A secret meeting at an Italian eatery in Mthatha four years ago led to an alleged R50,000 bribe, a monthly salary and a company car for a friend – all in exchange for lucrative Coega tenders.
These claims emerged in a sworn statement blowing the whistle on an alleged corruption linkage between the Bhisho health department and its implementing agent, Coega Development Corporation.
The allegations, under investigation by the Hawks, also form part of a bitter power battle between the two government entities that compromised the delivery of healthcare facilities in the Eastern Cape and placed Coega under severe financial pressure.
In a statement, Nkoliso Flatela, CEO of Zamazondo Construction, claimed that he met the department’s infrastructure boss, Mlamli Tuswa, and then Coega programme manager Gift Honi at the La Piazza Restaurant in Mthatha on August 19 2014.
Flatela claimed that Honi – in Tuswa’s presence – asked for money to secure Zamazondo work from the department through Coega.
All of this was allegedly in exchange for R2.5m worth of contracts.
Tuswa has refused to comment, while Honi – who has since resigned from Coega – rejected the allegations.
In his statement, Flatela said: “I responded to Honi that I did not have any cash with me but would call into the bank the following day and make good on his request.”
He said that Honi reminded him of the alleged bribe at a construction site handover in Ntlaza the next day.
He claimed they agreed to meet again later at the La Piazza Restaurant.
“In preparation for the meeting with Honi, I went to the bank and withdrew R100,000. I decided to have with me R100,000 as Honi did not specify the amount he required from me,” Flatela said.
“I also concluded that since the discussion took place in the presence of Tuswa, they both aligned themselves with the subject of the discussion as none of them objected to the discussion nor did any of them portray any sense of discomfort with what was being discussed in so far as the bribe was concerned.”
Afterwards Flatela, drove with Honi to the Ekhaya Guesthouse in Mthatha where he handed over R50,000, he said.
Four months later, in December, Flatela met up again with Honi and Tuswa at the same eatery, he said.
“In this meeting Tuswa instructed me to employ Mkhusseli Msila and to provide support to him as an upcoming businessman.”
Flatela claimed he was told to pay Msila a monthly salary of R30,000, provide him with a company vehicle and share all profits from the projects that Tuswa would channel to Zamazondo.
Flatela said he carried out most of the instructions and employed Msila from December 2014 and gave him a Toyota Fortuner to use.
“I did not share any profits with Msila as the relationship between myself and Tuswa broke down along the way and my invoices for services which I had rendered were suddenly blocked and not paid.
“I can state without any fear of contradiction that Honi and Tuswa were in cahoots and were together in corrupt activities,” Flatela claimed in the statement.
He said he stopped paying the monthly salary to Msila in June 2015 when the relationship with Tuswa broke down.
When phoned by Weekend Post, Msila first confirmed his identity. Asked about Flatela’s allegations, he claimed to be someone else and said he did not know Tuswa.
Asked for comment, Tuswa said: “Sir, with due respect, I don’t wish to make comment.”
The allegations against Tuswa formed part of a broader forensic probe carried out by Specialist Investigations Litigation Case Management, which was hired in May 2017 by the provincial treasury to probe numerous allegations of corruption between Coega and the health department.
“The allegation is supported by the evidence and therefore, on the balance of probabilities, the allegation is substantiated,” the report said.
“[There is] prima facie evidence in support of possible bribery in relation to the soliciting of a bribe from a service provider as supported by a sworn affidavit, together with relevant [appendices], submitted by the service provider,” it said.
It further recommended a criminal investigation.
Hawks provincial spokesperson Captain Anelisa Feni confirmed a case was being investigated.
“Since this matter is still under investigation no further information will be released at this stage,” she said.
Asked about his statement, Flatela confirmed he had written it but claimed he saw the R50,000 at the time as a donation and not a bribe.
“I am not comfortable talking about this as it is still under investigation ... I never used the word bribe in my statement. But I did give them money,” he said.
Flatela said since making the statement he had never received work again from either the department or Coega.
Coega and the department have for years been embroiled in a payment battle which affected construction and maintenance of health facilities in the province.
The agency filed legal action in 2017 to recover R159m in unpaid fees, but the department only agreed to pay R24m. However, Coega received an arbitration award in August, and the department paid an additional R150m in September.
‘I never took gift or bribe’
Former Coega programme manager Gift Honi has rejected allegations that he received a bribe from a company once contracted by the entity.
In a sworn statement, Nkoliso Flatela, CEO of Zamazondo Construction, claimed that in 2014 he paid a R50,000 bribe to Honi and provided a monthly salary and company car to a friend in exchange for Coega tenders.
Honi said Flatela’s claims were not true and that the businessman had an axe to grind.
He said that, at the time, he rejected a number of payments requested by Flatela for work supposedly done for Coega.
“A number of invoices he submitted were not correct. They were missing specific details required for payment such as pictures of work completed and invoices of the material sourced,” he said.
Honi showed Weekend Post numerous e-mails where he encouraged Flatela to file the correct paperwork to secure some of the money he claimed was owed to him.
But this was never done while Honi worked at Coega and, as a result, he said he refused to make the payments to Flatela.
“He made the claims of bribery two years after it allegedly happened. We had been engaging for two years on his work and then he makes these claims. Why did he wait so long?” Honi said.
While admitting he was in Mthatha on the date of the alleged bribe, Honi said he had not met up with Flatela at an Italian eatery that day.
“I never took money from that man. I was not at the restaurant with Flatela or Tuswa,” Honi said.
“I wish to state clearly I have never in the past nor present ever taken such a gift or a bribe from Flatela.
“If after four years he has now found some evidence that supports his allegations, please ask him to provide it so as to inform the public and my former employer.”
Coega spokesperson Ayanda Vilakazi said the agency believed the delayed payments to Flatela were a direct consequence of a fallout between Tuswa and the businessman.
He said Honi was first dismissed by Coega after an extensive investigation.
“There were issues that merited disciplinary action against Honi,” Vilakazi said.
“He was afforded an opportunity to present his case in a disciplinary process presided over by an independent chairperson.
“Having heard the compelling evidence presented for and against Honi, the chair found the charges to have been proven on a balance of probabilities and ruled that Honi be dismissed.”
Vilakazi said Honi was subsequently dismissed because Coega believed he had accepted a bribe.
“But he subsequently challenged his dismissal at the CCMA [Commission for Conciliation, Mediation and Arbitration].
“Before the hearing and arbitration could be heard, the parties reached an agreement that the termination of Honi’s employment would remain. However, it would be converted into a resignation.”
Vilakazi said no additional financial compensation was given to Honi after the CCMA settlement agreement.
Meanwhile, Tuswa is undergoing a disciplinary hearing by the health department in relation to the allegations. Tuswa was served with a notice of intention to suspend by the department’s superintendentgeneral, Thobile Mbengashe, on November 30 2017.
Eastern Cape health department spokesperson Lwandile Sicwetsha said Tuswa remained the infrastructure chief director at the department.
“Tuswa’s disciplinary inquiry is still ongoing. Once it is concluded, a report will be submitted to the executive leadership of the department.”