Durban - The Democratic Alliance's (DA) Johannesburg mayor Herman Mashaba said on Wednesday night that the African National Congress had "collapsed council" earlier in the day to stop a motion to refer former finance MMC Geoff Makhubo and former mayor Parks Tau to the ethics committee.
"The motion, arising from the City’s forensic work and an article by amaBhungane, allege that Regiments Capital, the sinking fund managers appointed by the city, sought to buy influence in the ANC. This was ultimately achieved by allegedly sponsoring ANC regional conferences and benefitting the wives of former mayor Tau and former MMC Makhubo in deals with millions," said Mashaba.
He said Makhubo’s consulting firm, Mololwani Consulting, scored a contract with Regiments in which his contractual responsibilities included maintaining strategic relationships with the City of Johannesburg.
"For this, Cllr Makhubo allegedly benefitted to the tune of at least R30 million," said Mashaba.
Mashaba said the reports noted that Tau actively intervened in a tender process in which Regiments Capital had been disqualified. A new tender process later appointed them.