SHERLISSA PETERS
KWAZULU-NATAL premier Zweli Mkhize is scheduled to be called to testify in the trial of ANC colleagues involved in the “Three Amigos” corruption trial, to be held in Pietermaritzburg next month.
Sources close to the investigation confirmed to the Daily News yesterday, after reports in the City Press, that Mkhize will not be charged, but will be called as a “witness to shed light on what went down”.
Mkhize will testify in connection with allegations of corruption, money laundering and tender fraud in the province’s public health sector.
The accused are suspended head of Ithala Development Finance Corporation, Sipho Shabalala; his wife Beatrice Ntombenhle Shabalala; Durban advocate Sandile Kuboni; Cape Town businessman and billionaire Gaston Savoi; former provincial health boss Busisiwe Nyembezi; Lindelihle Mkhwanazi (former boyfriend of ANC Speaker Peggy Nkonyeni and a shareholder of Rowmoor Investments); Yoliswa Mbele, Nyembezi’s predecessor; as well as three attorneys, who all work for Kuboni Shezi: Nozibele Phindela, Jabulani Thusi and Ian Blose.
They have been charged with fraud, corruption and money laundering related to the awarding of contracts by the departments of health and local government for water purification plants and oxygen machines.
It is alleged that Savoi’s Intaka Holdings fraudulently secured the deals after colluding with certain officials. He then allegedly inflated his prices and gave kickbacks in return.
It is alleged that Mkhize’s signature appears on two crucial documents that led to the provincial government spending R44 million on the water purification plants.
This raises the possibility of him having to testify against his ruling party colleagues, Economic Development MEC Mike Mabuya-khulu and Nkonyeni, who the Hawks are poised to arrest this week after warrants were issued on July 4.
It is believed that Mkhize will be called to explain how and why the decision by provincial cabinet to “urgently” bypass tender procedures was taken. Mkhize’s spokesman, Ndabe Sibiya, confirmed that Mkhize had been interviewed by the Hawks last September.
“Dr Mkhize has pledged to co-operate with the investigation fully. That is all I am prepared to say,” said Sibiya.
The charges against Mabuya-khulu are linked to when he was head of local government and traditional affairs at the time Intaka won the water-purification contract.
He was also the ANC treasurer when Savoi allegedly paid a R1m bribe to former KZN treasurer and suspended Ithala Development Bank boss Sipho Shabalala. Mabuyakhulu said it was a donation to the ANC.
The charges against Nkonyeni relate to the allegations against Mkhwanazi. Savoi allegedly made a R1m payment – in two R500 000 amounts – to Rowmoor Investments, owned by Mkhwanazi. At the time, Nkonyeni was the MEC for health.
Like the Department of Local Government, the Health Department also procured water-purification plants from Intaka.
The State will allege that the money was actually destined for Nkonyeni and was laundered through Rowmoor.
The NPA said warrants for Mabuyakhulu and Nkonyeni’s arrests would be executed only after the investigating team had prepared a final charge sheet, which was “likely to be in the next few days”.