R22m scandal outcry grows

PREMIER Noxolo Kiviet needs to explain how money meant for Nelson Mandela's memorial services and funeral was used to buy takeaways and T-shirts, ANC provincial secretary Oscar Mabuyane said.

Political parties described the misuse of state funds, exposed earlier this week and reported to total R22-million, in the name of Mandela as a disgrace and an insult.

Meanwhile, the escalating scandal has already claimed its first victim, with Eastern Cape Development Corporation (ECDC) chief executive Sithembile Mase having been suspended earlier this week.

The ECDC was the implementing agent for funeral-related funds.

In his reaction to the scandal, Mabuyane said: "We cannot have a situation where Mandela's name is dragged through the mud.

"Any official or anyone found to have done anything wrong in the procurement of goods in preparation for the send-off must be [held accountable]." It has been reported that the R22-million was diverted from other priority infrastructure funds in the province to pay for the Nelson Mandela funeral services.

The amount is set to grow to R90-million, to be paid from money transferred to the ECDC for projects in the Transkei, insiders say.

An amount of R5-million was paid to a football boss in Cape Town to print thousands of T-shirts.

More than R333000 was spent on meals from McDonald's and more than R400000 on KFC food.

The money was taken from a R330-million infrastructure grant the provincial treasury channelled to the ECDC as the department's implementing agent after the mid-term budget adjustments in September.

The spending contravened Treasury instructions for Mandela events that the use of taxpayers' money be confined to paying for transport and booking venues.

Kiviet's spokesman, Mahlubandile Qwase, did not respond to questions sent three days ago, though he confirmed receiving them.

The DA's Bobby Stevenson, who asked a question in the legislature relating to the expenditure, said the latest revelations did not form part of the premier's reply.

"Either she [Kiviet] did not know what funds are being mismanaged under her nose or the information is being withheld from her because of a cover-up.

"What makes the situation worse is that the money came from an infrastructure grant for water, electricity, sanitation and the replacement of mud schools and hospitals in the part of the province where service delivery is most needed. We shouldn't be taking money for hospitals to spend on takeaways."

The UDM's Max Mhlati was sceptical that any action would be taken, even with a Hawks investigation having been ordered

COPE member Mbulelo Ntenjwa asked: "If they can do this in Mandela's name, what or who can stop them from looting state resources even further?"

Correspondence between provincial Treasury head Marion MbinaMthembu and Mase makes it clear the ECDC was the provincial "project host" or "paymaster" for the funeral and its logistics. - Mphumzi Zuzile

subscribe