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E Cape officials arrested for fraud

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Eight Alfred Nzo District Municipality officials and a businessman have been arrested by the Hawks in an early morning raid. It relates to allegations of fraud and money laundering amounting to R300 million.

Nabbed after a lengthy investigation, it’s alleged that in October 2014, officials from the Bid Evaluation Committee and the Bid Adjudication Committee flouted municipal procurement processes.

Nine contracts were rewarded irregularly to eight companies in the Eastern Cape.

The R300 million tenders were for the supply of water pipes and tanks, and water supply in Matatiele, Bizana, Emaxesibeni and Cabazana.

The Alfred Nzo District Municipality has a notorious record. It is reported that it is not the first time a group of senior officials have been arrested from the municipality.

In 2013, other managers were arrested for corruption and fraud amounting to R12.5 million.

This investigation follows President Jacob Zuma’s call for an investigation to be conducted on the municipality.

The community has welcomed the arrests.

The accused have been released on bail of R8000 each. The case has been remanded to the 5th of April.

The Hawks say more arrests are imminent.

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