Joburg Mayor confirms receipt by City of SIU report on financial misconduct

This comes after the Special Investigating Unit found that five senior employees of the Joburg Property Company, including its chief executive and chief financial officer, may be guilty of financial misconduct in the awarding of contracts to provide deep-cleaning and sanitisation services.

FILE: Johannesburg Mayor Geoffrey Makhubo. Picture: Sethembiso Zulu/Eyewitness News

JOHANNESBURG - Joburg Mayor Geoffrey Makhubo has confirmed that the City has received a report from the Special Investigating Unit (SIU) on allegations of financial misconduct and corruption.

This comes after the SIU had found that five senior employees of the Joburg Property Company (JPC), including its chief executive and chief financial officer, may be guilty of financial misconduct in the awarding of contracts to provide deep cleaning and sanitisation services.

It's understood the implicated senior JPC officials inflated prices quoted by the service providers which caused the city-owned entity to incur millions of rands in fruitless and wasteful expenditure.

The City's Mlimandlela Ndamase said the report had been referred to the MMC for Economic Development, and the chairperson of the JPC board.

Ndamase said several other investigations, including the city's own internal audit of COVID-19 procurement and expenditure, were ongoing

“The report has adverse findings and the mayor has directed that the board of the JPC provide a clear and concise approach to ensuring we discipline those employees identified to have acted improperly.

"The mayor has committed that disciplinary action will be taken against any employees of the city that have been identified to have transgressed the policies and laws that govern procurement in the city.”

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