2 EC contractors & project manager accused of R9 million tender fraud released on bail
They were arrested on Friday after they were allegedly linked to a Mnquma Local Municipality tender for street surfacing in Ngqamakwe in August 2013.
Two Eastern Cape contractors and a municipal project manager accused of fraud, theft, corruption, and money laundering involving R9 million – were released on bail in the Butterworth Magistrate’s Court on Friday.
Project manager Phaphama Ntswanti, 38; Wonga Malusi, 45; and Chuma Matoti, 52, were each granted R10 000 bail.
They were arrested on Friday after they were allegedly linked to a Mnquma Local Municipality tender for street surfacing in Ngqamakwe in August 2013.
“The municipal officials and the project manager allegedly signed off payment certificates to the four companies for services that were not rendered.
“More than R9.1 million, the available project budget at the time, was lost by the municipality. The Hawks investigation further revealed an R982,000 over-expenditure on the part of the project,” said Hawks spokesperson Captain Lloyd Ramovha.
He said two others have not been arrested. They are in quarantine in Gauteng and Cape Town due to Covid-19.
“They will be arrested once the quarantine processes have been finalised,” Ramovha said.
The accused are expected to appear in the same court on 2 November 2020.
-The Citizen
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