Bojanala fraudsters arrested

Issued by Nkateko Mabunda – DA Councillor, Bojanala District Municipality
30 Jul 2024 in Press Statements

Note to Broadcasters: Please find linked soundbite in English by Cllr Nkateko Mabunda.

The Democratic Alliance in the Bojanala Platinum District Municipality welcomes the arrest of two former employees of the municipality. According to reports, the two employees made fraudulent payments to an incorrect bank account instead of an approved network provider.

An internal audit revealed that employees in the IT department of the municipality altered the bank account number of a service provider and administered payments into the bank account using forged invoices.

The matter of the fraudulent payments to the tune of R1.7 million was brought to the attention of the council of Bojanala Platinum District Municipality in the year 2022, where the issue was referred to the Municipal Public Accounts Committee (MPAC). The matter was further referred to the HAWKS, and recommendations for halting the contracts held with the service provider were implemented. An investigation by the HAWKS revealed that the municipality suffered a loss of R4.4 million in total.

The fraudulent payments were not the only discrepancies that were found during the MPAC investigations. Expensive cell phones and routers that were not registered as assets of the municipality were found to have been ordered and paid for by the municipality.

The Democratic Alliance is satisfied with the arrest of the perpetrators and their accomplices. Employees in the supply chain department who are also believed to have been involved in this matter have allegedly been suspended pending disciplinary action.

We will follow the matter very closely and oversee the process to bring justice and, hopefully, the recovery of public funds. This event should serve as a stern warning to those who do not respect the public purse or the far-reaching power of the authorities.