Nkandla pay shock

2012-10-21 17:49
President Jacob Zuma (AP)

President Jacob Zuma (AP)

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Johannesburg - Five days before President Jacob Zuma called on executives to tighten their belts, the public works department approved payments of millions of rands to contractors developing Zuma’s homestead in Nkandla.

City Press is in possession of internal public works documentation showing that multimillion-rand payments to at least nine companies were authorised last Friday.

This comes two weeks after City Press revealed the extent of government’s more then R200m splurge on Zuma’s private property.

Zuma last week called on executives in the public and private sectors to “tighten their belts as part of building a shared commitment to prosperity and growth”.

The documents further reveal:

» Thirty-one costly new buildings were constructed in the compound, with one contractor (who built six of them) charging public works R8m per building;

» The state will pay R2.3m for lifts to carry Zuma and his visitors between an underground bunker and the main houses;

» The installation of air conditioning systems in Zuma’s houses at a cost of R1.5m to taxpayers will be paid for as part of security renovations; and

» A total of R3m was spent on bulletproof glass for the compound.

This comes after Afrikaans daily Die Burger revealed that total costs for renovations to the Nkandla homestead had risen to R248m.

In August 2010, public works told Parliament the project would cost R6.4m.


Security of dignitaries

Public Works Minister Thulas Nxesi defended the spending two weeks ago by saying a “frank assessment” of security at Zuma’s compound showed a “deep rural area in which there was basically none of the services we all take for granted in an urban area”.

The upgrades had to be done, Nxesi said, to accommodate the “security of dignitaries” when they visit Nkandla.

This happened despite massive upgrades to Zuma’s official residences in Pretoria, Durban and Cape Town that have been undertaken since 2009.

The documents reveal R54m has been spent at Nkandla just on consultants, including architects, a project manager, a quantity surveyor and engineers.

Payments to contractors started in December 2009 – seven months after Zuma was sworn in as president.
The final delivery date of the project is August 2013.

The biggest beneficiary of the Nkandla upgrade by far has been Thandeka Nene’s Bonelena Construction Enterprise and Projects, which scored two building contracts worth R33.4m and R66m, respectively.

Tender


The R33.4m contract was for “emergency work”, indicating the work did not go out on public tender.

A public works insider said it was common for projects in the department’s “prestige portfolio”, of which Nkandla is one, not to go out on tender.

The department had a list of approved service providers from which it chose companies to do the work.

Bonelena’s second contract, the cost of which increased from R55m to R66m, was for the construction of “25 new buildings” at R2.6m each.

It’s unclear if the buildings are houses, but the weekly Mail & Guardian previously reported that the project included 20 houses for bodyguards.

Payments to Bonelena started in April last year, but the total spend was signed off last Friday by a public works official.

Nene told the Sunday Times last week her business was liquidated after public works failed to pay her R8m for work done at Nkandla.

When City Press put it to her that her company in fact scored almost R100m from the project, Nene, who has a penchant for German sedans and luxury holidays, said the figures were “not correct” and that she could not speak to us “because [she] signed confidentiality agreements”.

The Mail & Guardian reported last year that Bonelena employed Zuma’s niece, Khulubuse Zuma’s sister, as a manager on the project.

Nene said there was no Zuma in her company, but that she was “too far” from the work at Nkandla to know which people the company employed on-site.

Asked if she investigated whether Zuma’s niece worked for Bonelena after the report was published, Nene said she “didn’t have time for that”.

Gymnasium


Moneymine 310, a company owned by Pamela Mfeka, was contracted to construct six new buildings at the compound at a cost of R47.6m, meaning each building cost R7.9m.

It is unclear exactly which buildings the firm constructed.

A visitors centre, gymnasium and guest rooms were part of the project.

Mfeka runs Igugu Consulting, a company that provides human resources services and hosts corporate functions.

According to Zuma at a press briefing two weeks ago, his family paid for part of the construction.

He said: “When people see my house on the TV, they must be thinking that government has built this for me.

No. A large part of that ... has been done by the family. How then this was done, I would not want to judge.”

It is still unclear exactly what expenses Zuma and his family will carry, but an earlier public works document put the figure at R10.6m.

Despite numerous requests for comment, public works didn’t respond and referred City Press to Nxesi’s two-week-old statement.

Most of the 15 contractors who worked on the project also declined to comment, citing confidentiality clauses.

»Additional reporting by Paddy Harper


Read more on:    thulas nxesi  |  jacob zuma  |  pietermaritzburg  |  nkandla upgrade
NEXT ON NEWS24X
SHARE:

Read News24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
358 comments
Add your comment
Comment 0 characters remaining
 

Inside News24

 
/News
 

Hottie of the day: Nicole Meyer!

Nicole is the cover girl for the 2014 edition of SA Swimsuit! Check out some smoking hot pics of here here.

 
 

Men24.com

11 things men don’t know about their clothes
Hilarious mortal kombat elevator prank!
This is how the Top Gear presenters spend their £55 million!
Thirty and still single? There’s hope!

Jobs in Cape Town [change area]

Jobs in Western Cape region

Senior Structural Engineer

Western Cape
Communicate Cape Town Engineering
R500 000 - R600 000 Per Year

Technical Consultant

Cape Town
aaX
R30 000 Per Month

Trainee Equity Analyst

Cape Town
SET Recruitment Consultants
R310 000 - R425 000 Per Year

Property [change area]

Travel - Look, Book, Go!

Magical Massinga

Spend 5 nights at the gorgeous Massinga Beach Lodge in Mozambique and only pay for 4 from R13 220 per person sharing. Includes return flights, accommodation, transfers and romantic turndown. Book now!

Kalahari.com - shop online today

Save up to 60% on toys!

Don’t miss out on this hot offer, save up to 60% on toys. While stocks last. Shop now!

Festive gifts!

Check out our awesome range of festive gifts to make everyone’s wishes come true. Shop now!

Seen something you like in our catalogue?

Find the perfect gift and save up to R5000 – As seen on the catalogue. Hurry and shop now!

Save up to R2200 on electronics! – As seen in the catalogue

Wishing for tech gadgets this festive? Save up to R2100 on hot tech products at kalahari.com. While stocks last. Shop now!

Up to 35% off books

Save up to 35% on the latest page-turners. While stocks last. Shop now!

OLX Free Classifieds [change area]

Samsung Galaxy s4

Mobile, Cell Phones in South Africa, Western Cape, Cape Town. Date October 24

Best bargain in big bay

Real Estate, Houses - Apartments for Sale in South Africa, Western Cape, Cape Town. Date October 25

VW Golf 6, 1.6 Trendline (Excellent condition)

Vehicles, Cars in South Africa, Western Cape, Cape Town. Date October 25

Horoscopes
Aquarius
Aquarius

The Moon has moved into your sign, emphasizing the need to connect things to work together. There is a tendency to focus too far...read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.








Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.