Free State Housing Scandal: Minister Roped For Benefiting From Unauthorized Payments


South Africa’s official opposition party says the Minister of Mineral Resources, Mosebenzi Zwane must face lifestyle audit over the Free State housing scandal.

The Democratic Alliance (DA) party indicated that it will write to the Commissioner of SARS, Tom Moyane, and request a lifestyle audit on Minister Zwane.

According to the party, the essence of the lifestyle audit is to establish the extent of his personal benefit from unauthorized payments to contracts in the Free State housing scandal.

“It is astonishing that Minister Zwane used his previous role as MEC of Housing in the Free State to sanction multi-million rand payments to contractors who either didn’t do any work or didn’t finish the projects they were contracted to do.

The fact that Minister Zwane violated his previous department’s supply chain and procurement processes, and fabricated a plan to deceive the National Ministry of Housing on its spending trends, shows that Minister Zwane went to great lengths to ensure that millions of state funds were channeled to contractors.”

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With the above, DA argued that “there is every reasonable suspicion to conclude that Mr Zwane may have personally benefited, directly or indirectly, from these unlawful payments.”

Thus, it indicated that “a lifestyle audit by SARS is the best means to establish if this is indeed the case.”

In a separate statement, DA asserted that ANC municipalities’ corruption and wasteful expenditure has allowed for electricity crisis.

The assertion follows Eskom acting CEO, Matshela Koko’s announcement that power had been disconnected from the Naledi and Ventersdorp municipalities for failure to pay outstanding debts, and that further cuts are planned for other municipalities starting on 18 January.

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“This is an undeniable crisis for the residents of these municipalities, who will now be denied important services.

“Hospitals and clinics will be unable to function, and small businesses will experience major losses, hurting the local economy and inevitably resulting in job losses.

“This crisis did not appear out of the blue. It is the consequence of years of poor financial management, corruption, and wasteful expenditure.

This is precisely what happens when a government puts its friends and cronies first, and the people last,” DA stated.