Millions lost to corruption at City of Joburg

By IAfrica
In South Africa
Aug 7th, 2014
0 Comments
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JOHANNESBURG – Twenty-two people have been arrested for corruption, fraud, and tampering with the City of Johannesburg’s revenue collection systems, mayor Parks Tau said on Thursday.

“In the last month 22 arrests have been made relating to 109 cases of corruption that resulted in an estimated R200 million loss in the city’s revenue collections,” Tau told reporters in Johannesburg.

“We expect to arrest 10 more people within the next two weeks.”

He said two people were City Power employees and two were with the city.

“The remainder were external contractors and general members of the public.”

He said the city had recovered R107m from the losses caused by the corruption.

“The balance of the losses has already been accounted for in the city’s balance sheet and will not impact residents’ or business accounts.”

Tau also said “large power users” were possibly involved in corruption and defrauding the city.

“We have identified 30 large power users consisting of businesses that are possibly [involved] in corruption and we are currently finalising some of the investigations.”

The city was working with the National Prosecuting Authority (NPA), police, and the Hawks in investigating the matter, he said.

“We are working with law enforcement agencies and we are comfortable that we will have convictions.”


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