Dodgy Shabangu-ICD deal is twice the price

Information submitted to the Police Portfolio Committee by the Independent Complaints Directorate (ICD) has revealed the exact value of the inflated rental of the ICD's new headquarters, which is owned by controversial businesman Roux Shabangu.

The Department of Public Works  recommended that the ICD sign a R880 000/month lease for a property owned by Roux Shabangu's company to house its Pretoria headquarters. This is double the cost of the monthly rental for the building initially proposed by the ICD, which would have cost just under R420 000/month.

Not only is the Shabangu-owned building twice the price of the building chosen by the ICD, but it reportedly also does not meet the ICD's requirements. So the question must be asked: Why is Shabangu getting the lease deal?

We are seeing history repeating itself. In her report into the unlawful SAPS lease deals Public Protector Thuli Madonsela raised concerns both about the suitability and the exorbitant cost of the buildings leased by the Department of Public Works from Mr Shabangu.

I will today be submitting parliamentary questions to the Minister of Public Works to determine why the Public Works Department recommended that the Shabangu building be used by the ICD, despite its higher cost and inappropriate facilities. In addition, I will be writing to the Executive Director of the ICD to determine whether they raised concerns about the building with the Department of Public Works before moving in and, if so, what the Department's response was.

It is bizarre that the Department of Public Works, which recently saw its Minister axed because of her involvement in a dodgy lease deal involving Roux Shabangu, would for a second time seek to enter a questionable lease agreement with the same individual.

The new Minister of Public Works, Thembelani "Thulas" Nxesi, needs to prove that he is committed to putting clear blue water between his tenure and his predecessor's by providing a full explanation for the reasoning behind the ICD lease deal.

Statement issued by Dianne Kohler Barnard MP, DA Shadow Minister of Police, November 7 2011

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