More than 5 000 housing subsidised housing projects are being investigated by the Special Investigating Unit according to its head, Willie Hofmeyr who says that corruption in the government is extremely widespread.

He says that contractors were paid for building houses that do not exist at all, were extensively incomplete, had serious defects. Moreover, it appears that some contractors were paid for more houses than were actually built.

Hofmeyr was addressing members of the Justice Committee in Parliament yesterday.

Hofmeyr told the committee that 33 police stations, built at a cost of R330-million were under investigation because of serious irregularities. He said that the SIU had prioritised its investigations into the construction of police stations at Pienaar, Hazyview, Brighton Beach and eSikhawini after an initial probe revealed fraud and corruption.

Hofmeyr alleged that:

- The South African Police Service officials had undeclared interests in suppliers who were awarded contracts by the police;

- The lowest bids were not necessarily accepted;

- No quotations were received from winning bidders;

- Some over-quoting resulted in actual payments far exceeding the budgeted amounts.

- Moreover Hofmeyr said that every municipality in the North West province is under investigation for fraud, corruption and maladministration amounting to billions of rands.

Hofmeyr confirmed that the investigation by Public Protector Thuli Madonsela into the lease of police premises in Pretoria and Durban was just a part of a far wider investigation into corruption and maladministration within the police’s procurement division.

He says that the corruption is so widespread that the SIU has been forced to prioritise 20 top cases worth at least R2-billion.

Moreover, corruption in the Department of Public Works is also being investigated after the SIU discovered that R35-million had been paid to entities in which departmental officials had undisclosed interests.

For instance a contract was issued by the department for the construction of “accommodation” at an undisclosed border post that totalled R375-million.

Madonsela has already publicly slammed Public Works Minister Gwen Mahlangu-Nkabinde for “unlawfully” entering into a lease with Roux Shabangu for new headquarters for the SAPS in Pretoria.

The SIU is now looking into another lease for residential accommodation costing R217k a month. It was apparently negotiated without the relevant approval. The Department has paid R7-million to the contractor who had been positively linked to a DPW official.

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