By: Staff Reporter
The Polokwane High Court has granted the Asset forfeiture Unit of the NPA (AFU) a preservation order to freeze bank accounts of a company implicated in multi-million rand tender fraud.
NPA spokesperson Sipho Ngwema said the bank accounts of Emanuel Matome Sefalafala’s company, Falaz General Trading and Construction (Pty) Ltd were frozen by the court today.
The order follows the allegations of kidnapping and extortion by Ahuiwi Netshidaulu, the Lepelle Northern Water Board acting Chief Executive Officer, Ngwema said.
Netshidaulu was appointed to the position a few months after the Chief Executive Officer of Lepelle, Phineas Kgahlisho Legodi, was put on precautionary suspension by the interim board of the entity.
In 2018, the Lepelle Northern Water Board awarded a R45m tender to Falaz for the collection, removal and disposal of hazardous waste management. Legodi was the CEO, and accounting officer of the Lepelle Northern Water Board, at the time.
“The tender was set aside by the Polokwane High Court and as a result Falaz was not entitled to payment of the invoices the company had submitted to Lepelle for payment in terms of the unlawful contract.”
Ngwema said it was alleged that on 02 November 2020, Netshidaulu had discussions with Sefalafala about payment of the balance of the invoice that was submitted on behalf of Falaz.
“Netshidaulu had indicated to Sefalafala that the payment could not be made since there were pending investigations.”
“It is further alleged that Sefalafala promised to provide Netshidaulu with a letter confirming that the case was closed. Later on, Sefalafala sent an email to Netshidaulu which contained a letter. However, Netshidaulu ignored the letter because it appeared not to be legitimate.”
Ngwema said on 13 November 2020, people purporting to be police officers from Silverton police station met with Netshidaulu at Polokwane police station. They informed him that they had a warrant for his arrest in relation to a case opened by Sefalafala against him at Silverton.
“The allegation was that Netshidaulu had extorted money from Sefalafala for Lepelle to pay the Falaz invoice.
It is said, however, instead of producing the warrant and effect the arrest of Netshidaulu, the men wanted to discuss the payment of the invoice and said they would not arrest him if he agreed to meet with Sefalafala.”
“Indeed, Sefalafala was called into the meeting and he insisted on the payment of the invoice and gave Netshidaulu two hours to go back to his office at Lepelle and make the payment. It appeared later that a case docket for extortion was only opened on 15 November and closed on 18 November 2020.”
Ngwema said it was alleged that on 18 November 2020, Netshidaulu was kidnapped and coerced into instructing his staff to pay Falaz by Sefalafala.
“According to Netshidaulu, he was only released once Sefalafala confirmed a receipt of payment of R 2 980 961.81 into his account,” Ngwema said.
Yesterday, Legodi, the chairperson of the Bid Evaluation Committee (BEC), Ngwako Michael Moseamedi, and businessman, Sefalafala and his company Falaz General Trading and Construction (Pty) Ltd, appeared briefly in the Polokwane Magistrates on allegations of tender fraud.
“They were charged with fraud, alternatively theft, forgery and uttering, with Legodi facing an additional charge of contravention of the Public Finance Management Act.”
The three were arrested by the Gauteng based Organised Crime Investigating Unit and the matter is jointly investigated with the Specialised Commercial Crimes Unit (SCCU) in Limpopo.
The arrests were in connection with the R45m tender allegedly issued fraudulently based on the recommendations of the BEC, chaired by Moseamedi, and the Bid Adjudication Committee (BAC).
“Legodi appointed Sefalafala’s company, Falaz General Trading and Construction, to render services.”
According to the provisional charge sheet, Sefalafala had submitted forged documents in order to obtain the tender.”
Ngwema said the matter was postponed to 17 December 2020 for bail application and the accused are in custody.
