Allegations of payments to non-existent service provider mar SDM owned SDA
GROBLERSDAL – The Bolsheviks Party of South Africa (BPSA), one of the opposition parties in the African National Congress (ANC) led Sekhukhune District Municipality (SDM) council is calling for intervention by the HAWKS amid its allegations of payments to a non-existent service provider involving the district municipality owned Sekhukhune Development Agency (SDA).
The BPSA said it required an intervention by the specialized HAWKS to investigate a “clear cut case of alleged fraud within the already ailing SDA”.
The party alleges that the agency unlawfully contravened the PFM and legislated Supply Chain Management policies and procedures by paying an amount of R460 000 on 25 April 2022 to an unknown and non-existent service provider.
Seun Mogotji, BPSA leader, alleged that the claim for the alleged pending payment to the non-existing service provider has been blatantly denied knowledge of by the former agency’s executives.
Mogotji further alleged that the heist has already been orchestrated and that the payment has been made to an unknown service provider from an SDA account on 25 April 2022.
“The SDM board, alerted of the irregularity, vehemently confronted the Acting CEO who could not utter a clear explanation on the payment.” alleged Mogotji.
Mogotji further said that the BPSA wanted financial accountability of the state of funds of the agency and the mandate of the investigation covered as to who the holder of the account for the service provider was and the relationship between the agency’s Acting CEO.
He said that there was a need to know who withdrew the amount from the account in question and who the beneficiaries of the amounts withdrawn were, among others.
“We are concerned that there has been a reported political interference whereby certain high ranking SDM officials have allegedly been calling SDA’s former CEO asking for the management of the matter and for it not to be reported to police,”
Mogotji added that some information has surfaced that besides the R460 000 payment in question there has been consistent monthly payments of R50 000 to the ghost account and that some SDA board members were well aware of that.
“I would like the HAWKS to investigate the above alleged case of suspected fraud and corruption in SDA,” said the BPSA leader.
The SDA, with a mandate to act as an engine for economic development and business activity to create job opportunities, is owned by the SDM.
When set communication via WhatsAPP for comment on the matter, Moloko Moloto, SDM Spokesperson, said he was not in a position to comment on that until a report was officially presented to council.
