PP to investigate Deputy President’s sons for suspicious Gauteng government contracts

28 May 2024

The Public Protector (PP) has confirmed that the two sons of Deputy President Paul Mashatile will be investigated in regard to three contracts that were awarded under suspicious circumstances by the Gauteng Department of Infrastructure Development.

The FF Plus views the decision as a positive step to establish whether the prescribed tender processes were lawfully and correctly followed, and whether the relevant companies and persons can indeed render the services for which they have been contracted.

The FF Plus lodged a complaint with the PP in February 2024 following reports by Network24 indicating that a company of which Mashatile's two sons, Thabiso Mashatile and Tinyiko Mvelase, were directors at strategic times was awarded three contracts by the Gauteng Department of Infrastructure Development in a matter of just three months.

It appears that the three contracts were awarded under suspicious circumstances. The PP's decision to launch an investigation confirms the FF Plus's view on the matter.

It is suspect that the Deputy President's two sons became directors of the company, Ngwato and Manzi Group, just when the tenders were awarded

Network24's investigation revealed that Thabiso Mashatile had been serving as a director of the company when two tenders were awarded in March 2022. He, however, stepped down a mere two months later on 10 May 2022.

On the same day, Tinyiko Mvelase was appointed as director. This apparently transpired just one month before the Gauteng Department of Infrastructure Development awarded yet another contract to Ngwato and Manzi Group in June 2022.

And then on 10 November 2023, Mvelase resigned as director.

At first glance it seems that the Deputy President's two sons were appointed as directors of the Ngwato and Manzi Group at very strategic times. This was possibly done to lend more political weight to the company's tender applications to the Gauteng Department of Infrastructure Development.

There are also other suspicious facts which stand out and might indicate that the contracts were awarded to a company that is not really capable of performing the work.

At present, the Ngwato and Manzi Group's sole director is a 24-year-old woman named Thato Nokaneng, who is unemployed according to her TikTok profile.

The three contracts awarded to the company entail highly skilled technical work, including the procurement and supply of autoclave equipment (which sterilises items using steam under high pressure) and building materials as well as providing fire-monitoring and -fighting services.

Moreover, the registered office for the company is a residential property in Alexandra, a suburb of Johannesburg.

These questions can only be answered by conducting an investigation to determine whether the company meets the prescribed requirements in terms of section 217 of the Constitution, as well as the other relevant procurement requirements set out in the Treasury's Procurement Regulations in terms of the Public Finance Management Act, the Regulations issued in terms of the Preferential Procurement Policy Framework Act 5 van 2000, and the provincial government's own procurement policy.

If there are any deviations from the procurement processes, it could indicate that the appointments were made to sway the allocation of the contracts in the company's favour.

The FF Plus, furthermore, also requested the PP to investigate whether Thabiso Mashatile and Tinyiko Mvelase could possibly have benefited personally from the government contracts.

The Gauteng Department of Infrastructure Development is notorious for being the provincial government's poorest performing department, particularly for the slow rate at which it is constructing school infrastructure and for delaying important infrastructure projects in Gauteng.

Therefore, this Department cannot afford to appoint service providers that are unable to successfully complete projects on time, within budget and up to standard.

Issued by Anton Alberts, FF Plus national chairperson and MPL: Gauteng, 28 May 2024