian's parliamentary questions, concerning Nyanda's accommodation in luxury Cape Town hotels and that of his staff and bodyguards, reveals the costs totalled R515 118.92 from April 2009 until March 2010. This is despite the minister being entitled to an official house.
http://www.itweb.co.za/index.php?option=com_content&view=article&id=32725


Corrupt and greedy leaders keep Africa poor
Ian Mann: While it is obviously extremely difficult to generalise about a region comprising 48 countries that vary considerably in their economic and political circumstances, Dr Greg Mills does discern a common thread.
The main reason Africa's people are poor is because their leaders have made this choice. Mills provides bold examples of this assertion such as the genocide in Rwanda, the destruction of Zimbabwe's economy, the 2005 famine in Niger, the war in Darfur, Somalia, Guinea, Angola, Congo, and so on. And he cites the less obvious and less headline-creating, but no less destructive examples of policy choices that have capped Africa's development. Why has Africa failed to adopt the policies for growth that have proved successful in other parts of the world?
http://www.timeslive.co.za/business/careers/article626225.ece/Corrupt-and-greedy-leaders-keep-Africa-poor


Corrupt execs caught red-handed
The South African Police Services' Hawks unit and the Department of Home Affairs caught Lefatshe CEO Coltrane Nyathi and Home Affairs' chief director of infrastructure management Nkosana Hilita in the act of “corrupt activities”, the organisations claim. This revelation follows news yesterday that Nyathi and Hilita are incarcerated on a charge of corruption, pending a bail hearing due to take place on Monday. Despite confirming the arrest of Hilita's subordinate, Zakhele Khuzwayo, on Wednesday evening, the Hawks are now stating that a “third person” was involved in the sting. Cash in hand A media briefing held yesterday in Pretoria by the two government departments revealed Nyathi, along with the “third person”, allegedly attempted to hand over R200 000 in cash to Hilita.
http://www.itweb.co.za/index.php?option=com_content&view=article&id=35865


Cosatu demands reversal of Zuma deal
"Cosatu supports the call on the government to mandate the cabinet to intervene to reverse these seriously embarrassing deals," said a statement issued by the Congress of South African Trade Unions (Cosatu). "If they are allowed to stand, they can do the country no good." A R9bn economic empowerment deal involving ArcelorMittal SA [JSE:ACL] transferring 26 percent of its local shares to black investors including a consortium led by President Jacob Zuma's son, Duduzane, has sparked anger in Africa's economic powerhouse. The National Union of Metal Workers of South Africa, the country's largest union that is under the COSATU umbrella, also expressed concern.
http://fin24.com/Companies/Cosatu-demands-reversal-of-Zuma-deal-20100818


Crackdown on dodgy housing contractors
He said the top 10 dodgy contracts in each province were identified and narrowed down to 20. On average the contract amount is about R100m per contract. The national audit task team also probed housing syndicates and subsidy fraud in provinces and municipalities.
Since investigations began in 2007, R44m has been recovered from provincial and municipal officials relating to human settlement grants for service delivery. A total of R11m has already been paid back into state coffers and 1 910 government officials have been arrested as unlawful beneficiaries of subsidies. Zulu said 1 297 of these had been successfully prosecuted.
There was also increasing concern over housing syndicates, and investigations were under way into the selling and renting of state-owned houses primarily in Gauteng, the North West and KwaZulu-Natal.
http://fin24.com/Business/Crackdown-on-dodgy-housing-contractors-20100816-2


DG rejects R1.6m offer
Axed communications director-general (DG) Mamodupi Mohlala rejected a payout offer of a year’s salary of R1.6 million from minister Siphiwe Nyanda because she allegedly believed she was entitled to more than that.
Nyanda’s decision to fire her is said to have been endorsed by President Jacob Zuma and public service minister Richard Baloyi.
http://www.citypress.co.za/SouthAfrica/News/DG-rejects-R16m-offer-20100725


Dodgy firm to protect courts
Bosasa Security is part of the Krugersdorp-based Bosasa group of companies that has benefited generously from a range of multimillion-rand government tenders over the past six years. Companies in the group are ­currently being investigated by the police for allegedly bribing senior correctional services officials to win lucrative prison tenders. Bosasa Operations, the group’s holding company, and affiliate companies Sondolo IT and Phezulu Fencing were awarded tenders to run prison kitchens, install security systems and erect fencing. In 2007 the Special Investigating Unit (SIU) started probing these tenders and in 2009 a final report was handed over to Correctional Services Minister Nosiviwe Mapisa-Nqakula, who sent the ­report to the NPA. In December 2009, SIU boss Willie Hofmeyr told Parliament they had found proof of fraud and corruption in the awarding of these tenders.
http://www.citypress.co.za/SouthAfrica/News/Dodgy-firm-to-protect-courts-20110108


Eskom hikes: 'ANC to coin it'
There are "compelling reasons" to believe the ANC will benefit from Eskom's proposed electricity tariff hikes, a Democratic Alliance MP claimed on Thursday. Sejamothopo Motau said the ANC would earn billions of rands through its investment arm Chancellor House after a "flawed" multi-billion rand tender to build a boiler for Eskom at Limpopo's Medupi power station. "The array of information available now in the public domain provides compelling reasons to believe that the ANC will benefit from higher Eskom tariff hikes," he said in a statement. Hitachi, in which Chancellor House hold a 25% stake, won a tender to build the R20bn Medupi boiler in Limpopo in 2005. The ANC's share of the deal was worth R5.7bn.
http://www.fin24.com/Economy/Eskom-hikes-ANC-to-coin-it-20100121


Eskom’s fat-cat salaries
The amount included a R4.7million reward to former Eskom chief executive Jacob Maroga, who was paid for the seven months he spent in the parastatal’s employ before his controversial exit last October. Maroga’s successor Dames also took home R5.9million for his position as chief of the generation business, responsible for maintaining adequate coal stockpiles and uninterrupted electricity supply. The remaining four executive committee members received an average 59% cash increase on their 2009 salaries and short-term bonuses, totalling R5.3million, awarded both for delivering targeted savings last year and for Eskom’s R3.6billion profit this year.
http://www.citypress.co.za/Business/News/Eskoms-fat-cat-salaries-20100704


Fat Cats
ANC Youth League (ANCYL) leaders are using their ­political connections with senior government ­officials and the heads of state-owned ­enterprises to enrich themselves through the league’s growing business empire. City Press has uncovered a scheme – hatched last year – that places new directors of the league’s controversial company, Lembede ­Investment Holdings, in line for a 30% share of all deals signed during their term of office. Documents and sources reveal that the scheme revolves around creating several ­companies to front for the league – and making a few individuals rich.
http://www.citypress.co.za/SouthAfrica/News/Fat-Cats-20100502


Four municipalities probed for ‘R30m fraud’
News | Features Politics Homepage Sport Homepage Entertainment Homepage Lifestyle | Motoring Business Homepage Editorials | Columnists | Blogs | Cartoons Letters | Your Story News24 | The Witness | Rapport | Sondag ANC NGC | African World Cup Four municipalities probed for ‘R30m fraud’ 2010-10-11 16:55 * Article Tools o Print article o Email article * Share o Yahoo o Google o Digg o del.icio.us o Twitter Related Links * ‘Take councillors who abuse tender system to court’ Four North West municipalities are being investigated over fraudulent payments to companies for services that never took place, the Sowetan reported. According to the report, Special Investigating Unit boss Willie Hofmeyr briefed North West premier Maureen Modiselle in Mafikeng over the corruption in Madibeng (Brits), Greater Taung (Vryburg), Mafikeng and Ventersdorp municipalities............
http://www.citypress.co.za/SouthAfrica/News/Four-municipalities-probed-for-R30m-fraud-20101011


Fraud suspect gave ANC R3,6-million
Embattled Uruguayan businessman Gaston Savoi, who is accused of bribing government officials for tender awards worth more than R86-million, donated about R3,6-million to the ANC in six separate payments. Savoi also confirmed this week a web of political connections and BEE partners whom he used to market his water purifiers and oxygen generators to the government. His networking, he said pivoted around Rafique Bagus, once Alec Erwins right-hand man and the man in trade and industry circles. According to Savoi Bagus ultimately handpicked Savois equity partners, who included Bagus himself and a virtual who's who of influential ANC and government figures.
http://www.mg.co.za/article/2011-01-21-fraud-suspect-gave-anc-r36million


Guptas under scrutiny
The Gupta brothers, friends of President Jacob Zuma, are embroiled in a saga over their eligibility to benefit from empowerment. Soon after the news that the Gupta brothers had acquired a part of the ArcelorMittal SA [JSE:ACL] (Amsa) R9bn empowerment deal last week, eyebrows were raised as to how Ajay, Atul and Rajesh, who immigrated from India in 1993, could be benefiting from black economic empowerment meant for South Africans disadvantaged by apartheid. The Guptas defended their acquisition of a share of the deal that is being allocated to local black people by the steel producer.
http://www.fin24.com//Business/Guptas-under-scrutiny-20100822


Hawks arrest 'high-flyers' over fraud
Johannesburg - The Hawks on Tuesday arrested four people for alleged misappropriation of funds from the Land Bank.
The four, who are described as "high-flying", were arrested following an investigation by the unit, said spokesperson McIntosh Polela.
The four, who include a former Land Bank CEO and a former housing MEC in Limpopo, were implicated in an investigation relating to a sum of R14m that was transferred from the AgriBEE fund to a firm of attorneys.
http://www.fin24.com/Economy/Hawks-arrest-Land-Bank-officials-20110301


Next Last




The Mail and Guardian are compiling a list of business interests of our Greedy State President, Zuma Inc. Here is the list and please report anything you know to the Mail and Guradian at the link provided below.

"Here are the business interests of "Zuma Incorporated" -- of President Jacob Zuma and his women, children and other close relatives -- as far as we could identify them from public sources.

There are likely to be some inaccuracies, many gaps, as well as stories to tell about what exactly these companies do. Have they landed contracts simply on the strength of the Zuma name? Do they do business with the state? There may also be close relatives we have not identified. If you can help complete the picture, please click here to email your responses to the Mail & Guardian.