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Sisulu influential in Amatola Water financial probe

A dispute over a contract to investigate Amatola Water shows human settlements, water & sanitation minister Lindiwe Sisulu was highly influential in the investigation into Amatola Water’s financial affairs. Sisulu’s personal bodyguard was assigned to drive private investigators in a hired Volvo SUV to East London in April, allegedly at her insistence, according to a confidential document seen by the Dispatch.

Tourism minister Lindiwe Sisulu visited the Nakedi family after the racial incident at the Maselspoort Resort and Conference Centre near Bloemfontein.
Tourism minister Lindiwe Sisulu visited the Nakedi family after the racial incident at the Maselspoort Resort and Conference Centre near Bloemfontein. (Trevor Samson)

A dispute over a contract to investigate Amatola Water shows human settlements, water & sanitation minister Lindiwe Sisulu was highly influential in the investigation into Amatola Water’s financial affairs.

Sisulu’s personal bodyguard was assigned to drive private investigators in a hired Volvo SUV to East London in April, allegedly at her insistence, according to a confidential document seen by DispatchLIVE.

On Tuesday, the Commission for Conciliation, Mediation & Arbitration (CCMA) found that Amatola Water committed unfair labour practice at the behest of Sisulu in its suspension of Amatola Water board CEO Vuyo Zitumane.

A company named Outsourced Risk and Compliance Assessment (ORCA) was appointed in April to investigate the financial affairs of Amatola Water.

But an e-mail from ORCA’s Dr Len Kornar to the department’s acting director-general, Mbulelo Tshangana, which is dated July 3 2020, raises many questions over the extent of Sisulu’s involvement.

The correspondence, which is labelled “most confidential”, was leaked to the DispatchLIVE this week.  

Kornar claims Tshangana allegedly said  Sisulu could not appoint investigators as this “could be challenged by the Auditor-General SA when he examines the books and records of the department”.

This document was signed by Kornar, who wanted a meeting with Tshangana to sort out “outstanding matters” with the department.

In the correspondence, Kornar says Sisulu was the person to appoint ORCA to investigate Amatola Water.

“We were issued with appointment letters by the honourable minister Dr Lindiwe Nonceba Sisulu to perform certain specific work at Lepelle Northern Water (in Limpopo) and Amatola Water.

“You (Tshangana) stated to me and my team in the presence of your officials that the minister cannot make appointments of service providers, and that responsibility fell on the Director-General and that you will attend to the matter, so that the appointments will not be challenged by the AG SA when he examines the books and records at the department,” wrote Kornar.

 

DispatchLIVE has seen a copy of Sisulu’s letter appointing ORCA to investigate the affairs and financial position at Amatola Water. This letter was signed on April 4 2020.

In the letter, the minister requested that ORCA:

  • Provide the minister with a detailed report concerning the financial statements of the Amatola Water Board;
  • Provide the minister with a detailed report concerning the balance sheet and financial position of the Amatola Water Board;
  • Provide the minister with a PFMA (Public Finance Management Act) compliance audit report, including SCM (supply chain management);
  • Provide the minister with a complete reconciliation of funds transferred by the department of water & sanitation and/or the National Treasury to Amatola Water under the grant structures and ministerial directives; and
  • Provide the minister with a report on the lifestyle audit of the previous board and current executive management of Amatola Water, including the CEO and the EXCO team.

Kornar wrote in his correspondence to Tshangana  that an ORCA team was driven to East London by the minister’s bodyguard, Fikile Raboroko, in a hired Avis Volvo SUV.

On Friday, Raboroko confirmed that he was Sisulu’s bodyguard and had driven to East London in a Volvo.

He did not give details on whom he was travelling with, asking DispatchLIVE to call department spokesperson Yonela Diko for further information.

On Thursday, Kornar said DispatchLIVE should speak to Tshangana.

The correspondence also contains excerpts of  messages previously exchanged between Kornar and Tshangana.

In one of the messages, Kornar wrote: “Morning Mr DG, trust you are well? Kindly advise what time is suitable for us to meet today to regularise the Amatola and Lepelle Appointment letters. Thanks, Len Kornar @ ORCA.” 

Tshangana responded: “Good morning Dr Konar, (sic) ... I am currently isolating myself and taking medication at home. As far as I know you did not do work at Amatola. There is nothing wrong with your contract with Lepelle. Regards.”

Kornar asked Tshangana why the situation had now changed, saying they communicated with him on May 8 about a meeting to discuss Amatola and Lepelle water appointment letters.

The two later met with their teams on May 11.

Kornar wrote in his correspondence that he handed the appointment letters to Tshangana.

“Further in the meeting we discussed with you and your colleagues the urgent trip we were requested to undertake to Amatola Water as directed by Minister, and then the costs incurred by ORCA of about R300,000 on time spent and work executed.

“You had agreed to ensure that both appointment letters from the department would be replaced by letters to be issued by you as the DG of the department, which conversation and commitment was recorded by ourselves in the presence of your officials.”

Kornar said he was perplexed by Tshangana’s assertion that ORCA did not work at Amatola.

“ ... we were driven there by a ministerial driver/bodyguard Mr Fikile Raboroko, who drove us down in a hired Avis Volvo at the insistence of the minister ...”

He said they had also paid for the bodyguard’s accommodation and sustenance costs.

Department spokesperson Diko was sent queries by DispatchLIVE via WhatsApp at 9.46am on Friday. He acknowledged receipt of the queries.

DispatchLIVE had given the department a 1.30pm deadline and agreed to extend this to 4pm at Diko’s request.

However, no responses had been received at the time of writing.  - DispatchLIVE

 


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