THREE senior municipal officials in the Eastern Cape have been granted bail, after they were arrested by the Hawks on allegations of fraud and corruption. File picture
THREE senior municipal officials in the Eastern Cape have been granted bail, after they were arrested by the Hawks on allegations of fraud and corruption. File picture

Eastern Cape senior municipal officials, facing fraud and corruption charges, granted bail

By Robin-Lee Francke Time of article published Oct 4, 2021

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CAPE TOWN: Senior municipal officials in the Eastern Cape have been granted R1 000 bail, in the Peddie Magistrate’s Court.

Former Ngqus­hwa Local municipal manager Misiwe Phyllis Mpahl­wa, 54; director of corporate servic­es Mkhuseli Wi­seman Mxekezo, 49; and former acting chief financial officer of Ngqush­wa Local Municipality Tinus Matthysen, 66, face charges of fraud, corruption, and contravention of Municipal Financial Management Act (MFMA).

The trio were arrested by the Directorate for Priority Crime Investigation’s (Hawks) Serious Commercial Crime Investigation team, based in East London, on Friday, October 1.

According to the provincial spokesperson for the Hawks Captain Yolisa Mgolodela, it is alleged that Mxekezo deliberately or negligently created irregular expenditure, by signing a memorandum, dated December 11, 2019, for an event that would be held on December 12, 2019, without procurement processes being followed, for an amount exceeding R273 000, for a Christmas event for elderly persons of the Peddie community.

“It is further alleged that Matthysen failed to prevent the irregular, unauthorised fruitless and wasteful expenditure, by approving payments to service providers without necessary documentation, while he was on leave. Ma­tthysen is reported to have been complying with the instruction for him to effect the payment, by the municipal manager at the time, Mpa­hlwa,” Mgolodela said.

She said the arrest of the three officials came after the arrest of Busisiwe Mfunda, 34, on July 29.

Mfunda appeared in the Peddie’s Magistrate’s Court, on the same day of her arrest, and was also granted bail of R1 000.

“Mfunda is alleged to have signed a memorandum as an applicant requesting procurement of goods and services for the said Christmas event.

“It is further alleged that, after approval, she went on to source the quotations from various fictitious service providers for her personal enrichment, by bypassing the supply chain off­ice,” Mgolodela said.

The case has been postponed, against all accused, until October 6 for further investigation.

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