Nine arrested over illegal R75 million water tanker tender in Eastern Cape

The Special Investigating Unit (SIU) has welcomed the arrest of nine people accused of corruption worth R75 million in the Alfred Nzo District Municipality in the Eastern Cape.

The SIU discovered a tender for trucks—water tankers and jet vacuum tankers—was awarded to a company called Kwane Capital without budget approval.

The unit has instituted civil action in the Special Tribunal to review and set aside the contract to recover the losses suffered.

SIU spokesperson Kaizer Kganyago stated: "The accused appeared before the EmaXesibeni (Mount Ayliff) Magistrates’ Court on charges of fraud, corruption, money laundering, and contravention of the Municipal Finance Management Act (MFMA). The yellow fleet refers to six trucks, six sprinkler water tankers, and three jet vacuum tankers that were meant for water supply, sanitation, and infrastructure support in the municipality."

These arrests follow referrals made by the SIU to the National Prosecuting Authority (NPA) after uncovering evidence of serious maladministration and corruption during its investigation under Proclamation R36 of 2017.