The net is closing in on suspects who stole R35.7m after hacking into the KwaDukuza local municipality’s bank account in January this year.
KwaDukuza mayor Sduduzo Gumede said on Tuesday the investigation is at a sensitive stage and there was a possibility the hackers were working in collusion with municipal officials.
“Our responsibility is to ensure that anyone on the wrong side of the law faces the music,” Gumede said.
He said the Hawks launched an investigation into the R35.7m loss, via spyware on the municipal account.
“Of the stolen amount of R35.7m, a total of R30.8m has been recovered. This is also ongoing and remains a commercial criminal matter which the Hawks will act on if there are criminal elements. Further to these external investigations in relation to the cybercrime matter, the accounting officer in the last council sitting presented a progress report on civil action that the municipality has taken against the company that pocketed these losses,” he said.
He said the municipality is steadfast in rooting out criminal elements.
He added it would not hesitate to act swiftly to address deficiencies, recover losses and ensure good governance and oversight.
“The municipality has also faced several allegations and probes into financial irregularities. As part of this briefing, I wish to highlight that we have ongoing high-profile investigations that are under way which I have taken the liberty of reporting on to the public, without fear, favour nor prejudice. Though none have findings we do have faith in the process and we trust that they will have a sense of positivity within the public domain,” said Gumede.
KwaZulu-Natal co-operative governance and traditional affairs MEC Thulasizwe Buthelezi also launched a section 106 (of the Municipal Systems Act) probe into KwaDukuza.
The probe covered the following areas:
- Theft of funds from the municipal banking account on January 31.
- Implementation of the disaster grant for the Hullet Bridge project in Ward 2, including delays, payments, project execution and procurement of services.
- Implementation of the disaster grant for the Kwamfanomdala Bridge project in Ward 20, including delays, payments, project execution and procurement of services.
- Irregular expenditure incurred in the 2022-23 financial year, as noted by the auditor-general in the 2023-2024 audit report and a host of other allegations.
The investigation has now been concluded and Buthelezi is expected to present the findings on Wednesday.
The probe ran parallel with the SIU investigation.
The SIU investigated irregularities in three high-value tenders dating back to 2018-2019 for roadworks and electrical infrastructure, including wasteful expenditure and alleged misconduct.
The following tenders are being investigated:
- KwaDukuza Mall bulk supply
- Panel of contractors for road rehabilitation for 36 months.
- KwaDukuza Mall bulk supply, construction of industrial 33/11kv substation upgrade.
Gumede said this is an ongoing investigation and there is no conclusion at this stage.
KwaDukuza municipal manager Nhlanhla Mdakane said they would await for Cogta’s findings on Wednesday.
SIU spokesperson Kaizer Kganyago confirmed that they are probing allegations of corruption in relation to three tenders issued by the KwaDukuza local municipality but declined to comment further saying the investigation is at a sensitive stage.
TimesLIVE
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