Siyenza (we do) corruption: Siyenza group project widens their own pockets while those in need suffer.
The National Prosecuting Authority announced in a report by the NDPP, the arrests of thirteen people that had connections with the Amathole toilet scandal, involving the misappropriated funds of over R600 million in a tender issued by the government. These arrests came after an investigation that was led by the Hawks and had identified the people in question to having a ‘special’ arrangement in the employment of the private company – Siyenza. They had done so with the intent to misappropriate government funds from a tender meant to support the sanitation project of the Amathole District Municipality (ADM), and so were all charged with tender fraud, money laundering and corruption.
This scandal has robbed government funds in an illegitimate tender and has cheated the people within the Eastern Cape of their basic human rights to sanitation. NPA spokesperson Luxolo Tyali, says “The poorest of society within the ADM have been prejudiced, robbed of basic services and their basic human rights infringed by individuals and State officials who were in positions of power and trust, but instead plundered the state coffers for their personal benefit.” Court records also showed an Asset Forfeiture Unit (AFU) obtained in 2018, detailing a fortitude order against the alleged director of Siyenza – Bongani Mpenzula’s Lanseria house. The order shows how alleged Mpenzula acquired his home using R18 million from the sanitation project’s funds. This sum of money only scratches the surface of the total amount spent as the accused cost the municipality millions of Rands. This is according to the public protector report.
Public Protector - Busisiwe Mkhwebane had also found that there was evidence suggesting improper conduct, corruption, and maladministration when it came to awarding the tender in the first place. Initially the tender was meant to fund the construction of over 66 000 toilets across the Eastern Cape to communities who have lacking infrastructure, and/or would have eliminated the use of the bucket system in some cases.
Many believe the tender was allowed to be mismanaged as reports have suggested the alleged group owner had strong political connections that allowed him to pass the company off as legitimate.
Mkhwebane had this to say on the matter, “The contract was further alleged to have been awarded to Siyenza without following the municipality’s supply chain management process and procedures, and despite some having been awarded to four other entities in August 2014.” The investigation also proved that Siyenza Group had not been registered as a company with the Companies Industry Property Commission (CIPC) or the Construction Industry Development Board (CIBD) proving even further the illegitimacy of the corporation.
Governments response has only been to applauded the Hawks in their investigation and success in catching the culprits, but little to no action has been made in fixing this mess for the communities that would have benefited from such a project. Many of the toilets were never built, and the ones that had been built were not done professionally nor properly, resulting in many of them falling apart or caving into the ground.
Now, amid the Covid-19 pandemic, many of these communities have been left vulnerable in dealing with the virus, as some have received ‘emergency’ relief toilets and temporary water tanks that do not make for a sustainable means of living.
With corruption hanging around the neck of the country, and governments lack of policy reforms for sustainable infrastructure, poor people in this country bear the brunt of South Africa’s worst experiences of inequality since the days of Apartheid.
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