Scandal kingpin’s rise to riches

PUMLANI Mkolo’s first-ever job was two years ago when he was elected regional secretary to the ANC in Buffalo City at about R37000 a month.

Since then he has amassed a small fortune – enough to loan R600000 to the financially embattled Border Rugby Union while he drives a 2012 Mercedes-Benz C-200 registered in his name.

In December he bought a brand new Mercedes-Benz CLS 250 CDI worth over R700000.

The man at the centre of the Mandela memorial taxi fraud is an Mdantsane-born operator who has made a rapid transition from township rags to suburban riches.

During the quick change in his fortunes Mkolo, 37, has stayed connected to prominent and wealthy people. He is close to boxing promoter Mzi Mnguni, and former ANC leader Mluleki George groomed him politically.

Billion Group boss Sisa Ngebulana is also close, and today, Mkolo lives in a luxury Gonubie townhouse bought from Ngebulana in 2008 for R1.1-million. The house is still in the name of one of Ngebulana’s companies, Phomella Property Investments. “I am not sure whether it was a bond or he took a loan for the house,” said Ngebulana.

According to Vuyokazi Njongwe of the Billion Group the house has not been transferred to Mkolo as he still owes R400000.

Mkolo has been mired in controversy since the Dispatch exposed his alleged involvement in the R6-million taxi fraud perpetrated in BCM at the time of Nelson Mandela’s memorial service, in which his ex-lover Nosiphiwe Mati gained R100000. Last Saturday this newspaper exclusively reported that a further R350000 of the Mandela money was paid to Lily Rose Trust, owned and run by his new girlfriend Zintle Nkuhlu.

Another R1.3-million was paid to Mantella Trading, owned by East London businessman Dean Fanoe, for printing 20000 ANC T-shirts.

Mkolo’s story is that of a township youth who broke free of his troubled past and the shackles of poverty to acquire respect and wealth in the community. He rose rapidly to prominence from his time as a boxing “corner-man”, carrying water and towels for boxers.

One man from his neighbourhood said Mkolo “bears all the scars of Mdantsane”.

“He’s a ‘been there, done that’ kind of person. His life started in a typical matchbox home with a struggle for recognition to where he is now.

“Within no time, he became a popular and powerful ANC regional leader.”

An ex-teacher at Wongalethu High School in Mdantsane, where Mkolo dropped out in Grade 9, said: “He was not that excellent at school and there was no way that he was going to go through to matric. He was older than other kids in his class and that’s something that motivated him to stay out of school to pursue politics.”

After quitting school, Mkolo became involved with sport in the community, particularly boxing. He is president of the amateur arm of the Border Rugby Football Union (BRFU). He joined the ANC in the early 2000s and is an active member of GB Pasha branch in Ward 11.

He was a popular chair of the ANC Youth League’s Amathole region before he became the Buffalo City regional ANC secretary in 2012.

His monthly R37000 from the ANC comprises R22000 from Luthuli House and R15000 from the province as a top-up, said a party source. He earns nothing from Border Rugby, although he “qualifies for travel allowance and accommodation”.

These days Mkolo is known for his love for designer labels and is a regular at top eateries around East London, especially Vincent Park.

Given that his official ANC salary is not enough and without any other businesses registered in his name, it is not clear how Mkolo manages to finance his luxury lifestyle or the extension of loans to the BRFU.

The union’s acting general manager, Dumisani Mhani, recently revealed in a report to his executive committee that Mkolo is owed R628017.

The loan paid salaries, legal fees, vehicles and travel expenses. The total on invoices seen by the Dispatch is R419869 and the remainder is apparently travel and legal claims. While deeds office searches show no properties in his name, Mkolo has been linked to a Bonnie Doon house that was recently demolished and is being redeveloped.

Contacted for comment yesterday, Mkolo first asked who told the Dispatch that he owned two vehicles. He then asked for questions to be e-mailed to him and said he “may” respond next week.

But at a recent press conference, he refused to answer Dispatch questions about how he saved the union or the source of his money. “We don’t know about these monies you are talking about. I can’t comment,” he said.

Mkolo is close to George, a former BRFU president himself, who confirmed that he had mentored Mkolo. “That boy is a fighter, a survivor who never gives up,” he said.

Asked if he was aware of corruption allegations against Mkolo, George said he was worried about his protégé. “There is greed, something that leads to corruption especially in young leaders his age. Pumlani must stay away from such things. I will talk to him ... I am not saying that he is one but these reports can destroy him ... I will call him.”

lJoin the conversation on Twitter at #DDmadibafuneral. — With additional reporting by Mphumzi Zuzile and Ray Hartle

subscribe

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.