Samwu boss faces Hawks probe

150410 SAMWU strike over wages increase.photo by Simphiwe Mbokazi

150410 SAMWU strike over wages increase.photo by Simphiwe Mbokazi

Published Mar 22, 2015

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Johannesburg - The leader of South Africa’s largest municipal workers’ union faces the prospect of arrest on Monday if he fails to appear before the Hawks for questioning over the disappearance of about R7 million from his union’s coffers.

The Hawks want to interview Walter Theledi, general secretary of the SA Municipal Workers’ Union (Samwu), in connection with the alleged theft, amid accusations that R136m has gone missing.

The disappearance of the money apparently happened after Theledi appointed financial consultant Samuel Phaswane to manage the union’s funds.

Phaswane was arrested earlier this year for his alleged role in the disappearance of the funds. He has been denied bail because the police consider him a flight risk.

An official close to the investigation told Independent Media that Phaswane had turned on Theledi, saying the union boss had allowed him to deposit union money into his own bank account.

Independent Media has chronicled the saga of Samwu’s missing millions and the accompanying political rifts since August last year.

Sidelined union leaders calling themselves Save Our Samwu (SOS) showed Independent Media forensic reports, among other documents, that suggest grand-scale corruption.

Samwu last year said its own internal “forensic” audit revealed no dodgy dealings, but the arrest of Phaswane suggests suggests there was at least R7m worth of financial mismanagement and theft.

SOS has been demanding an independent, external forensic audit for a year, but union bosses including Theledi have consistently refused this, instead hitting back and expelling.

This week his personal assistant said he was in Malaysia and was only expected back today.

This comes as the country is gearing towards municipal elections next year and as Samwu is engaged in wage negotiations in the SA Local Government Bargaining Council. Samwu spokesman Papikie Mohale said Theledi and other union leaders were “away” at the invitation of the council.

 

Samwu has consistently denied any knowledge of a police probe into the union over the months of consistent media queries.

Theledi has ignored repeated e-mails and calls.”We are not going to engage with whomever you say is seeking him (the police) through the media. They know (where) the Samwu head office (is).”

Samwu is not the only Cosatu-affiliate facing financial mismanagement controversies. In recent months Independent Media has reported on the financial meltdown of at least two other major affiliates.

Zenzo Mahlangu, general secretary of the SA Transport and Allied Workers Union, was arrested and charged last year over missing union funds, and the SA Commercial, Catering and Allied Workers Union still faces the prospect of liquidation if they fail to cough up R30m the union allegedly siphoned from its members’ provident fund.

Hawks’ spokesman Hangwani Mulaudzi said Theledi was subpoenaed to assist in its inquiry. But he said if Theledi failed to appear, an arrest warrant would be issued.

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Labour Bureau

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