An asset restraint order has been granted to the Asset Forfeiture Unit of the National Prosecuting Authority to freeze assets worth R102m seized from 45 individuals accused of awarding police contracts improperly.

According to NPA Investigating Directorate spokesperson Sindisiwe Seboka, the 45 persons whose assets have been restrained are facing charges relating to 53 contracts that were unlawfully awarded to 26 companies. The state is alleging that companies that are effectively owned and controlled by Kishene Chetty and his father, Krishna, were unlawfully awarded contracts by the SAPS.

“It is alleged that fraudulent Broad-Based Black Economic Empowerment (BBBEE) certificates were submitted in support of written price quotations and that the 26 companies were involved in cover quoting. Members of the SAPS Supply Chain Management division allegedly colluded with the Chetty family and defrauded the SAPS of tens of millions of rands,” Seboka said.

She said the order was granted by the Pretoria High Court and called on the accused and those who may claim to have an interest in the restrained property to make representations as to why ‘the order should not be made final’.

Seboka explained that the order attempts to recoup any benefit that the accused and at least 26 other companies derived from the tender.

“The accused… were found by Justice Mlotshwa to have acted collusively in making false and fraudulent misrepresentations in their tender bid to the police, as a result of which two national tenders, valued at R59m and R29m, plus 48 contracts worth R9.8m, which fell under the R500 000 threshold, were awarded.

“The R59m tender (markings case) was for branding of police vehicles. One of the companies that were awarded contracts has a white woman listed as the sole director, who misrepresented that she was an African female. Vatika was 100% white female-owned, and the latter did not meet the requirements to be exempted as a micro-enterprise.

“On receipt of the funds paid by the SAPS in relation to the tenders, [the funds were] laundered… to other companies beneficially owned by Kishene and Krishna. R59m in total was paid to Vatika and Kgotho, despite the fact that the financial implications of the tender were only R50m. The latter amount included value-added tax,” Seboka said.

The accused are expected to appear in the Pretoria Regional Court in December. – SAnews.gov.za