Please note that you are using an outdated browser which is not compatible with some elements of the site. We strongly urge you to update to Edge for an optimal browsing experience.

KZN deputy mayor on fraud charges

A KwaZulu-Natal deputy mayor – who was sworn in just a few days ago – has appeared in the Pietermaritzburg High Court charged with property fraud, corruption and money laundering.

Alpha Shelembe is the new deputy mayor of the Msundisi Municipality and is the former speaker of the Umgungundlovu District Municipality. He has been charged along with his sister Nelisiwe Shelembe and his wife Joyful and property developer Neville Watts, former Umgungundlovu councillors Lucky Moloi and Themba Zungu and bodyguard Thembinkosi Xaba.

It is alleged that Alpha, Zungu and Moloi profited from the sale of a property that the municipality had bought for office and parking space in 2003. The owners of the property had apparently hired Watts to dispose of the property and he had approached the councillors and suggested that the council buy the land.

The state alleges that Zungu, Alpha and Moloi had been instrumental in the negotiations to buy the property and had examined proposals and been instrumental in approving the purchase of the land by the council.

The initial price of the building in central Pietermaritzburg was allegedly inflated by one million rand from R6-million to R7-million. The owners received their asking price but the extra one million was allegedly split between the parties with Zungu receiving R150k and Moloi and Alpha putting R200k each into their private bank accounts.

Moloi’s money was apparently paid directly into his bank account while the money given to Zungu and Alpha went into several different accounts. It is alleged by the State that the Shelembe women had assisted Alpha launder the money while Xaba had assisted Zungu to do so.

Moloi failed to appear in court on Tuesday and a warrant for his arrest was issued by the court.

Readers' Comments Have a comment about this article? Email us now.

About the Author
Paddy Hartdegen

Paddy Hartdegen

Freelance columnist at property24.com.

Freelance columnist at property24.com.

Loading