News24

Two arrested for tender fraud

2010-07-27 22:16

Johannesburg - Two members of a tender syndicate have been arrested for fraud in Qwa Qwa, Free State police said on Tuesday.

The Hawks arrested the two on Sunday, after they allegedly tried to defraud Johannesburg-based businessman Theunis Crous, 51, spokesperson Mmako Mophiring said in a statement.

The pair allegedly promised Crous a tender to build 1 500 low-cost RDP houses in Qwa Qwa, Harrismith and Kestell.

The year-long contract was worth more than R200m.

Crous met the two in Harrismith on July 22 to get the correct documents and sign them, but they demanded money from him.

"On their first meeting is alleged that the two... demanded the amount of R100 000 in cash before he could sign the contracts' documents.

"Later they came with a complete contract whereby they demanded R1m in cash."

He gave them R10 000 in cash but became suspicious and opened a fraud case with Harrismith police.

The two were arrested and expected to appear in the Harrismith Magistrates' Court on Wednesday on charges of fraud.