RE: NPA CHARGES JOHN BLOCK, DR SAVOI AND OTHERS IN SOL PLAATJIE MUNICIPALITY FRAUD 

On Friday 18 November 2011 six accused including senior government officials and businessmen, appeared in the Kimberly Magistrate Court in the Northern Cape. They are charged with fraud, corruption and contravention of the Municipal Finance Management Act. They were all granted bail ranging from R2000 to R15000 and their case was transferred to the Northern Cape High Court on 02 February 2012.

They are: John Fikile Block, Dr Gaston Savoi, Fernando Praderi, Patrick Lenyibi, Frank Mashilo and Nandipha Madiba. They were joined as additional accused with Nandipha Madiba who appeared on 17 November 2011 facing same charges as his co-accused.

This is after they handed themselves to the Hawks on 17 and 18 November 2011 after a long investigation into the supply of water purification plants in Richie district which is part of the Sol Plaatjie Municipality.  These offences which were allegedly committed during April 2006 relate to alleged irregularities in the acquisition of a Wataka water purification plant by the Sol Plaatjie Municipality from Intaka Holdings (Pty) Ltd (Intaka). It is alleged that the accused colluded with the Municipal employees to fraudulently and corruptly award the tender to Intaka.

Supply chain management and procurement procedures  were circumvented to ensure that Intaka is awarded the tender and one of the accused allegedly received money from the Intaka for facilitating the corrupt awarding of the tender. This is a new investigation and not related to the provincial leg of the investigation. 

The arrest and court appearance are a result of an intensive investigative process conducted by the Hawks working closely with the NPA in combating corruption in both public and private sector as it threatens the economic stability of the country and service delivery.

Statement issued by Adv Mthunzi Mhaga, NPA Spokesperson, November 18 2011

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