EC municipal worker granted bail in R4.8m COVID-19 fraud

An official from the OR Tambo Municipality has been released on R50 000 bail after making an appearance before the Umtata Magistrates Court on Friday 27 November 2020. The woman, Phumzile Johnson Gwadiso faces charges in connection with the COVID-19 Relief Fund tender fraud worth over R4.8 million.

Gwadiso, a Whippery Services Manager, was arrested by the Directorate for Priority Crime Investigation (DPCI), also known as the Hawks, in the early hours of the morning – ahead of her court appearance. She is believed to have played a significant role in defrauding the COVID-19 Relief Fund.

In a statement, the Hawks said Gwadiso’s arrest was preceded by that of Pumza Poshee Gambula, director of Phathilizwi Training Institute, who was arrested on 22 October 2020.

COVID-19 corruption Municipal official colluded with businesswoman

The Hawks investigation, conducted in partnership with the Special Investigation Unit (SIU), revealed that Gambula submitted fraudulent documents to various municipalities, purporting that she conducted door-to-door awareness campaigns for the prevention and containment of COVID-19 pandemic in the rural communities of Port St Johns Local, King Sabatha Dalindyebo and Mhlonto local municipalities.

“Further investigation has revealed that the arrested municipal manager worked in cahoots with Gambula. He allegedly signed-off invoices for payments confirming that the campaign took place. This enabled the payments to be processed to the supplier,” the Hawks’ Colonel Katlego Mogale.

“The accused, Gwadiso was subsequently granted R50 000 and the matter postponed to 25 January 2021.  Meanwhile, Gambula is expected back in court on 25 January 2021, she is out on a R 20 000-00 bail,” he further said.

The COVID-19 pandemic has unleashed a wave of corruption, with the SIU currently looking into 600 companies who received contracts worth over R5 billion to provide personal protective equipment (PPE)

Western Cape municipal manager nabbed for alleged COVID-19 corruption

A manager from Cederburg Municipality manager in the Western Cape was also arrested for alleged corruption related to the procurement of COVID-19 personal protective equipment (PPE). The man, Henry George Slimmered was arrested by the Hawks on Wednesday, 25 November 2020.

This comes after Slimmered allegedly issued a memo instructing employees of the municipality not to cooperate with the SIU investigators, and to deny them access to municipal premises.

“The SIU raided the Cederburg Municipality offices in September 2020, in line with Proclamation No.23 of 2020, signed by President Cyril Ramaphosa, authorising the SIU to investigate allegations of corruption and maladministration in procurement of PPE for COVID-19 in government institutions and entities of the State,” the SIU said.