President Ramaphosa Authorizes SIU To Investigate Into O.R. Tambo District Municipality

President Cyril Ramaphosa signed Proclamation 172 of 2024, allowing the Special Investigating Unit (SIU) to look into maladministration issues in the O.R. Tambo District Municipality in the Eastern Cape.

The SIU is empowered by the SIU Act to institute civil action in the High Court or a Special Tribunal in its name to correct any wrongdoing uncovered during its investigation caused by acts of corruption, fraud, or maladministration

The current investigation aims to recover any financial losses suffered by the State or the municipality. Proclamation 172 of 2024 specifically authorizes the SIU to examine the procurement of five water supply structures, as per SA News.

The SIU will investigate allegations of serious mismanagement related to the following contracts:

• The construction of the Signal Hill Reservoir including the appointment of Amatola Water Board in 2019 and an alleged irregular payment to Amatola in 2020.
• The construction of the Manduli Bulk Water Scheme including the appointment of Ginasonke Engineers and an alleged irregular payment to Ginasonke in 2019.
• The construction of the Mganduli Bulk Water Scheme including the appointment of Khwalo's Construction and an alleged irregular payment to Khwalo in 2019.
• The supply and installation of a pump at Mhlontlo Cluster 1 including the appointment of Valotone 94 CC and Phoenix Tanks (Pty) Ltd in 2019 and an alleged irregular payment to these providers in 2019.
• The electrification of the Mthatha Dam and Highbury, and the construction of the Thornbill Clear Water Pump Station including alleged irregular payments to Amatola for these projects in 2018 and 2019.

Furthermore, the unit will also look into any unauthorized, irregular, or wasteful spending by the department or the State. The investigation will cover any illegal or improper actions by department officials, suppliers, service providers, or others that have harmed or could harm the public's interests.

It will also check if there was any unlawful use of public funds. The investigation will examine allegations of misconduct that occurred between Jan. 1, 2018, and Aug. 16, 2024, the date of the Proclamation's publication.

The unit will also cover any related issues before Jan. 1, 2018, and after the Proclamation date involving the same people, entities or contracts.

Aside from looking into mismanagement, malpractice, corruption and fraud, the SIU will also identify system failures and recommend ways to improve prevention measures to avoid future losses.

The SIU will send any evidence of criminal activity during its investigations to the National Prosecuting Authority for further action.