Public Works Minister Gwen Mahlangu-Nkabinde has honoured a controversial R500-million lease for a building that will house the police’s headquarters in Pretoria, the Star reported on Tuesday.
“We looked at whether there was a contract or not and discovered that there is one between the landlord [Roux Shabangu] and the department,” she told the daily.
“We discovered that there is a binding contract between the department and Shabangu that was signed by the DG [director general Siviwe Dongwana].
After pressure from the media and opposition parties the government sought to cancel the deal. Mahlangu-Nkabinde then decided to go ahead with the deal as it was binding.
“We then took advice from state attorneys and realised that we had to honour this legal agreement, or else we would be sued for the same amount and more in the courts,” said Mahlangu-Nkabinde.
The Sunday Times revealed a few months ago that the deal had been signed without a public tender, prompting the Hawks and the Public Protector to investigate.
The paper also reported Shabangu had bought the property just before it was leased by the department of police.
Special Investigations Unit spokesperson Marika Muller told the Star the probe was still continuing and could not comment any further.
Filled to capacity
In August, Police commissioner General Bheki Cele defended the need for the new police headquarters. At a briefing convened to clarify an “incorrect and worse, misleading,” Sunday Times article, Cele told the media in Pretoria that he did not sign the lease agreement for an 18-storey building in the capital city, but only signed a needs assessment.
“Let me stress that this is where my role as the accounting officer for the South African Police Service ends.”
He said the existing leased police premises were filled to capacity, with people being “crunched” into the office space.
In some instances there were six to seven people in one office.
He said the procuring of new premises was not an unnecessary expense as the 18 floors had already been filled.
Cele denied that he knew businessman Shabangu, who owned the building.
It was reported that Cele knew Shabangu and that they had met at a wedding prior to the agreement being signed.