Babalo Madikizela rejects fraud allegations

Minutes after being sworn in as an MEC to head up one of the biggest departments in Bhisho, Babalo Madikizela offered himself up for a lifestyle audit.

Giving his first interview as public works MEC, Madikizela said allegations by Mthatha businessman Lonwabo Bam should not be taken seriously.

Madikizela was accused by Bam of being involved in a fraud and corruption plot involving money belonging to the Mbizana local municipality and Eastern Cape transport department.

Bam wrote in a sworn affidavit that he had submitted an invoice to the Mbizana municipality allegedly at the instruction of Madikizela, and had been paid R1.1m even though no work was done.

Bam alleged that R2.2m was ultimately siphoned from the provincial transport department, and that Madikizela had pocketed some.

Some of the money was allegedly used to fund a Gucci shopping spree in Sandton and to buy a Bentley Bentayga.

Madikizela said the affidavits had been signed by a police reservist in Butterworth.

“[Bam] drove more than 200km to sign serious allegations for the media to then distribute a year after the allegations that he is talking about supposedly happened,” he said.

Madikizela said he was willing to undergo a lifestyle audit.

“I am one of the few people in the Eastern Cape who were funded through Umsobomvu Youth Fund,” he said.

He had used that money to buy into two Wimpy franchises. He also bought earth-moving equipment and the business eventually got bigger.

“One must look at the business and its assets which translate into millions of rands then you can question how a person can afford a Bentley,” he said.