Malema and businessman linked - charge sheet
2012-09-25 17:56
Polokwane - Clear business ties exist between axed ANCYL leader Julius Malema and businessman Lesiba Gwangwa, the State claimed in court papers on Tuesday.
"From company documentation submitted as part of the bid, it is clear that there is a clear business relationship between Julius Sello Malema and Gwangwa as well as their companies/entities," according to the charge sheet in a fraud case against four of Malema's associates.
"According to the said company structure, Ratanang Trust and Gwangwa Family Trust, each owned 50% of Guilder Investments."
The court papers said Malema's Ratanang Family Trust was an indirect shareholder in On-Point Engineers.
Gwama Properties was 100% owned by Guilder Investment, indicating that the Ratanang Trust had an indirect shareholding in Gwama Properties.
SGL Engineering Project is 70% owned by Malema and 30% owned by Gwangwa.
Segwalo Engineering is 100% owned by Gwangwa, the papers said.
R40 000 bail
On-Point director Kagisho Dichabe, Gwangwa, Makgetsi Manthatha and Helen Moreroa appeared in court on Tuesday and were granted bail of R40 000 each.
They were charged along with companies On-Point, Gwama Properties, Segwalo Engineering and Oceanside Trading.
The State charges that the four misrepresented themselves to the Limpopo department of roads and transport, and a R52m contract was awarded to On-Point.
The court heard that another R1m gratification was paid to Kagisho, Gwangwa, Segwalo and On-Point by Oceanside, Moreroa and Manthatha.
The fraud charges also relate to designs owned by the department.
Weekend reports recorded Public Protector Thuli Madonsela as saying Malema made millions from the R52m tender by On-Point.
Back-to-back agreements
Though Madonsela could not find any evidence that Malema interfered in the tender process, she found that he benefited "improperly" from the contract.
Her investigation found that On-Point acted corruptly by signing back-to-back agreements with subcontractors, the newspaper reported.
Madonsela recommended that the tender be immediately cancelled, that the National Prosecuting Authority and the Asset Forfeiture Unit consider criminal action, and that the Master of the High Court investigate the flow of money into Malema's trust.
Malema was due to appear in the Polokwane District Court at 08:30 on Wednesday.
Malema faces a charge of fraud and money laundering relating to the On-Point tender.
The four accused handed themselves over to the police on Tuesday morning before their court appearance.
- SAPA
