Cape Town 13-07-2015:Three City licensing officials has be arrested and escorted out of the City Cape Town building to the Van that was waiting for them at the Parking Lot.Picture Mlondolozi Mbolo reporter Geneviva Serra

Cape Town – Three City of Cape Town officials were arrested at work on Monday afternoon for allegedly issuing fraudulent vehicle registration licences, mostly to taxi bosses.

City mayoral committee member for safety and security JP Smith said the arrests follow an investigation into seven city officials that started in May.

“There was an internal audit and we noticed something was amiss in relation to the issuing of vehicle registration licences,” Smith said.

“It was determined that officials succeeded in finding ways to circumvent the eNatis system to record and issue fraudulent vehicle registration licences, primarily taxi owners who were blocked from having a licence issued to them becasue of an admin mark against their name for outstanding traffic fines.”

A fourth official, who is on sick leave, was expected to be arrested later on Monday evening.

In addition to the criminal charges, the four officals are expected to face internal disciplinary charges.

The remaining three officials resigned after they were interviewed by investigators. They could also face criminal charges, Smith said.

“We might well not be able to fire them, but they will face criminal charges,” he said.

“The taxi bosses and other members of the public will also be facing the consequences, facing criminal bribery and corruption charges.”

Smith said the city would approach the provincial government to have the operating licences of implicated taxi bosses withdrawn.