SIU freezes bank accounts of alleged Gauteng PPE tender looters

SIU freezes bank accounts of alleged Gauteng PPE tender looters

- The Special Investigation Unit (SIU) has the frozen bank accounts of companies and individuals linked to alleged PPE fraud

- One of the companies is owned by Madzikane II Thandisizwe Diko, husband of President Cyril Ramaphosa's spokesperson, Khusela Diko

- The pension of former Gauteng Health CFO Kabelo Lehloenya has also been frozen

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The Special Investigation Unit (SIU) has revealed that it had obtained a court order on Thursday which allowed it to freeze the bank accounts of 40 entities which are connected to the Gauteng PPE tender scandal.

Among the frozen accounts is Ledla Structural Development, Royal Bhaca Projects and Mediwaste.

Briefly.co.za reported that SIU Special Tribunal Judge Billy Mothle issued the order to freeze the accounts in an attempt to recover R38.7 million.

"The implementation of the contract for the supply and delivery of carious Covid-19 personal protection equipment (PPE) items, purportedly by the Gauteng Department of Health to the first responded on 6 April 2020, is suspended and the first to forty second [sic] respondents are interdicted from giving effect thereto," he ordered.

SIU spokesperson Selby Makgotho also removed former Gauteng Health CFO Kabelo Lehloenya access to his state pension, according to News24.

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"The Special Tribunal held that the civil recovery proceedings against Lehloenya be instituted within 15 days of the granting of the order for recovery of financial damages suffered by the misconduct and acts of dishonesty.”

Mothle explained that Ledla Structural Development received a large portion of the funds.

“Ledla Structural Development subsequently transferred a large portion of the proceeds to entities and individuals, which funds, the SIU contends in court papers, are liable to be forfeited to the state."

Madzikane II Thandisizwe Diko, husband of President Cyril Ramaphosa's spokesperson, Khusela Diko, is the owner of Royal Bhaca Projects.

SIU freezes bank accounts of alleged Gauteng PPE tender looters

Khusela Diko is President Cyril Ramaphosa's spokesperson. Photo credit: Facebook/@Khusela Diko
Source: Facebook

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Ledla Structural Development was paid R80 million and is believed to be a front company for Royal Bhaca Projects. Ledla received payments even though it did not appear on the list of the successful bidders for the R2.2 billion in PPE tenders, according to IOL.

Earlier, Briefly.co.za reported that Khusela Diko and her husband Madzikane Diko have threatened to sue Independent Media after it released a report on the couple's Covid-19 PPE tender scandal.

Royal Bhaca Projects, owned by Madzikane, was green-lighted by the Gauteng Department of Health for a R125 million tender to supply PPE.

The couple had been faced with immense public backlash over the situation and later claimed that it had cancelled the contract after realising their mistake.

However, IOL reported that they had received a minimum of R80 million using a front company called Ledla Structural Development.

In other news, presidential spokesperson Khusela Diko and her husband Madzikane have been front and centre after a number of questionable Covid-19 tenders came to light.

In a statement issued by the family after the news broke the couple denied receiving any payments after scoring a R125 million contract with the Gauteng Department of Health.

Now, the Sunday Independent has revealed that a minimum of R80 million for PPE was serviced through a company known as Ledla Structural Development.

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Source: Briefly.co.za

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