Durban - The director-general in the KwaZulu-Natal premier’s office, Nonhlanhla Mkhize, appeared briefly in the Durban Specialised Commercial Crimes Court yesterday, along with five other accused, for a bail application.
She was arrested on Monday by the Directorate of Priority Crimes Investigation (Hawks).
Mkhize, Siphiwe Mabaso, Sthembelo Mhlanga, suspended Mhlathuze Water CEO Mthokozisi Duze, suspended Mhlathuze CFO Babongile Mnyandu and Thabiso Khumalo appeared in court on corruption charges relating to a Mhlatuze Water procurement project in 2018.
The accused were represented by advocate Griffiths Madonsela SC, advocate Jay Naidoo and attorneys Zandile Mshololo and Jimmy Howse, among others.
Bail was not opposed for Mnyandu and Khumalo. The other four accused were remanded in custody at the Durban Central police station until today (Wednesday) for a bail application.
Bail for Mnyandu was set at R60 000 with a condition that she doesn’t contact any witnesses or the board of directors at Mhlatuze. Bail for Khumalo was set at R5 000.
They will return to court on December 6.
According to National Prosecuting Authority spokesperson Natasha Ramkisson-Kara, Mhlathuze Water, as a public entity, had to appoint a panel of legal service providers to render services for over three years.
The State alleges that Duze and Mnyandu colluded to have Mhlanga, Khumalo and Mhlanga’s company appointed as part of this panel and to ensure that they (the latter) were entitled to 80% of the work that needed to be done.
“These unlawful activities and fraud to the value of approximately R37 million was discovered during an internal audit.”
She said Mkhize, Mabaso, Mhlanga and Duze were charged with intimidation, defeating or obstructing the course of justice and fraud.
Duze, Mhlanga, Khumalo and Mnyandu were charged with fraud and corruption.
Regarding the intimidation and defeating the ends of justice charges, according to the charge sheet, in February the chairperson of the Mhlathuze Water board, Thabi Shange, was visited by Mabaso who pretended to be a member of Military Intelligence in Durban. He claimed that the unit was investigating all boards of public and state-owned entities.