The City of Johannesburg has suspended two officials at City Power for their alleged involvement in the awarding of a R126-million construction tender.
In a statement released by the city on Thursday‚ it said the multi-million rand contract was awarded in 2015 for the construction of a substation in Eldorado Park.
“The two officials were suspended on the 8th of June 2017. The City has also opened a criminal case with the South African Police Services in relation to the matter.
“The suspensions follow serious allegations of corruption brought to my attention after employees of sub-contractors connected to the construction project protested against City Power’s main contractor and threatened to burn the substation down. Community leaders of Eldorado Park and surrounds prevented the attempted destruction of the substation‚ which is used to supply electricity to Eldorado Park and surrounding areas‚” said Joburg mayor Herman Mashaba.
The mayor met with the sub-contractors who gave details of the alleged corruption and complained about their non-payment. Sub-contractors detailed how about R66-milliion was paid to a service provider “without any physical work done”.
“I would like to thank the City’s Internal Forensic Investigations Unit‚ led by General Shadrack Sibiya‚ for the work which they have done in investigating this matter. I am especially grateful to the leadership of the Hawks for agreeing to prioritise this investigation and working with General Sibiya’s team‚” Mashaba said.
“I remain committed to ensuring that legal action is taken against the contractor for the recovery of monies owed to the residents of this city. Corruption has no place in this administration and we will work tirelessly‚ and in collaboration with institutions such as the Hawks‚ to ensure that the residents of Johannesburg receive the quality services they deserve‚” he said.