Top lawyer recruited to investigate corruption, fraud at Sedibeng municipality

The Gauteng Department of Human Settlements has roped in advocate William Mokhari SC to probe allegations of corruption at the embattled Sedibeng District Municipality.

MEC Lebogang Maile has called on the municipality to fully co-operate with Mokhari’s investigations.

Mokhari is expected to investigate a raft of allegations of corruption, maladministration, financial mismanagement and acts of nepotism levelled against municipal manager Stanley Khanyile and the municipality.

Khanyile and two others were last week arrested by the Hawks in connection with a separate fraud, money laundering and theft case involving more than R29-million.

He was released on R50,000 bail after appearing in the King William’s Town Magistrate’s Court.

Maile said he appointed Mokhari after receiving representations from Mayor Busisiwe Modisakeng pertaining to certain allegations.

Mokhari will enquire into, make findings and report whether the municipal manager had purchased a house worth R5 million by forging his wife’s signature and had salary payments exceeding the amount for which concurrence was received.

Dismissal

He will also probe the employment of Sindiswa Mpeta as a director despite her previous record of dismissal for fraud and corruption by the Mnquma Local Municipality in the Eastern Cape for flouting the supply chain management processes.

Update

The allegations against Mpeta have since been investigated, and she has been cleared of the supposed involvement.

In a statement sent to The Citizen, Mpeta said: “I was far away from supply processes or any operations that lead to procurement. Therefore it was impossible for me to flout supply chain processes as claimed.”

She said that she was subjected to unfair dismissal due to disagreements with her previous employer, related to her position as  the Head of Internal Audit, and after challenging the matter through arbitration at the Local Government Bargaining Council there was an agreement which explicitly expunged her dismissal.

“The Report by Advocate Mokhare confirmed my above statement. I was never given the full report, however, Sedibeng Municipality wrote to me in relation to the allegations relating to myself and I responded and no disciplinary action was taken against me. Unfortunately the report never caught the attention of the media and that leaves some of us very compromised,” she said.

Mpeta said the media reports which have not been updated to reflect her vindication made it difficult for her to find another job as they appear whenever background checks are done.

Among other employees who will be probed following their employment are Nonhlanhla Baleni, Jabu Nxumalo, Ms or Mr Kutoane, Betty Petersen and 10 licencing examiners.

The municipality is also accused of favouritism in the workplace by refusing to give bursaries to municipal officials but approved one for Mpeta.

“Despite the financial constraints within the municipality, the municipal manager appointed 10 staff members in his office and also probe the irregularly appointment of Mudau & Associates and Modise Attorneys, irregular appointment of Mafako security company to provide personal security services for the municipal manager.

“Mokhari will also investigate abuse of power in respect of the dismissal of eight employees protesting against fraud and corruption in the municipality, abuse of power in respect of the suspension of an experienced assistant manager in the supply chain management,” said Maile.

Other allegations include inadequate management and investigation of the Auditor-General findings in the 2017/18 and 2018/19 financial year and the re-writing of minutes of a municipal council meeting.

Should Mokhari find that the allegations are substantiated, he could recommend an appropriate sanction, if any.

He was required to issue his findings and report to Maile within 21 days from the date of his appointment. Should the need arise, Maile may extend the period of appointment.

“It is necessary for all parties involved to fully co-operate with the investigation,” Maile warned.

He has briefed the National Council of Provinces and ministers of cooperative governance and traditional affairs and finance on his decision.

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• Editor’s Note: This article has been updated to reflect the vindication of Sindiswa Mpeta, who has been cleared of any wrongdoing in the matter.