More arrests to come after Mayor and director charged
“At the moment they are tracing another suspect whose name can’t be mentioned because he is not arrested yet. We do expect to make more arrests. The case is still under investigation and we will soon be able to determine more fraudulent transactions that took place," said Captain Tlagelani Rikhotso, the provincial spokesperson of the Hawks in the North West
The Executive Mayor of J.B. Marks municipality, Kgotso Khumalo, and the director for Municipal Services and Local Economic Development, Cyril Henry, were arrested and appeared in the Potchefstroom magistrate’s court today (23 October) where they were charged with theft and fraud.
Both Khumalo and Henry were charged with two counts of theft and fraud. They are not detained on two conditions – they don’t come near the buildings of the municipality or make contact with a list of witnesses that are involved in the case.
Captain Tlagelani Rikhotso, the provincial spokesperson of the Hawks in the North West, said these are only small amounts in a much bigger case that is under investigation: “A trust account of R5 million was intended to be used by the municipality, however, the suspects used the money for their own private gain. They made it look like they were paying service providers who in the end never rendered any services. The money was paid into the service providers’ accounts and the suspects would allegedly collect the money from them.”
Captain Rikhotso also stated that the suspects would falsify invoices. “They created fake invoices which they then submitted to the Chief Financial Officer”, she said. According to her, Khumalo and Henry are not the only people involved in this case of gross financial mismanagement, fraud, and corruption.
“At the moment they are tracing another suspect whose name can’t be mentioned because he is not arrested yet. We do expect to make more arrests. The case is still under investigation and we will soon be able to determine more fraudulent transactions that took place. The reason why Khumalo and Henry are not allowed to come near the buildings of the municipality or make contact with the witnesses is to make sure they won’t be able to tamper with evidence or intimidate witnesses,” Captain Rikhotso said.
Chris Hattingh, DA Councilor, says the DA extends its appreciation to the Hawks with the progress made in their investigations into these charges. “The current arrests and imminent court proceedings relate inter alia to various financial transgressions including the siphoning off of money from a trust account held by a local lawyer to, amongst a series of transgressions, the funding of a municipal delegation to party at the Durban July in July 2019”, says Hattingh.
He further stated: “The DA is also aware that the Hawks conducted its investigations in extremely difficult circumstances with little if any cooperation forthcoming from key role players in the J.B. Marks Administration.”
The Herald asked the municipality and the office of the mayor for comment on the matter. As soon as it is received it will be added to the article.
https://www.citizen.co.za/potchefstroom-herald/64163/municipality-spends-big-durban-trip/
https://www.citizen.co.za/potchefstroom-herald/66606/mayor-borrows-money-trust-fund/
https://www.citizen.co.za/potchefstroom-herald/66503/municipal-official-threatens-herald-journalist/
https://www.citizen.co.za/potchefstroom-herald/68137/mec-lights-fires-alleged-mismanagement/
