Former CEO, Phineas Kgahlisho Legodi, the chairperson of the Bid Evaluation Committee (BEC), Ngwako Micheal Moseamedi, and businessman, Emanuel Matome Sefalafala, and three others are facing charges involving R45 million allegedly committed at the water board which supplies bulk water to the local and district municipalities on behalf of the Department of Water and Sanitation.
The three, together with Gumani Gangashe, Mpho Chokolo, and Vusi Mhlongo, are out on bail ranging between R1 000 and R20 000.
They are charged with a Sefalafala’s company, Falaz General Trading and Construction (Pty) Ltd.
Further charges have been added following allegations of kidnapping and extortion by Ahuiwi Netshidaulu, the Lepelle Northern Water Board acting CEO.
Netshidaulu was appointed to the position a few months after Legodi, was put on precautionary suspension by the interim board of the entity.
In 2018, the Lepelle Northern Water Board awarded a R45m tender to Falaz for the collection, removal and disposal of hazardous waste management.
Legodi was the CEO, and accounting officer of the Lepelle Northern Water Board, at the time.
It is alleged that Sefalafala submitted forged documents for the tender.
The tender was set aside by the High Court of South Africa: Limpopo Division, Polokwane, and as a result Falaz was not entitled to payment of the invoices the company had submitted to Lepelle for payment in terms of the unlawful contract.
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It is alleged that on 2 November last year, Netshidaulu had discussions with Sefalafala about payment of the balance of the invoice that was submitted on behalf of Falaz.
Netshidaulu indicated to Sefalafala that the payment could not be made since there were pending investigations.
It is further alleged that Sefalafala promised to provide Netshidaulu with a letter confirming that the case was closed.
Later on, Sefalafala sent an email to Netshidaulu which contained a letter.
However, Netshidaulu ignored the letter because it appeared not to be legitimate.
On 13 November 2020, people purporting to be police officers from Silverton Police Station met with Netshidaulu at Polokwane Police Station.
They informed him that they had a warrant for his arrest in relation to a case opened by Sefalafala against him in Silverton.
The allegation was that Netshidaulu had extorted money from Sefalafala in order for Lepelle to pay the Falaz invoice.
It is said, however, instead of producing the warrant and effect the arrest of Netshidaulu, the men wanted to discuss the payment of the invoice and said they would not arrest him if he agreed to meet with Sefalafala.
Indeed, Sefalafala was called into the meeting and he insisted on the payment of the invoice and gave Netshidaulu two hours to go back to his office at Lepelle and make the payment.
It appeared later that a case docket for extortion was only opened on 15 November in Silverton and closed on 18 November 2020.
It is alleged that on 18 November 2020, Netshidaulu was kidnapped and coerced into instructing his staff to pay Falaz by Sefalafala.
According to Netshidaulu, he was only released once Sefalafala confirmed a receipt of payment of R 2 980 961.81 into his account.
In December 2020, Legodi, Moseamedi, and Sefalafala were arrested by the Gauteng based Organised Crime Investigating Unit working jointly with the National Prosecuting Authority (NPA)’s Specialised Commercial Crimes Unit (SCCU) in Limpopo.
They appeared briefly in the Polokwane Magistrates.
In December, the high court in Polokwane granted the Asset Forfeiture Unit of the NPA a preservation order to freeze Falaz’s bank accounts.
The matter was postponed to 19 and 20 July for an appearance at the Polokwane Specialised Commercial Crimes Court.
