/ 6 September 2010

Mkhize denies involvment in R200m tender fraud

KwaZulu-Natal Premier Dr Zweli Mkhize on Sunday denied any involvement in the alleged R200-million tender fraud which led to the arrest of senior government officials.

“The premier takes serious exception to the Sunday Times suggestion that he played a key role in the scandal,” said Mkhize’s spokesperson Ndabe Sibiya.

The newspaper reported that Mkhize and ANC Northern Cape chairperson John Block “played key roles in multimillion-rand deals” awarded to Cape Town firm Intaka.

Former head of department in the department of health, Dr Busi Nyembezi, former procurement officer Mdu Ntshangase and provincial legislature’s current chief financial officer Sipho Buthelezi were recently arrested in connection with the fraud.

Businessman, Uruguayan national Gaston Savoi, Fernando Praderi (also an Uruguayan national), Ansano Romani, Donald Miller and Ronald Geddes, were also arrested.

They allegedly defrauded the KwaZulu-Natal health department by inflating prices of water purification equipment supplied to hospitals.

The alleged crime happened while Mkhize was the province’s finance minister.

Sibiya said an impression had been created that Mkhize was a corrupt leader who influenced the multimillion-rand deals.

“We also hold a view that this borders along defaming Dr Mkhize,” said Sibiya.

The ANC in the province has also admitted that it had received a R1-million donation from Savoi.

It also promised to return the money if it is found that the money was obtained through the corruption. – Sapa