The SIU has made criminal referrals and launched civil action against individuals and entities tied to procurement irregularities at the Greater Kokstad Local Municipality in KwaZulu-Natal.
Greater Kokstad Municipality/Facebook
The Special Investigating Unit has made criminal referrals and launched civil action against individuals and entities tied to procurement irregularities at the Greater Kokstad Local Municipality in KwaZulu-Natal. The investigation’s scope widened after President Cyril Ramaphosa signed an amendment to Proclamation 244 of 2025,extending the probe period back to 5 June 2020 and adding new bids for laptops,desktops,and software licences.A final report on the original findings will be submitted to the Presidency,which is responsible for releasing it publicly.The Special Investigating Unit (SIU) has referred several individuals and entities to the National Prosecuting Authority (NPA) as part of its probe into procurement irregularities at the Greater Kokstad Local Municipality in KwaZulu-Natal.
Speaking to News24 on Tuesday,SIU spokesperson Selby Makgotho confirmed that criminal referrals had been submitted to the NPA.
Recommendations have also been made to the municipality to begin the process of blacklisting the implicated entities.
Makgotho said the SIU had further instituted civil proceedings in the Special Tribunal,with litigation launched on 31 March 2026.
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“The civil litigation matter is still pending before the Special Tribunal,and no further information can be shared at this stage,” he said.
He added that the municipality’s financial losses could not yet be disclosed because the civil proceedings remain before the tribunal.
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In a statement released last week,the SIU announced that President Cyril Ramaphosa signed an amendment to Proclamation 244 of 2025,widening the investigation into the procurement of software licences and IT service desk solutions at the Greater Kokstad Local Municipality.
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The proclamation was gazetted on 10 July.
Makgotho explained that the original proclamation,published on 31 January 2025,authorised the SIU to investigate the procurement of,or contracting for,goods,works,or services by or on behalf of the municipality,as well as any payments made in a manner that was not fair,equitable,transparent,competitive,or cost-effective.
The investigation initially covered:
the appointment of a service provider to supply and renew software licences for a period of three years;the appointment of a service provider to supply a customer care and IT service desk solution for a period of three years; andirregular,unlawful,or improper conduct by officials or employees of the municipality,service providers,suppliers,or any other person or entity during the period under investigation.
Makgotho said the amendment extended the investigation period to commence on 5 June 2020,instead of the original 1 January 2022,and to continue until the date of publication of the amended proclamation.
He further noted that the amendment expanded the scope of the investigation to include two additional bids: the supply and delivery of laptops and desktop computers,as well as the supply and renewal of software licences.
Commenting on what the SIU had found so far,Makgotho said the outcomes of the investigation will be presented in a final report to the Presidency. “Once an investigation is completed,a final report is submitted to the president,providing an overview of the investigation,its findings,and the recommendations made,along with their outcomes,” he said.
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Greater Kokstad local municipality spokesperson,Zolani Siqwayi,confirmed that the municipality fully cooperated with the SIU throughout the investigation,providing access to the information and documentation requested by the SIU.
Siqwayi said,“The municipality is continuing to implement those recommendations contained in the SIU report that fall within its powers and has submitted progress reports to the SIU detailing the implementation of progress made to date. The municipality continues to engage with the SIU regarding the implementation process.”
On how many people had been held accountable,Siqwayi said the SIU recommended,amongst other things,that disciplinary proceedings be instituted against a former municipal employee.
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“As the individual is no longer employed by the municipality,the municipality does not have jurisdiction to institute disciplinary proceedings against that person. Notwithstanding the above,the municipality is in the process of implementing those recommendations that fall within its powers.”
Addressing the council when the proclamation was first received,the mayor,Marcus Madikizela,said the municipality would cooperate with the SIU.
“Upon completion of the investigation,we will ensure that whoever is found to have flouted the laws of the country and the policies of the municipality will be subjected to the harshness of the law. We call upon both our management and councillors to cooperate fully with the SIU in carrying out the investigation,” he said.
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