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Johannesburg - Former National Youth Development Agency (NYDA) head Andile Lungisa has been arrested in connection with fraud and money-laundering, the Hawks said on Friday.
“It relates to R2.5 million paid by the Department of Arts and Culture for the Nelson Mandela Sports Day concert,” spokesman Paul Ramaloko said.
Lungisa was arrested along with three other people. They were alleged to have shared the money among themselves.
Ramaloko said Lungisa handed himself over and was subsequently arrested.
The four allegedly lied to the department and promised that they would have American R Kelly perform.
At the time of the concert, the department said it had entered into negotiations with the promoter of the R&B singer's recent tour to South Africa.
It was subsequently announced that the star was on the bill for the music concert that would follow the day's sporting events.
However, it was discovered that R Kelly's management had been unaware of the agreement, and he had departed the country as planned.
Ramaloko said all four were expected to appear in Johannesburg’s Commercial Crime Court on Friday. - Sapa