Durban - Ethekwini city manager, Sipho Nzuza has been arrested by the Hawks National Clean Audit Task Team for allegedly violating his bail conditions.
Nzuza, who is out on R50 000 bail related to a multi-million rand tender waste scandal is expected to appear in the Durban Commercial Crimes Court on Monday afternoon.
Nzuza was arrested on the 10 March 2020 by the Hawks National Clean Audit Task Team which has been appointed to investigate various allegations of fraud and corruption amounting to the loss of millions of rands within eThekwini Municipality.
Nzuza is one of 16 accused persons that include former eThekwini mayor, Zandile Gumede that have been arrested and charged in relation to a Durban Solid Waste (DSW) tender costing in excess of R430 million.
According to the Hawks, Nzuza’s bail conditions stated specifically that he may not:
Contact or communicate in any way, whether directly or indirectly with witnesses relating to the audit trail of the DSW – Ethekwini Tender.
Refrain from involvement with the disciplinary processes of officials charged in relation to this investigation;
Not participate directly or influence in any tender process during the duration of the investigation, and further that his powers as Accounting officer in relation to tender processes must be delegated in terms of Section 79 read with 77, section 106 of MFMA 56 OF 2003.
Hawks spokesperson, Colonel Katlego Mogale said the National Clean Audit Task Team deployed in KwaZulu Natal became aware that Nzuza was placed on special leave by the Ethekwini Municipality and that upon his return from leave of absence, he engaged in certain actions which were in bridge of his bail conditions.
“The team immediately initiated investigations into this matter which amounted to conduct which clearly indicated that Nzuza violated the bail conditions issued to him. The charges preferred at this stage relating to the matter are fraud, money-laundering, Contravention of the Municipal Finance Management Act, Contravention of the Prevention and Combating of Corrupt Activities Act, the Prevention of Organised Crime Act and Contravention of the Local Government Municipal Act,” she said.
Earlier this month, the Daily News reported that eThekwini supply chain management letters of award and bid adjudication committee decisions were signed off by Nzuza in direct contravention of his bail conditions.
The Daily News has seen more than 10 of the documents that Nzuza has signed and they have a combined tender value of more than R40 million.
The documents, signed between October 20 and 21 – over a week ago – sought various services, including the title deeds restoration, construction of a concrete slab for additional parking bays on top of the Stanvac Canal, completion of a swimming pool at Umgababa Beach, and provision of forensic investigations and the design, supply, delivery and installation of high masts.
Daily News