Johannesburg mayor, Herman Mashaba has been giving an update on the R18 billion corruption he has uncovered since taking over the running of the city.
He says more than 700 people have been arrested. In the latest incident, a company contracted to the city allegedly received a contract at an inflated cost of R100 million. The contract was worth R1.5 million.
The company’s directors have since been arrested. Mashaba was delivering the State of the City Address at the council chambers in Braamfontein.
This company received a forged bank guarantee to secure a tender and proceeded to receive over R100 million for the work estimated at R1.5 million.
The two directors have been arrested and are out on bail.
Mashaba has also terminated a R2.3-billion WiFi related contract which he says was connected to two government ministers.
Mashaba says he’s managed to cancel a number of tenders thereby saving the city’s billions.
He says this included the security guard contracts whose employees he has in-sourced. He was delivering the State of the City Address in the Johannesburg council in Braamfontein.
“What lay behind the decision was insidious. These ministers will be named in due course, because this report is expected to be finalised in the near future,” concludes Mashaba.
