City official ‘forced’ to sign off on contracts

Former eThekwini Municipality city manager of Sipho Nzuza who is facing corruption and fraud charges together with former mayor Zandile Gumede and others. Picture: Bongani Mbatha/African News Agency (ANA)

Former eThekwini Municipality city manager of Sipho Nzuza who is facing corruption and fraud charges together with former mayor Zandile Gumede and others. Picture: Bongani Mbatha/African News Agency (ANA)

Published Aug 11, 2023

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Durban — A retired municipal official who is a witness in the corruption and fraud trial of former mayor Zandile Gumede and others told the Durban High Court yesterday that he was under pressure to sign and process invoices to pay the companies that were awarded contracts to collect waste around the city.

Gumede, together with former city manager Sipho Nzuza and 21 others, face charges, including conspiracy to commit corruption, corruption, fraud, money laundering, racketeering, contravention of the Municipal Finance Management Act, and of the Municipal Systems Act, in relation to a R300 million DSW contract.

The witness, whom we cannot name, said he was not involved during the process of awarding the tender to the companies but accused number four, Allan Robert Abbu, who was the deputy head of Durban Solid Waste (DSW).

He said when Abbu was supposed to sign the invoices he was not available, which meant he was the one who should sign.

When State prosecutor Ashika Lucken asked what pressure he was talking about, the witness said the situation was volatile as the contractors came to the municipality offices to make sure that their invoices were signed and processed.

“This was before they were initially going to get paid. The employees of the contractors blocked the entrance of our offices and I could see that this was going to put the staff and myself in danger,” he said.

He said the contracts were for six months but the invoices of contractors were high. He said they wanted to be paid a lot of money within the first month of work, and he was concerned that by the time they reached the sixth month, the budget would be depleted.

The witness told the court that by the time they reached the third month of the contract, the budget was depleted.

“There was no money for the next three months,” he said.

He further said that there was no clear direction from his superiors.

He also said there was communication through emails between Abbu and Sipho Nzuza, the former city manager, who is accused number three.

The witness said he was copied in these emails with another official whom we cannot name because they are still due to testify.

He said in these emails, concerns about funds to pay contractors were discussed. He said he decided to ask to go on leave for three months.

“I requested leave in mid-April 2018 and came back in mid-July,” he said.

When he returned his staff had told him that additional funds were sought to pay contractors. The testimony was disrupted after the defence asked to see the document with these emails where concerns about funds were discussed.

The trial continues.

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