THE East London couple awarded a controversial R6-million Buffalo City Metro taxi tender for Nelson Mandela memorial service transport has been arrested by the Hawks.
Mzwandile Sokwali and his wife, Busisiwe Boti, were picked up from their Beacon Bay home on Wednesday evening and spent a night in the East London police station holding cells before their first court appearance yesterday.
They were released on R100000 bail each after indicating they intended to plead not guilty to a schedule five offence and a number of fraud and theft-related counts.
In South Africa schedule five offences include murder and drug-related crimes, and corruption, fraud or theft of R500000 plus.
According to the www.southafrica.info website, the schedule five minimum sentence is 15 years in jail for a first offender.
The couple ostensibly used their company, Victory Ticket 750cc to transport mourners throughout metro to Mandela memorial services on December 10, 11 and 12.
On December 12, they submitted an invoice of R5.985-million and less than 24 hours later the money was paid into the company’s account – though it was not even on the BCM database when it was awarded the tender.
The Hawks picked up that the same company was paid R250000 by the Eastern Cape Development Corporation (ECDC) to transport mourners to Port Elizabeth on December 13. ECDC paid this amount on December 11, before the mourners had been transported.
Yesterday the charge sheet said the accused acted in common purpose to commit the offences. The company, Victory Ticket 750cc, appears as accused number 1 with Sokwali as accused number 2 and Boti 3.
They face charges of:
- Common law fraud or theft of public funds entrusted to the accounting officers of ECDC, involving an amount of R250000;
Common law fraud or theft of public funds entrusted to the accounting officer of BCM involving an amount of R5.985-million; and
Theft of R250000 cash from the ECDC.Victory Ticket, is also accused of acting in common purpose with Sokwali and Boti in the common law crime of defrauding BCM of R5.985-million and potentially prejudicing R3.013-million.
The municipality awarded the company a tender of R10-million to transport mourners but R3.013-million was withheld by the municipality in January before it was paid to the company.
The charge sheet before the court also reveals the company misrepresented itself in an undated invoice, submitted on December 19, claiming it had rendered services to transport mourners in and around East London, King William’s Town, Mdantsane and Nelson Mandela Metro Municipality.
Yesterday in their first bail application, the accuseds’ defence, represented by Bongani Qangule of Drake Flemmer and Orsmond, told the court the accused would plead not guilty to the charges against them.
Qangule asked the court to give his clients bail as they had children, and had to run their businesses.
The defence stated the couple had 10 employees or drivers who depended on them.
“My clients have three children, one adult and two minor children with the youngest being two and a half years old. If they are kept in custody, this will affect their children as it does already,” said Qangule.
State prosecuting advocate Diniso Ketani from the Specialised Commercial Crimes Unit in Pretoria didn’t oppose bail.
“The state won’t oppose bail – it remains with this court to take a decision,” said Ketani.
The defence asked for R50000 bail each for Sokwali and Boti but the court gave them R100000 each.
“I am not trying to be difficult but this is a high-profile case and it has the interests of society at large. This is in the interests of justice,” said magistrate Merwin Meyer.
The case was postponed to June 24 for further investigation.
The Daily Dispatch has learnt the case was postponed as the state wants to prepare for trial. — bonganif@dispatch.co.za
HAWKS SWOOP IN MADIBA TAXI SCAM
Mzwandile Sokwali and his wife, Busisiwe Boti, were picked up from their Beacon Bay home on Wednesday evening and spent a night in the East London police station holding cells before their first court appearance yesterday.
They were released on R100000 bail each after indicating they intended to plead not guilty to a schedule five offence and a number of fraud and theft-related counts.
In South Africa schedule five offences include murder and drug-related crimes, and corruption, fraud or theft of R500000 plus.
According to the www.southafrica.info website, the schedule five minimum sentence is 15 years in jail for a first offender.
The couple ostensibly used their company, Victory Ticket 750cc to transport mourners throughout metro to Mandela memorial services on December 10, 11 and 12.
On December 12, they submitted an invoice of R5.985-million and less than 24 hours later the money was paid into the company’s account – though it was not even on the BCM database when it was awarded the tender.
The Hawks picked up that the same company was paid R250000 by the Eastern Cape Development Corporation (ECDC) to transport mourners to Port Elizabeth on December 13. ECDC paid this amount on December 11, before the mourners had been transported.
Yesterday the charge sheet said the accused acted in common purpose to commit the offences. The company, Victory Ticket 750cc, appears as accused number 1 with Sokwali as accused number 2 and Boti 3.
They face charges of:
Victory Ticket, is also accused of acting in common purpose with Sokwali and Boti in the common law crime of defrauding BCM of R5.985-million and potentially prejudicing R3.013-million.
The municipality awarded the company a tender of R10-million to transport mourners but R3.013-million was withheld by the municipality in January before it was paid to the company.
The charge sheet before the court also reveals the company misrepresented itself in an undated invoice, submitted on December 19, claiming it had rendered services to transport mourners in and around East London, King William’s Town, Mdantsane and Nelson Mandela Metro Municipality.
Yesterday in their first bail application, the accuseds’ defence, represented by Bongani Qangule of Drake Flemmer and Orsmond, told the court the accused would plead not guilty to the charges against them.
Qangule asked the court to give his clients bail as they had children, and had to run their businesses.
The defence stated the couple had 10 employees or drivers who depended on them.
“My clients have three children, one adult and two minor children with the youngest being two and a half years old. If they are kept in custody, this will affect their children as it does already,” said Qangule.
State prosecuting advocate Diniso Ketani from the Specialised Commercial Crimes Unit in Pretoria didn’t oppose bail.
“The state won’t oppose bail – it remains with this court to take a decision,” said Ketani.
The defence asked for R50000 bail each for Sokwali and Boti but the court gave them R100000 each.
“I am not trying to be difficult but this is a high-profile case and it has the interests of society at large. This is in the interests of justice,” said magistrate Merwin Meyer.
The case was postponed to June 24 for further investigation.
The Daily Dispatch has learnt the case was postponed as the state wants to prepare for trial. — bonganif@dispatch.co.za
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