SIU Secures Preservation Order Against Groen Mintirho Linked to former MP

The SIU's investigation centres on the procurement of 200 motorised three-wheeler vehicles, valued at R27,599,250, intended for a waste management project.

The Special Investigating Unit (SIU) has secured a preservation order from the Special Tribunal against Groen Mintirho, a company linked to former Parliamentarian Pule Mabe, as part of its ongoing investigation into procurement irregularities. The order pertains to an alleged corrupt procurement process involving the Gauteng Department of Agriculture, Rural Development, and Environment (GDARD), and the City of Ekurhuleni Metropolitan Municipality (EMM).

The SIU's investigation centres on the procurement of 200 motorised three-wheeler vehicles, valued at R27,599,250, intended for a waste management project. Despite payments being made to the supplier, Enviro Mobi, the SIU uncovered evidence suggesting non-compliance with procurement regulations, misrepresentation, and failure to deliver the contracted services.

Assets Seized

Under the preservation order, the Special Tribunal has barred Pule Mabe and Groen Mintirho from selling, leasing, transferring, or otherwise disposing of specific assets tied to the alleged fraudulent activity. These assets include a luxury home in Steyn City, Gauteng, and a Porsche 911 Carrera GTS, both of which are now under the SIU's scrutiny as part of their efforts to recover public funds linked to the scandal.

Mismanagement and Fraudulent Activities

The investigation has revealed serious mismanagement of public funds, with losses exceeding R25 million due to fraudulent activities connected to tender awards and settlements. The SIU’s findings also point to unlawful financial transactions that benefitted individuals and companies involved in the tender process.

In response to these findings, the SIU has filed a review application with the Special Tribunal to nullify the tender award to Groen Mintirho and to recover funds that were unlawfully paid to the company. The move follows extensive evidence suggesting that funds allocated for the procurement were diverted through corrupt channels, rather than fulfilling the intended purpose of the waste management project.

Legal Proceedings and Criminal Charges

Last month, Pule Mabe appeared in court on charges of fraud, theft, and violations of the Public Finance Management Act (PFMA) and the Prevention of Organised Crime Act (POCA). Mabe, along with six other suspects, was granted bail, pending further legal proceedings. The SIU emphasized that it is continuing its investigation into the matter, which has already led to several criminal charges.

Empowering the SIU for Legal Action

Under the Special Investigating Units and Special Tribunals Act (1996), the SIU is authorized to initiate a civil action in the Special Tribunal or High Court to address any wrongdoing uncovered in its investigations. The SIU also works closely with the National Prosecuting Authority (NPA), referring evidence pointing to criminal conduct for further prosecution.

The SIU reiterated its commitment to holding individuals accountable for the misuse of public funds and ensuring justice is served in cases of corruption. The unit's continued focus is on correcting the wrongs in the procurement process and recovering the R25 million lost to fraudulent activities.

In this high-profile case, the SIU is sending a strong message that corruption and the abuse of public funds will not be tolerated, and it remains resolute in its efforts to safeguard the country’s resources and ensure accountability.