Nobhobho Construction was paid R2 million for a toilets project, but allegedly did not perform the work. The pattern of the crime was as follows.
Conflict of Interest: The head of supply chain management (SCM) at the Joe Gqabi District Municipality’s Economic Development Agency (JoGeda) was also a director and founding member of Nobhobho Construction. This represents a conflict of interest because she was in a position to influence the awarding of contracts to a company she had a financial stake in.
Payment for Undelivered Services: Despite Nobhobho Construction allegedly not carrying out any services, they were paid R2 million. This suggests that the SCM head’s position within the municipality may have been leveraged to approve the payment.
Misleading Tender Information: While a Nobhobho representative claimed to have completed a toilets project worth R200,000, the Hawks investigation indicates that the amount in question is R2 million and that no services were rendered. The discrepancy between these amounts and the claim of completed work raises suspicions about the legitimacy of the contract.
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