The contractor of the R151-million Nondabuya water project in Jozini in northern KwaZulu-Natal has told investigators that the project failed because some money meant for it went to ANC leaders in the Nokuhamba Nyawo region (Umkhanyakude district).
Minathi Consulting was awarded the tender in 2019 to deliver water to 2 400 households in the Jozini local municipality but has spectacularly failed to meet its objectives, with only 700 households currently having access to water.
The company has deposed affidavits on why the project has failed. The company reported that funds were diverted to the ANC and some of its local leaders.
One of the reports with a full confession is gathering dust in the Umkhanyakude district municipality in Mkuze, while the other one is a dossier meant for the police.
ANC leaders allegedly scored R10.8m
In total, the ANC and its leaders allegedly scored R10.8-million meant for the project funded by the provincial department of cooperative governance and traditional affairs (CoGTA), which at the time was under the ANC.
“Mr Mthimkhulu further explained that the project was frustrated by the municipality after he expressed a decision to discontinue making a 10% cash payment [to] the politicians, which immediately caused the municipality to cease to pay his entity for work done and not submit an additional application to CoGTA for the project despite the municipal council having approved the same internally.
“This is information that relates to possible corruption,” reads the document sitting with Umkhanyakude, which has been marked confidential and was compiled after Mthimkhulu was interviewed regarding the failure of the scheme.
In another report meant for the police, the owner of the company, who is identified as Minathi Mthimkhulu, details how he moved hard cash to finance the ANC and its leaders.
He claimed that he would move the money to Verus Ncamphalala, the former regional secretary whose term ended in June, and their meeting point was Mtubatuba, where the latter has a home.
Movement of large sums of money
Mthimkhulu claimed that because banks would not allow him to withdraw large sums, he would arrange an electronic payment to one of the supermarkets in the area before collecting it in cash, as they always have large amounts lying around.
He then provided the bank statements from Absa, which showed the transactions.
A payment was made on June 2, 2022, and it was valued at R700,000. Another payment of R340 000 was made to the same supermarket, and later, cash was collected and allegedly delivered to Ncamphalala.
According to the bank statement, the largest movement of money was in early 2022, when R1.7-million was paid out from the account held in a branch in Durban, and cash was later collected from the supermarket.
Ncamphalala refuted the allegations by Mthimkhulu, saying they are part of a political campaign to discredit him, which started in 2021.
“He then had a fallout with the municipality when they were taking him to task about the upfront payments he had received when he started the project in 2019; maybe he thought he was going to get protection from me as regional secretary,” he said.
