Durban - ETHEKWINI city manager Sipho Nzuza
should be suspended pending the outcome of court processes against him,
opposition parties said.
This follows Nzuza’s arrest and appearance in the Durban Commercial Crimes Court on Tuesday morning.
Nzuza is the latest city official to be arrested in connection with the 2017 Durban Solid Waste (DSW) tender, worth more than R400 million. He was charged with fraud, money laundering and corruption, and was granted R50000 bail yesterday.
Nzuza, who earns R300 000 a month, is accused number 17 in the matter, joining 16 co-accused who include former mayor Zandile Gumede, councillor Mondli Mthembu and 14 others, including representatives of businesses.
IFP councillor Mdu Nkosi said the city council should call a special sitting to debate Nzuza’s position in terms of the law and the city's citizens.
“This needs urgent attention because this compromises the integrity of the city and there are also whistle-blowers who would find it difficult to do their jobs with him present at work. His co-accused were suspended and so should he be, because, in his case, his signature is on all the documents giving the go-ahead for the contracts,” Nkosi said.
During yesterday’s court proceedings the State, through advocate Ashika Lucken, revealed that when the initial arrests in connection with this case were made, the tender was worth R208m. However, it had since ballooned to R430m. Lucken said Nzuza’s arrest came as a result of the City Integrity and Investigations Unit’s probe into DSW’s procurement of refuse collection, street cleaning and other services.
She said the procurement of service providers was not in line with the supply chain management rules, and that there had been collusion between municipal officials and service providers.
The State further alleged that Nzuza, together with politicians and municipal officials, colluded with service providers and circumvented procurement procedures, and that the DSW tender was awarded to companies that were not on the municipal database as required by supply chain management regulations.
DA caucus leader Nicole Graham said she had written to council speaker Weziwe Thusi’s office, asking her to initiate Section 6 of the Local Government Disciplinary Procedures for senior managers.
“Council should consider Nzuza’s suspension and Section 6 provides that if you believe the investigation will be compromised, you can consider suspending a senior manager involved. Nzuza here is the chief; he’s got access to all the departments, which could severely impact on the outcome of the case and on the functioning of the municipality and its integrity,” Graham said.
eThekwini leadership asked to be given space to “process” the matter internally, saying it would issue a comprehensive statement this week.
The Co-operative Governance and Traditional Affairs Department (Cogta) said it was concerned about the seriousness of the allegations against Nzuza.
MEC Sipho Hlomuka expressed confidence in the council's ability to deal with the implications of the latest arrest.
The SA Municipal Workers’ Union welcomed the development, with regional secretary Xolani Dube saying they hoped the decision taken by the mayor and his executive would be consistent with the law.
Granting bail, Magistrate Garth Davis read the attached conditions, which include Nzuza having to surrender his travel documents, not contacting witnesses, not accessing information relating to the investigation, and not travelling out of the province without consultation with the investigators.